DaveF1006
Expert Alumni

Self employed

It depends. First of all, you would not enter this in the foreign income section because you are living and working in the US. Informing the user may may helpful and we apologize that feature is not mentioned in the program.

 

As far as the program  emphasizes investment income, de-emphasizing earned income by stating it "may also qualify for a credit." This is irrelevant, especially if you have no foreign investments. I think the program is trying to be helpful in mentioning this but this does not apply in your case.

 

You should have the opportunity to claim your foreign tax credit using the steps that I have provided and move past the additional roadblocks that seem to be confusing you at the moment. Be especially mindful of Step 4 and only report the payment you received from your China client as other Gross Income amount.  This amount will not appear as a separate taxable item in your return but only used to determine the amount of your Foreign Tax Credit.

 

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"