Internal Revenue Service United States Department of the Treasury
Level Basic Advanced Military International

Foreign Tax Credit and Completing Form 1116

Who and When

Check Your Knowledge

Question 1 of 1

Daniella is a resident of Puerto Rico who started working for the U.S. government during this tax year. She is a cash basis taxpayer who has never taken the foreign tax credit. Which accounting method could she use to determine her foreign tax credit?

Accrual method
Cash basis method
Either method