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

Foreign Tax Credit Workout

Types of Income

Skills Warm Up: Types of Income

Question 3 of 3

Bernard is a U.S. citizen who lives in Barbados. This year, he paid 17% income tax on interest income from his bank account in Barbados. For the purposes of Form 1116, Bernard's foreign interest income should be classified as:

Passive category income
General category income
Section 901(j) income
Certain income re-sourced by treaty