The Internal Revenue Service is asking for comments on its revisions to the instructions for Form 1116, Foreign Tax Credit. These changes are to be effective for tax year 2002 and beyond. The streamlined instructions include simplification of the worksheets used to compute the adjustments to foreign source capital gains and losses, as well as shorter and simpler descriptions for how to fill out the tax form.
The changes to the Form 1116 instructions reflect new rules outlined in proposed changes to regulation 1.904(b)-1.
Comments should be directed to
Chairman, Tax Forms Coordinating Committee
Internal Revenue Service
W:CAR:MP:FP, Room 6406
1111 Constitution Avenue NW
Washington, DC 20224
You may also e-mail your comments to [email protected]. Comments should be sent by September 25, 2002.