Sam Edwards / Getty Images The foreign tax credit is a U.S. tax credit used to offset income tax paid abroad. U.S. citizens and resident aliens who pay income taxes imposed by a foreign country or ...

The United States taxes citizens on their income, no matter where it's earned. Here's how to lower the tax bill. Many, or all, of the products featured on this page are from our advertising ...

Preston is a Research Fellow for tax policy in The Heritage Foundation’s Grover M. Hermann Center for the Federal Budget. New IRS regulations require foreign income taxes to adhere more closely ...

the Foreign Tax Credit is a way to lessen your U.S. tax liability and offset income taxes paid to other countries. The Foreign Tax Credit (FTC) is a dollar-for-dollar reduction in your U.S. tax ...

For U.S. citizens with foreign income, knowledge of foreign tax credits and deductions is a crucial aspect of financial planning. These mechanisms are designed to prevent double taxation – when ...

If double taxation sounds draconian, take heart. The U.S. tax code offers a foreign tax credit. This allows you to use all—or at least some—of those foreign taxes to offset your liability to ...

The foreign tax credit can help mitigate the impact of the alternative minimum tax (AMT) for taxpayers with income taxed abroad. While the AMT limits certain deductions and credits, it does allow ...

Forbes contributors publish independent expert analyses and insights. Raymond Stahl of Ernst & Young discusses concerns about the final regulations for claiming foreign tax credits, particularly ...

As the world continues to become a smaller place with Americans working abroad as well as investing in overseas companies, the chances of being charged foreign taxes also occurs. From foreign ...

Clients who invest in foreign stocks or own mutual funds or segregated funds that earn foreign income are likely familiar with the concept of claiming a foreign tax credit. After all, the foreign tax ...

For example, if John owed $10,000 in U.S. taxes and had paid $4,000 in foreign taxes, the foreign tax credit could reduce his U.S. tax bill by $4,000. The foreign tax credit helps prevent double ...