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Which of the Following Tax Rules Applies to an Excess

Question 53

Multiple Choice

Which of the following tax rules applies to an excess foreign tax credit (FTC) that arises in 2017?


A) The excess FTC is first carried back to 2016 and any excess is carried forward for 10 years.
B) The excess FTC is first carried back to 2015, then 2016, and any excess is carried forward for 20 years.
C) The excess FTC is first carried back to 2014, then 2015, then 2016, and any excess is carried forward for 5 years.
D) The excess FTC is carried forward 10 years, with no carryback allowed.

Correct Answer:

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