Form 1116 asks me to separate my foreign taxes paid by country. However, I must round to the nearest dollar. Therefore, when I take the sum, it I get almost an extra dollar more than foreign taxes that I actually paid. Is this okay?

Question

AI accountant’s answer:

Yes, that's perfectly fine. When you round each foreign tax paid to the nearest dollar and then sum them up, it could result in a slightly different total compared to the actual total taxes paid. The IRS understands that rounding may cause minor discrepancies like this. As long as you've accurately reported the foreign taxes paid for each country and followed the rounding guidelines, you should be okay.

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