This Schedule B Form 1116 guide explains the IRS Foreign Tax Carryover Reconciliation Schedule. Schedule B for Form 1116 tracks the foreign tax carryover reconciliation. The beginning balance, amounts used, amounts expiring and remaining carryovers should agree with the applicable income category and tax year. A carryover amount is not a current-year foreign tax payment.
Reviewed October 31, 2026. This is an independent guide. The version and availability information below identifies the IRS documents used for this page.
What Schedule B Form 1116 does and who prepares it
A foreign tax credit claimant uses the schedule to reconcile the foreign tax carryovers covered by the instructions.
For the connected reporting route, see Form 1116. Keep the role of that document separate from the task explained on this page.
| Official form | Form 1116 (Schedule B) |
|---|---|
| IRS title | Foreign Tax Carryover Reconciliation Schedule |
| Guide period | the applicable reporting period |
| Target version | Dec 2022 |
| Availability | Current IRS catalog PDF |
| Last checked | October 31, 2026 |
Get the Schedule B Form 1116 PDF and check its status
Use the IRS source to confirm the document before completing a real filing. The download link is a reference to the official file; it is not a statement that every copy inside the PDF may be printed and submitted. Follow any instructions about electronic filing, scannable copies, recipient copies or attachments.
Which version of Schedule B Form 1116 should you use?
This form follows a revision or continuing-use format rather than a new title for every calendar year. Check the revision printed on the document and the period requested inside it. A revision date, transaction date and tax year are different pieces of information. The current document should be read with the instructions that apply to the actual transaction or return.
Records to gather for Schedule B Form 1116
- Prior Forms 1116.
- Carryover worksheets by category.
- Current foreign tax credit calculation.
- Amended return information.
- Foreign tax redetermination records.
Keep a working reconciliation with these records. It should show the source of each reported item, any correction made before filing and the reason a different amount appears on a connected form. This is especially useful when a statement is corrected or a prior-year balance continues into the current calculation.
How to work through Schedule B Form 1116
- Confirm applicability. Start with the purpose, filer category and version of the form. Complete any eligibility or applicability question before spending time on the numerical calculation.
- Prepare the source workpapers. Gather the records listed below and reconcile their totals. Keep prior-year balances, current-year transactions and estimated payments separate where they serve different purposes.
- Complete dependent calculations first. When a line refers to another form, schedule or worksheet, finish that supporting calculation first. Preserve any classification, limitation and carryforward information.
- Follow the line sequence. Use the actual line labels and arithmetic in the applicable form. A line number from an older version may refer to something different after a revision.
- Reconcile the filing package. Check names, identifying numbers, tax periods, totals and required attachments. Then use the filing method, signature process and deadline that apply to this filer and form.
Form-specific IRS instructions and reporting details
The following points retain the operative wording of the IRS documents linked above. Read each point with its stated conditions and the applicable form version. References to another form or section describe a connected requirement; they do not mean that every reader must file every referenced document.
Line 1 of Schedule B has been revised to instruct filers to enter the amounts from the appropriate columns of line 8 of the prior year Schedule B. The “Caution” at the top of the Line 1 Reconciliation Worksheet at the end of these instructions has been updated to clarify that the worksheet should now only be used in cases where you’re amending your 2021 foreign tax credit within the special 10-year limitation period described in section 6511(d)(3) (or section 6511(c) if the period is extended by agreement).
With respect to each separate category of income, if you’re filing Form 1116 that has a foreign tax carryover in the prior tax year, the current tax year, or both, you must file Schedule B for that separate category of income.
Definitions Excess limitation. If your foreign tax credit limitation (Form 1116, Part III, line 23) exceeds your current year foreign taxes available for credit (the sum of Form 1116, Part III, lines 9, 12, and 13), you have an excess limitation. Excess foreign taxes. If your current year foreign taxes available for credit (the sum of Form 1116, Part III, lines 9, 12, and 13) exceed your foreign tax credit limitation (Form 1116, Part III, line 23), you have excess foreign taxes.
Note. Be sure to enter a brief description of each applicable adjustment item immediately after the lower case letter in the first column of the schedule.
Additional reporting conditions
Note. In order to carry back amounts to the first preceding tax year, that first preceding tax year must be an excess limitation year (as defined earlier under Definitions).
Line 3. Adjusted foreign tax carryover from prior tax year. Combine lines 1 and 2. The total amount on line 3, column (xiv), is the adjusted carryover amount from the prior tax year. It is included on Form 1116, Part III, line 10 (and, if filing an amended return, combined with carrybacks into the current tax year) to determine the total amount of foreign taxes that are available for credit in the current tax year.
Note. When this line 7 carryback amount is subtracted from line 6, the difference is the amount of the foreign tax carryover generated in the current tax year which will be carried forward to your subsequent tax year.
Line 4. Foreign tax carryover used in current tax year. With respect to a given separate limitation, line 4 is completed only if you have a current year excess limitation (defined earlier). Enter in each column the foreign tax carryover utilized in the current tax year.
Starting with column (i), the amount to be entered on line 4 of a given column will be the amount on line 3 of that column, but only to the extent that it doesn’t exceed: • The amount of the current year excess limitation (defined earlier), less • The sum of all amounts entered in all previous columns of line 4.
Calculations and supporting information
If you're amending your 2021 foreign tax credit within the special 10-year limitation period described in section 6511(d)(3) (or section 6511(c) if the period is extended by agreement), use the worksheet at the end of the instructions to figure the amounts to be entered on line 1 of your Schedule B for 2021. Lines 2 through 5. Use the instructions for lines 4 through 7 of Schedule B earlier to complete lines 2 through 5, respectively, of the Line 1 Reconciliation Worksheet.
If you have comments concerning the accuracy of these time estimates or suggestions for making this form simpler, we would be happy to hear from you. You can write to the IRS at the address listed in the instructions of the tax return with which this form is filed.
Note: The line 6 amounts above are to be entered on the following corresponding columns of line 1 of your Schedule B for your tax year beginning in 2021.
For each column, enter the applicable portion of the amount from Part III, line 10, of your Form 1116 for your tax year beginning in 2020.
Caution: This worksheet is to be completed only for purposes of computing the amounts to be entered on line 1 of your Schedule B (Form 1116) for your tax year beginning in 2021 (that is, if you're amending your 2021 foreign tax credit within the special 10-year limitation period described in section 6511(d)(3) (or section 6511(c) if the period is extended by agreement)).
Exceptions and related reporting
Adjusted foreign tax carryover from prior tax year (combine lines 1 and 2). Include the column (xiv) total on the current year Form 1116, Part III, line 10.
Reading the lines and boxes
These selected labels come from the linked target PDF. They are a reading aid, not a replacement for the full line instructions or a completed calculation. Match the label and document version before transferring any amount.
| Line or box | Label in the source form | What to check |
|---|---|---|
| 1 | Foreign tax carryover from the prior tax | Trace the amount to the relevant earlier-year record. Reconcile any amendment or intervening adjustment before bringing a balance into this calculation. |
| 2 | Adjustments to line 1 (enter | Check the applicable line instructions and keep the source workpaper with the return records. Transfer only the information that matches the field and reporting period. |
| 3 | Adjusted foreign tax carryover from | Trace the amount to the relevant earlier-year record. Reconcile any amendment or intervening adjustment before bringing a balance into this calculation. |
| 4 | Foreign tax carryover used in current | Trace the amount to the relevant earlier-year record. Reconcile any amendment or intervening adjustment before bringing a balance into this calculation. |
| 5 | Foreign tax carryover expired unused | Trace the amount to the relevant earlier-year record. Reconcile any amendment or intervening adjustment before bringing a balance into this calculation. |
Further selected fields
| Line or box | Label in the source form | What to check |
|---|---|---|
| 6 | Foreign tax carryover generated in | Trace the amount to the relevant earlier-year record. Reconcile any amendment or intervening adjustment before bringing a balance into this calculation. |
| 7 | Actual or estimated amount of line 6 | Check the applicable line instructions and keep the source workpaper with the return records. Transfer only the information that matches the field and reporting period. |
| 8 | Foreign tax carryover to the following | Trace the amount to the relevant earlier-year record. Reconcile any amendment or intervening adjustment before bringing a balance into this calculation. |
A practical example
A taxpayer brings a foreign tax carryover into the current year. The taxpayer checks the prior balance, current limitation and any intervening adjustments before recording the amount used and the remaining carryover.
This example illustrates the order of the review. It does not assume an unverified deduction, exemption, treaty rate or final tax amount. The applicable form instructions and the actual records determine the result.
Common mistakes to avoid with Schedule B Form 1116
- Keep separate categories and source years distinct.
- Reconcile the beginning balance with the prior file.
- Do not use a carryover twice after an amendment or redetermination.
Questions about Schedule B Form 1116
Does receiving or downloading this form mean I must file it?
A foreign tax credit claimant uses the schedule to reconcile the foreign tax carryovers covered by the instructions. The form purpose and the applicable filing or furnishing conditions determine the action. Downloading a blank PDF does not itself create a filing obligation or establish eligibility for a tax benefit.
Is the revision date always the same as the tax year?
No. Some forms show a tax year, while continuing-use forms show a revision date and ask separately for the reporting period. Check the actual document and instructions. Do not relabel a payment or transaction solely because it was reported in a later calendar year.
What should I do if the underlying information is wrong?
Keep separate categories and source years distinct. Keep the original record and the correction trail. The issuer correction process, an amended return and an updated certificate can be different procedures. Choose the process that matches the document and the actual error.
Which records should I keep with the completed form?
Retain the source documents, applicable worksheets, submitted version and filing or furnishing confirmations. For this form, the working file should include prior Forms 1116, carryover worksheets by category, current foreign tax credit calculation. Keep continuing balances and prior-year support for as long as they remain relevant under the applicable recordkeeping rules.
Related forms and next steps
Use these guides when the connected issue applies to your records. Each page has its own purpose, reporting year and availability status.