I've received a form 1099-DIV from a US investment bank at which I hold some investments, with the following entries:
4- Federal Income Tax Withheld 0.00 5- Section 199A Dividends 0.00 6- Investment Expenses 0.00 7- Foreign tax Paid XX.XX 8- Foreign country or US Possession United States
(I've obscured the exact amount in box 7, the point is it's not zero.) I'm confused as to how tax paid to "United States" would count as a foreign tax in this context. Every reference I can find about form 1099-DIV, including the IRS instructions for forms 1040 and schedules B and D (at least what I've read of them), seems to assume that the entity named in box 8 should be a non-US country or a US possession.
Is this a standard thing that happens sometimes, and if so does anyone know if it qualifies for a credit or deduction? Or is it unusual, perhaps enough so that it's likely to be a mistake on the form? For what it's worth, all my investments with this institution are listed on US exchanges (NYSE and NASDAQ) so it's not like I expected any tax to be paid to a foreign government.
The amount of money involved is not large, so I'm not in for any financial hardship if I get this wrong, but I'd like to try to be accurate.