Interest income generated in Germany taxed by the US too?

[Nixon]

Hello,

We are US citizens residing in Germany.
At the same time we had some interest generated on our Tagesgeld account here in Germany on which Santander bank already took approx. 26% for German taxes.
Now when we are doing US taxes, I can see that US wants to tax that same generated interest again.
Doesn't no double taxation treaty between Germany and the US excludes double taxation of interest too?

Thanks!

[PandaMunich]

Hello,

We are US citizens residing in Germany.
At the same time we had some interest generated on our Tagesgeld account here in Germany on which Santander bank already took approx. 26% for German taxes.
Now when we are doing US taxes, I can see that US wants to tax that same generated interest again.
Doesn't no double taxation treaty between Germany and the US excludes double taxation of interest too?

You get a tax credit for the German tax you paid, you claim for it by filling the amount of German tax that you paid into form 1116 of your US tax return: https://www.irs.gov/instructions/i1116