Form 1116 question - Are they always needed?

I have a question regarding 1116 Foreign Tax Credits.  I switched tax preparers for my 2017 return and I don’t understand this new preparer’s stance on 1116s.

I am a US citizen and I have worked in the UK for 25 years before taking early retirement.  I still live in the UK.  I am now self-employed with a deferred final salary pension.  I file as married/separate.  My wife is NRA.   My income in 2017 was around £10k from self-employed activities with another £2k from UK bank interest and $1k US bank interest.    Forms submitted for 2017 return were 1040, Sch B, Sch C, 1116, 2555, 8965, and 8938.

The above level of income is easily covered by the US standard deduction + US personal exemption +2555 FEIE exclusion .   It isn’t too hard to see that no 1116 foreign tax credits would be available.   Additionally, I have no carryovers from previous tax years to protect.

In a situation like this, I would think there would be no reason to file 1116s.

However, the new preparer says 1116s should always be submitted even when there aren’t any FTCs to glean or even any carryovers to protect.  This preparer even included an Alt Min calculation variant on each of the 1116s submitted. This seems like form filling for the sake of form filling...or am I missing something?

The most diplomatic way of answering this would be to say it's a very safe filing.

Is it a bare bones filing? No.

Has the preparer filed with intent of maximum protection for both themselves and the client? Yes, but one may ask who is being protected more, the client or the preparer (insurance-wise).

Since the return involves both earned and unearned income, did the "stacking rule" come into play? Probably not.

Is the preparer setting up a format to be carried forward in years when currently deferred pensions become income? If there is a defined benefit pension, there is the possibly of a UK State pension as well. If there is still earned income at that time, then the stacking rule may become an issue. If there is no earned income at the time, there is still the issue of 1116 being the only way to offset UK tax paid on the pensions. 1116 may not be strictly required, but for those approaching pension age, it may be the wisest way to file. The bank of excess credits will be established, and with only £2,000 of UK interest (20% or 40% taxpayer?) some excess credits could be gained. Many preparers file an AMT return (6251 with 1116) if income exceeds the AMT threshold, even if there is no AMT "event".

Would a preparer file additional "safe" forms to increase their profit? Well, there's always that to consider too.

As an aside, I don't have the earned income (no Sch. C or 2555) but do have interest in your neck of the woods plus pensions. I file 1040, Sch. B, 1116, 8938, 8965, and 6251 plus 1116AMT simply because my income exceeds the AMT threshold for MFS. Not strictly required, but safe.