TurboTax Premier 2024 Desktop Version on a PC, Windows10. Fully updated. 20+ years ttax user
Entered dependent child's information into ttax. AGI exceeds threshhold of $2600. Should trigger Form 8615 but it does not. I opened form 8615 to try to correct this.
PROBLEM: Under Form 8615, "Child 18 to 23 Smart Worksheet", I cannot click on 'yes' to complete this form. TTax has determined the answer is 'No' and I cannot override it.
History:
Imported a ttax2023 file (e-filed successfully last year) to start a ttax2024 return. Filled out all data.
Personal Worksheet Questions:
Part I
Age of taxpayer is >18, < 23
Part II
1. Can taxpayer be claimed as a dependent? YES
2. If yes, was taxpayer claimed as a dependent? YES
3. Were you a full time student during any part of five months during 2024? NO
^^^ This is an oddly worded question by the way. Unrelated to my problem.
SOLUTION:
(see below) I found I had to UNCHECK answers to the student question (3). With questions 3,4,5 of the personal worksheet left blank, I was able to select 'yes' on form 8615 in the 'Child Age 18 to 23 Smart Worksheet' and complete it. Seems like a bug?
How to get to the Personal Worksheet --> Select 'Forms' at top right. On list of forms at left, choose 'Personal Wks.' See Part II. If you can't see 'Personal Wks' in your list on the left side, go to 'Info Wks' and choose 'Quickzoom' at the top right of the form.
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The directions in step 2 tell you to leave questions 3-5 blank if the taxpayer is not claiming AOC.
If your dependent is over age 19 and not a full time student the Kiddie tax does not apply.
From the instructions for form 8615:
"Who Must File
Form 8615 must be filed for any child who meets all of the following
conditions.
1. The child had more than $2,600 of unearned income.
2. The child is required to file a tax return.
3. The child either:
a. Was under age 18 at the end of 2024,
b. Was age 18 at the end of 2024 and didn’t have earned
income that was more than half of the child's support, or
c. Was a full-time student at least age 19 and under age 24 at
the end of 2024 and didn’t have earned income that was
more than half of the child's support.
4. At least one of the child's parents was alive at the end of 2024.
5. The child doesn’t file a joint return for 2024."
Note that being a dependent or either just qualifying to be a dependent, does not trigger the need for form 8615 and the "kiddie tax". At ages 19-23, it's the full time student status that triggers the kiddie tax.
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