Q. My grandmother and I have a joint bank account and she received a 1099-INT form with $200 interest. Do I have to file it on my income taxes?
A. Simple answer: No. The account is under her SS# and that's all the IRS can see.
Q. What if, I also claim her as my dependent?
A. Still no. Dependents can have income. It would be reported on their own tax return, if they had enough income to have to file. Dependents have a lower filing threshold than regular tax filers. It's $1250 of unearned income (e.g. interest).
Q. But the other reply said, it should be reported as it was split?
A. He's saying you "follow the money". If grandma kept all the $200, you don't have to report any of it. If she gave $100, then you should probably report $100, as interest. Others might argue, the $100 was only a gift from grandma and not reportable income to you.
Q. What is the $200 was left it in the account?
A. Then you look at the reality of ownership. If you're really half owner, you should report half. If your only on the account to make the inheritance easier and really grandma's money to use, for now, you don't report any of it
