Thank you for your responses. The "conditions" listed above appear to be from IRS Pub 553 which explains when IRS Form 8615 needs to be completed. The last point says" (3) The child was under 24 at the end of 2025, he was a full-time student, and his earned income (from working) is not more than half of his total support for the year."
Since my grandson will have "earned income" more than half his expenses for the year, but did NOT PAY half his expenses (mostly due to tuition, etc his parents paid until graduation in May), does that mean he need not complete Form 8615 and therefor he is not subject to the kiddie tax?
In other words, he need not have "paid" for half his expenses, he need only have "earned" more than half his expenses.
I may be grasping here but just trying to read the exact rules literally. My guess is that's what the IRS would do. i.e having "earned" does not mean having "paid".
