Hello esteemed members. I have 3 kids and each have custodial accounts and each have received 1099 that includes 1099-INT, 1099-DIV, and 1099-B.
I have seen conflicting responses (perhaps due to change in recent law?) on whether or not custodial accounts "need" to be filed, and whether they "need" to be filed separately instead of part of the my (the parents') taxes.
To be specific (because all 3 accounts are managed similarly), they have INT and DIV that together made less than $50, and 1099-B that reported losses of about $200, so overall loss.
My questions are:
1. Am I required to file each kids' activity to IRS?
2. If so, must I report them under their own return (is it because of the presence of 1099-B?)
3. If I don't need to report them, am I primarily losing the benefit of offsetting future capital gains?
Thank you. I tried reviewing past questions and IRS child rules and none seem to answer this scenario.
