Yes, I read the instructions for 8615, but there is a tension between it and Publication 17. Publication 17, p. 201, under heading "Tax for Certain Children Who Have Unearned Income" says, "Special tax rates apply to certain DEPENDENT children with unearned income of $2100 or more" (my emphasis):
https://www.irs.gov/pub/irs-pdf/p17.pdf. The instructions for from 8615 however explicitly state, "These rules also apply whether or not you're a dependent":
https://www.irs.gov/pub/irs-pdf/i8615.pdf. It seems unlikely that tax law dictates that a 19-year old unmarried student who fully supports herself and her parents on unearned income should be subject to trust rates simply because she has living (dependent) parents whereas a similarly situated 25-year old would be subject only to single-filer rates as would an otherwise similarly situated 19-year old whose parents were dead. But that is just what the instructions for form 8615 suggest. And that is in contrast to what publication 17 suggests. It would be very nice to know whether it is publication 17 or the instructions for form 8615 that is in need of revision. (Maybe they both are. Maybe Publication 17 should say "qualifying children" instead of "dependent children" and form 8615 should say "qualifying child" instead of "anyone"?) I don't know how to get a definitive answer to this. Any insight you have would be appreciated. Thank you.
