KathrynG3
Expert Alumni

Education

It depends what details have been captured and how. 

 

2019 Form 8615 Instructions for Tax for Certain Children Who Have Unearned Income page 1: Your parent may be able to elect to report your interest, ordinary dividends, and capital gain distributions on his or her return. If your parent makes this election, you won’t have to file a return or Form 8615. However, the federal income tax on your income, including qualified dividends and capital gain distributions, may be higher if this election is made. For more details, see Form 8814, Parents’ Election To Report Child's Interest and Dividends.

 

You are correct, the rules have changed for Form 8615. Please see: SECURE Act (Dec 20, 2019) Retroactive Change to Kiddie Tax for more information. The law change in December 2019 repealed unfavorable Kiddie Tax rates for 2018 and 2019. If you were affected in 2018, you may want to consider amending your return(s) for 2018.

 

I recommend that you run the tax returns both with including your child's income and without to determine your best approach.

 

For more details:

How do I report my child's investment income?

2019 Form 1040 Instructions page 31

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