You do not report his/her income on your return.* If it has to be reported, at all, it goes on his own return. If your dependent child is under age 19 (or under 24 if a full time student), he or she must file a tax return for 2023 if he had any of the following:
- Total income (wages, salaries, taxable scholarship etc.) of more than $13,850 (2023).
- Unearned income (interest, dividends, capital gains, unemployment, taxable portion of 529 distribution) of more than $1250 (2023)
- Unearned income over $400 and gross income of more than $1250 (2023)
- Household employee income (e.g. baby sitting, lawn mowing) over $2600 ($13,850 if under age 18)
- Other self employment income over $432, including money on a form 1099-NEC
*If his only income is from interest and dividends, Alaska PFD or capital gains distributions shown on a 1099-DIV, there is a provision for entering it on your return, using form 8814. Enter at Less common income / Child's income.
But, it is usually best for him to file a separate return, as qualified dividends and capital gain distributions could be taxed at a higher rate on the parent's return.
It's probably best if you don't try to import the UTMA 1099-Div, but enter it manually, if and when needed.
