Investors & landlords

You can file your own tax return; however, you may not get any part of the child tax credit paid back to you because you stated that you have no income.  In order to get part of the child tax credit paid to you, you must have earned income of at least $2,500.  If you have no earned income, then you will not get the refundable part of the child tax credit.    

You stated that you have no income, but did you have a gain when you sold your stocks and Bitcoin?  If you have a gain from the stocks that you sold, or a gain from the Bitcoin that you sold, then you have to report that gain on your tax return. Such gains, if any, would be considered investment income. 

Your parents may be able to include such income on their return.  The general rule is that a parent can claim a dependent child's investment income on their own return up to a certain amount —above that, the child needs to file themselves. To claim a child’s income on a parent’s tax return, the child needs to be considered a qualifying child dependent of the parent.

A qualifying child has to meet at least four criteria:

• They must be your child or stepchild, or a brother, sister, stepsibling, or foster child. Descendants of these people also qualify, like your niece.
• They must have lived in your residence with you for more than half of the tax year.
• They must be under age 19 (24 if a full-time student) at the end of the tax year, or any age if permanently disabled.
• The child must not have provided more than half of her own financial support during the year.

In addition to being a qualifying child dependent, the child has to meet the following conditions:

• The child’s only income is from interest and dividends, including capital gains distributions and Alaska Permanent Fund dividends.
• The child’s gross income for 2022 is less than $11,500.
• The child is required to file a 2021 return.
• The child does not file a joint return for 2022.
• There were no estimated tax payments for the child for 2022 (including any overpayment of tax from the child’s 2021 return applied to 2022 estimated tax).
• There was no federal income tax withheld from the child’s income.

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