Questions on parents income for Form 8615 questionnaire do not apply if parents filed form 2555.

Forum|Forum|11 months ago
October 15, 2025
7 replies
380 views

Hi, I'm filling out the Form 8615 questionnaire for my children in TT, and the instructions I see do not make sense in the context of my return.

As one example, see the question on 'Parents Capital Gains': "If the parents of [child] had any capital gains or losses, enter any amounts that appear on their 2024 Schedule D, the Qualified Dividend and Capital Gains Tax Worksheet line 3 and Form 4952." The data entry boxes given are for "Schedule D, Line 7", "Schedule D, Line 15 OR Qualified Div/Cap Gain Wksht Line 3", "Schedule D, Line 18", "Schedule D, Line 19", and "Form 4952, Line 4g".

I filed a 2555 with my return (live and work overseas at the moment), and I filed neither Schedule D nor Form 4952, nor do I have a Qualified Dividend/Capital Gains Tax Worksheet, so I don't know how to answer the above question. TT made me a Schedule D worksheet, and figured out my tax using the Foreign Earned Income Worksheet. What should I use here?

TurboTax Deluxe Online

pk_

Level 15

@umiboo , I am at a major disadvantage because I am not familiar with the screens for the ON-Line product. However, I have windows Home & Business and the screens should be pretty similar. Since I cannot see your return, to be able to make sense of your issue and/or replicate the situation, please could you provide the following info. at least ( the more the better ).

(a) You a US person ( citizen/GreenCard ) ? How about your spouse if you are filing MFJ ?

(b) Which country is your tax home?

(d) Since you said your income is essentially active ONLY ( employed by local entity and/or self-employed), is all your income excluded by form 2555 or is there some residual eligible for FTC. If so what is the magnitude ( roughly ) ?

(e) Is this your first year with this situation /issue ?

Any other helpful/ pertinent information ?

I will circle back once I hear from you --yes ?

umibooAuthor

Level 2

@pk12_2, thanks for the response.

(a) my husband and I are both US citizens and MFJ

(b) Croatia is our tax home

(d) we have both active and passive income. The active is entirely excluded in forms 2555, the passive is around a few 100k.

I always struggle since the TT questionnaires are not very well tailored to our tax situation (filing of 2555), but this year is particularly bad since the TT questionnaire is asking for information from forms we didn't file (e.g. schedule D)

pk_

Level 15

@umiboo , agree that because sometimes the questions are trying to cover a broad set of circumstances, they become rather abstruse for individual situation. What I would suggest is ( and only because I don't think the on-line versions allow "forms mode"), to download / print a copy of the form 8615 and essentially walk down as you answer TurboTax's questions i.e. track what it is trying to fill out. You will find the form and instructions for the form 8615 there at www.irs.gov --> 2024 Form 8615 ---> 2024 Instructions for Form 8615

You will notice on the form 8615, entries 9 and 10 have check boxes to alert that certain forms like schedule-D etc. were used on the parents' return. Think that is all TurboTax is trying to do.

In the meantime I will try to work on the scenario on my copy of Home & Business and look at the questions/ screens. I have gone over the Tax Treaty between US and Croatia ( that was not one I was familiar with and there are significant differences from many others that I am familiar with ). My additional answers will definitely post 10/15/25. That is the best I can do at the moment.

I will come back tomorrow ( my time -- California ).