Kiddie tax applied to 23 year old that was not a full-time studen

[davebrey]

I'm doing taxes for my son who turned 23 in 2020.  He had no unearned income, but $25K of long-term capital gains.  He was not a full-time student in 2020.  Turbo-tax insist on applying form 8615 and taxing him at my marginal rate, rather than using the capital gains tax rate which should be zero.   I thought the kiddie tax did not apply since he was 23 and not a full-time student.  Am I wrong, or if not, how do I get turbo tax to behave?

thank you!

[Carl]

Does your 23 year old qualify as your relative dependent? Since they were not a student in 2020, I already know they don't qualify as your child dependent.

[AmeliesUncle]

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@davebrey wrote:

He had no unearned income, but $25K of long-term capital gains. 

 I thought the kiddie tax did not apply since he was 23 and not a full-time student. 

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Capital gains ARE unearned income.

Correct, because he was not a full-time student, the Kiddie Tax does not apply.   You may want to review the questions in case he indicated he was a student.   Otherwise, a work-around to get the program to act correctly is to say that in that section he provided over 1/2 of his own support with Earned Income (only say that in that section about the Kiddie Tax).