Have three 1099 s for custodial accounts. How do I not pay tax on these? They are set up with the children's SS#'s. Do I ignore the 1099 s?

Forum|Forum|7 years ago
June 6, 2019
9 replies
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TurboTax Deluxe Windows

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1099s are always reported on the return based upon the Social Security number.

You may ignore these documents as long as the children do not have enough income to be required to file a tax return.

See the screen shot below to determine if the children must file:

Anonymous

Answer

1099s are always reported on the return based upon the Social Security number.

You may ignore these documents as long as the children do not have enough income to be required to file a tax return.

See the screen shot below to determine if the children must file:

stevemoody10422

Level 2

Also there was no screen shot below or I can't figure out how to find it.

Hal_Al

Level 15

What do I need to do to get current responses responses to my questions?

You should ask a fresh question, rather than tag on to an old one.

On the other hand, the simple answer to your question is: each child must a file a tax return if they have more than $1050 of total income.

If the child's 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 the parent's (not the grandparent-custodian) return, using form 8814. In TurboTax, enter at Less common income / Child's income.

All 1099s have the recipient's SS# on them. Look again to see if the child or the grandparent is the "recipient" of the income.