Roth IRA for a minor

[billpeake]

During 2020 I opened a ROTH IRA for my minor granddaughter.  I contributed $1,230 to the IRA, which is what she earned in 2019, as a gift.  Do I have to declare this on my federal form, and if how do I do it?

[dmertz · Accepted solution]

No this is does not go on your federal tax return.  This is effectively a gift from you to her and a contribution by her.  With such low income she would generally not be required to file a tax return, so she would likely not benefit from reporting the Roth IRA contribution.  However, she does need to track her basis in Roth IRA contributions of which her $1,230 contribution is a part.