Does my 18 year old son need to report unearned income of $956 from a 1099-Div custodial account in his name? Here are some quick answers for you

[IreneS · Accepted solution]

UPDATED FOR TAX YEAR 2019

No - if that is his only income.

He is just under the limit for having to file a return ($1,100 of unearned income).  If you son has earned income of $12,200 or more he will have to file a return and include the 1099-DIV earnings.

A dependent child must file his/her own tax return if:

• Their earned income (from a job) is $12,200 or more;
• Their unearned income (from interest, etc.) is $1,100 or more; or
• Their gross income was more than the larger of— a. $1,100, or b. Your earned income (up to $11,850) plus $350.

IMPORTANT:  If your son does file his own return make sure he indicates on it that HE IS A DEPENDENT OF SOMEONE ELSE.

[Edited | 4/3/2020 |  12:30pm PDT]