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I was working on my daughters return,(she's a minor) the system says the info is wrong but mine was accepted, I have to fix something?

I filed her unemployment, she was taxed on $1100 part of my Bitcoin losses were added to her return as income, line by line even though the system says it's wrong ? My return was accepted. Refund processed? How do I fix it ?
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2 Replies

I was working on my daughters return,(she's a minor) the system says the info is wrong but mine was accepted, I have to fix something?

we can't see her return.   form 8615 needs to be included in her return if all these tests are met:

1) she had more than $2200 of unearned income - (unearned income includes unemployment compensation in excess of the exclusion)

2) she is required to file (see 1040 instructions page 10)    https://www.irs.gov/pub/irs-pdf/i1040gi.pdf

3) she meets any of these tests:

a) she was under 18 on 12/31/2020

b) she was 18 or older on 12/31/2020 and didn't have wages or self-employment income (or any other earned income)

c) she was a full-time student at least 19 and under 24 on 12/31/2010 and didn't have earned income that was more than half her support (see 8615 instructions for definition of support) https://www.irs.gov/pub/irs-pdf/i8615.pdf

4) at least one parent is alive on 12/31/2020

5) she doesn't file a joint return

 

 

if 8615 is required Turbotax will ask certain questions about your return.  her tax in effect is partially based on your taxable income and tax computation.  your $1100 capital loss should not be reported on her return.  your capital gain/loss info is only used to see if your tax and hence her tax is computed bases on the special tax rates that apply to net long-term capital gains and qualified dividends. 

 

 if the 8615 is present you should review it to see if the numbers for your return actually match your return.

 

I was working on my daughters return,(she's a minor) the system says the info is wrong but mine was accepted, I have to fix something?

You are using an entirely new account to prepare her tax return?   

 

I Certainly hope so....since you cannot use your own Online tax account to prepare a second filing for anyone else...to do so would irreversibly destroy your own 2020 tax return, and mix up your data with hers.

 

With the Online software, an entirely separate account must be used for each person's tax filing (or married couple's filing)

 

____________*Answers are correct to the best of my knowledge when posted, but should not be considered to be legal or official tax advice.*
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