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nbruce327
New Member

My child has interest income from a savings account. How do I report that?

 
1 Best answer

Accepted Solutions
ChristinaS
New Member

My child has interest income from a savings account. How do I report that?

The interest income is your child's income, not your own income. So, the question is does your child need to file a tax return?

Maybe. It depends on the amount of interest we are talking about here.

Assuming this is his/her only income :

-At or Under $1050? You don't have to do a thing. It is also not added to your return.-

-He/she must file if the interest (or other such unearned income) is over $1050. This doesn't necessarily mean he/ you will owe taxes, it just means a dependent return must be filed. Be sure to indicate that your child is claimed as a dependent on another return. If you are online, you will need to create a new account/ a new username to file your child's return.

If the child has enough interest/ unearned income that she/he is already required to file, then you may have the option to add it to your return using special rules.

Filing requirements for dependents can be found here:

https://www.irs.gov/pub/irs-pdf/p501.pdf 

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4 Replies
ChristinaS
New Member

My child has interest income from a savings account. How do I report that?

The interest income is your child's income, not your own income. So, the question is does your child need to file a tax return?

Maybe. It depends on the amount of interest we are talking about here.

Assuming this is his/her only income :

-At or Under $1050? You don't have to do a thing. It is also not added to your return.-

-He/she must file if the interest (or other such unearned income) is over $1050. This doesn't necessarily mean he/ you will owe taxes, it just means a dependent return must be filed. Be sure to indicate that your child is claimed as a dependent on another return. If you are online, you will need to create a new account/ a new username to file your child's return.

If the child has enough interest/ unearned income that she/he is already required to file, then you may have the option to add it to your return using special rules.

Filing requirements for dependents can be found here:

https://www.irs.gov/pub/irs-pdf/p501.pdf 

View solution in original post

ChristinaS
New Member

My child has interest income from a savings account. How do I report that?

1099-INT forms are added under Federal Taxes-Wages and Income- Interest and Dividends (if a return is required)
nbruce327
New Member

My child has interest income from a savings account. How do I report that?

Thanks! Makes sense. She's only 2 and it's only $10. Just got caught up in all the forms I was entering.
ChristinaS
New Member

My child has interest income from a savings account. How do I report that?

No problem- that's what we are here for. And $10 is more than I got from my bank 😉
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