Please HELP!!!
I have 2 Grandchildren and I need to know how do I handle unearned income they receive from their deceased Mother. They each receive $5,341.00 ($2040.00 state retirement pension and $3,240.00 SSA). I am getting conflicting advice....yes you have to file a tax form for each, no you don't have to file a form on them or you can file their unearned income on their Dads tax form. Please can some advise me how I need to report their income.