I reported it as "SCH" on line 7 1040 per IRS pub 970. Turbotax then generated form 8615 kiddie tax which would tax this at the parents' rate. Doesn't seem right. It's not investment income.
You'll need to sign in or create an account to connect with an expert.
The kiddie tax applies to all unearned income of dependents, not just investment income. See below for an explanation.
https://ttlc.intuit.com/replies/3301446
The kiddie tax only applies to amounts over $2,100. The FAQ below explains how to report it.
Still have questions?
Make a postAsk questions and learn more about your taxes and finances.
taxquestions18
Returning Member
Ruth26
Level 1
clay185016
New Member
malotar1
Returning Member
scj20-
New Member
Did the information on this page answer your question?
You have clicked a link to a site outside of the TurboTax Community. By clicking "Continue", you will leave the Community and be taken to that site instead.