If the total amount of unearned income for your child exceeds $1050, then it does need to be reported either on your return or your child’s return.
If the income consists only of interest and/or dividends, then you may elect to report it on your own return instead of having your child file a separate tax return. This is done in a different section of the program from where you would report your own interest or dividend income.
To get to the correct section, go to Federal Taxes > Wages & Income > Less Common Income > Child’s Income (Under Age 24) > Start or Update. Click on the thumbnail picture below for a visual reference.
This will take you through a series of questions to be sure you are qualified to file Form 8814 – Parent’s Election to Report Child’s Interest and Dividends for your child’s income, and that you are electing to report it. You will see a screen to enter your child’s information, even though you already entered it in the Dependent’s section. Then there will be a series of questions and forms to fill in regarding the type and amounts of income your child received.
For more information see the TurboTax article Tax Filing Requirements for Children and the information below regarding Kiddie Tax.