Form 8615 must be filed with the child’s tax return if all of the following apply:
- The child had more than $2,500 of unearned income.
- The child is required to file a tax return.
- The child was either:
- Under age 18 at the end of the tax year
- Age 18 at the end of the tax year and didn't have earned income that was more than half of the child's support, or
- a full-time student at least age 19 and under age 24 at the end of the tax year and didn't have earned income that was more than half of the child's support.
- At least one of the child's parents was alive at the end of the tax year.
- The child did not file a joint return.
These rules apply if you’re legally adopted or a stepchild. These rules also apply whether or not you’re a dependent. These rules don’t apply if neither of your parents were living at the end of the year.
Recent legislation allows taxpayers to elect to modify their tax on dependent children with unearned income for tax years 2018 and 2019. The election allows taxpayers to recalculate the tax on dependent children with unearned income for these years to be based on the parent’s individual tax rate instead of the previous tax rates using trust and estate tax rates.
- Federal Section
- Other taxes
- Tax For Certain Children Who have Unearned Income, Reported on Form 8615
To view Form 8615 and its instructions, click here.