I'm 19 years old and I'm being claimed by my mother, a full-time student. I'm confused how I end up owing $219 on my taxes?
Answers | 2
In some cases, a parent has the option of reporting the child's unearned income on his or her tax return. In other cases, the child must file his or her own return. Each method of filing has several advantages and disadvantages. Note that the kiddie tax rules apply regardless of whether the child is your dependent. Further, the definition of a child includes your legally adopted child and your stepchild.
You should note that a child who has significant tax exempt interest, or tax preferences or adjustments, may be subject to the alternative minimum tax.