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Archive for the ‘Child Tax’ Category

Your Taxes: Understanding the “Kiddie Tax”

Posted on: October 16th, 2010 by Joe Franklin

Taxes: The "Kiddie" Tax" The Kiddie Tax refers to the taxation of certain unearned income that belongs to a child.

Under current rules, if a child receives more than $1,900 in investment income (such as interest, dividends and capital gains), then the amount that exceeds that threshold is taxed at the rate that mirrors the parent’s tax bracket.