Karla is a single parent with two children, ages 7 and 11 She is a full time student and earns $ 12,000 Both children receive dividends and capital gains from mutual funds acquired for them by their grandparents Karla has elected to include her childrens income on her return for the kiddie tax comp...

In a legal memorandum the assistant chief counsel concluded that a childs passive portfolio and ca ...

Karla is a single parent with two children, ages 7 and 11. She is a full-time student

Question:

Karla is a single parent with two children, ages 7 and 11. She is a full-time student and earns $ 12,000. Both children receive dividends and capital gains from acquired for them by their grandparents. Karla has elected to include her children’s income on her return for the kiddie-tax computation. Since it is on her tax return, does her children’s income affect the computation of Karla’s earned-income credit? Mutual Funds
Mutual funds are like a pool of funds gathered by different small investors that have simalar investment perspective about returns on their investments. These funds are managed by professional investment managers who act smartly on behalf of the...