Answer the following Essential Question: Amy, age 8, is a qualified dependent to her father John. She received interest and dividends totaling $3,500 during 2022. What tax responsibilities, if any, does Amy have?

Answer should be 150+ words

Guiding Hints/Questions:

- Are dependents required to file taxes if they have unearned income?

- If so, how are their taxes determined?

- does kiddie tax apply?

- can someone be dependent and still required to file taxes?

Note:

The minimum income requiring a dependent to file a federal tax return. 2022 filing requirements for dependents under 65: Earned income of at least $12,950, or unearned income (like from investments or trusts) of at least $1,150.

For children under age 18 and certain older children described below in Who Must File, unearned income over $2,300 is taxed at the parent's rate if the parent's rate is higher than the child's. If the child's unearned income is more than $2,300, use Form 8615 to figure the child's tax.

Answer rating: 100% (QA)

Amys Tax Responsibilities in 2022 Since Amy has unearned income exceeding 2300 3500she has tax respo... View the full answer