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Last year I opened a savings acct for my child under their name which is still part of banks account. Not much interest is earned there...3 cents per month. I don't have the tax form on it and since it didn't accumulate to $1, do I still need to file it on my tax forms or can I skip it and file without it?

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Anonymous

Asked by Anonymous at 8:06 PM on Jan. 23, 2009 in Money & Work

Answers (6)
  • I'm pretty sure that you don't have to report the income from the interest on the savings account. You could go to irs.gov and see if they have anything on what the maximum your child can earn per year without you having to report it. But I'm 99.99999% sure you're safe.
    cat0325

    Answer by cat0325 at 8:38 PM on Jan. 23, 2009

  • You have to earn around $10 to receive a form and have to pay taxes on it. Your ok to file without reporting it.
    Anonymous

    Answer by Anonymous at 7:01 AM on Jan. 24, 2009

  • You don't have to report such a small amount.
    Anonymous

    Answer by Anonymous at 8:35 AM on Jan. 24, 2009

  • Is the account under your child's SSN? If so, you do not have to report it on your taxes, regardless of the amount.
    Anonymous

    Answer by Anonymous at 9:25 AM on Jan. 24, 2009

  • Why don't you invest in FOREX? I have done it and it is earning 4% interest monthly! By the time my son graduates from college, he will have had more than enough to pay off his tuition fee.
    Kleo187

    Answer by Kleo187 at 12:54 PM on Jan. 24, 2009

  • The bank will send you a form for any interest you need to report. Since this is in your child's SSN and a small amount you will not need to report
    Anonymous

    Answer by Anonymous at 10:29 PM on Jan. 24, 2009

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