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Hello everyone. I am confused for dependent income.
On the top of table 2 from pub 501 it says: If your parent (or someone else) can claim you as a dependent, use this table to see if you must file a return.
In this table, unearned income includes taxable interest, ordinary dividends, and capital gain distributions. It also includes
unemployment compensation, taxable social security benefits, pensions, annuities, and distributions of unearned income from a
trust. Earned income includes salaries, wages, tips, professional fees, and taxable scholarship and fellowship grants. Gross income
is the total of your unearned and earned income. But when the dependent does have scholarship amount goes to form 8615 part I line 1 as unearned income. Could please help me to understand it. Since I have to check mark on the top of 8615 YES or NO
Thanks for help
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