Social Security benefits and Kiddie Tax

Forum|Forum|5 years ago
February 25, 2021
8 replies
31 views

I have a client whose minor daughter receives SS survivor benefits from a deceased parent. Does anyone know whether or not the SS benefits received by the minor are considered unearned income as it pertains to the kiddie tax? The only reference I can find addresses SS benefits related to disabilities which are not considered unearned income for this purpose. Any insights will be appreciated. Thanks!

Michael B.

ProSeries Professional

This topic has been closed for replies.

Best answer by MikeB_CPA

Excellent point about the taxable component of the benefit. In this case, none will be taxable. Thanks very much.

PATAX

Level 12

I do not think that I have ever encountered this situation. Having said that, I can never recall reading anywhere that SS benefits received by a minor would have an effect on the kiddie tax. ... I may be wrong but that is just my opinion.