How to report Form 8615 Kiddie Tax income as earned income in ProConnect Tax

A child taxpayer is subject to the Kiddie Tax, Form 8615 and is linked to the parent's return through the family link. This article will help understand how to have ProConnect Tax treat child taxpayer income as earned income instead of investment income.

Follow these steps to report income from a 1099-MISC as earned income:

1. From the Input Return tab, go to Income ⮕ SS Benefits, Alimony, Misc. Income.
2. Scroll down to the Alimony and Other Income section.
3. Enter the 1099-MISC income in the field Other income subject to self-employment tax.
   • This will tell the program to treat this income as earned income.

Follow these steps if this income isn't subject to self-employment tax:

1. From the Input Return tab, go to Taxes ⮕ Other Taxes ⮕ Self-Employment Tax (Schedule SE).
2. Enter -1 in Self-employment tax (SE) [Override].