Question

1099-B Custodial Account

Forum|Forum|6 years ago
February 15, 2020
1 reply
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I received 1099-B for my son custodial account but he is only 3 years old. After adding up all the gain and loss, he gained $17.00. I don't need to report this right? I just want to double check. Thanks!

ColeenD3

It depends. It is not the amount of gain or loss that matters. All the IRS will take note of when they receive their copy of the 1099-B is the proceeds. They will have no way of knowing if it is a gain or loss without the return. If the proceeds exceed the amount below, then file.

Please see the filing requirements below.

Single dependents under age 65.

You must file a return if any of the following apply.

1. Your unearned income was more than $1,100.

2. Your earned income was more than $12,200.

3. Your gross income was more than the larger of— a. $1,100, or b. Your earned income (up to $11,850) plus $350.

R

Radiochemistry

We received a 1099-Div/Int/Misc form (below) from Fidelity for the custodial account @Fidelity for my now 15yr old

He needs to file his own return as he earned money last year while lifeguarding

Does this form/income go on his return or mine? What is being taxed, all dividends etc or just the Cap Gains Distro @amount shown below?

Thank you

Under the 1099-Div section it shows (not the actual numbers)

1a Total ordinary dividends: $123

1b qualified dividends: $120

5 Section 199A dividends $10.50

under 1099-int it shows under

1 interest income $2.52

then the Total Capital Gains Distributions Detail shows

Capital Gain Distributions Subject to Applicable Rate (m): $26.23

ColeenD3

Since he is filing his own return, this goes on his along with his earnings. It is all potentially taxed, assuming that there is sufficient income to tax.