Congress limits the tax savings that can be achieved on asset transfers to children through the kiddie tax, which taxes the unearned income of children up to age 24 at their parents marginal tax rate. (Dennis-Escoffier & Fortin, 2020).

Instructions

For this Discussion, explain why you think Congress enacted the kiddie tax. Do you think they are achieving their goal? If not, is there a better way to achieve their goal?