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Terri, age 1 6 , is a dependent of her parents. During 2 0 2 2 , Terri earned $ 5 , 0 0 0
Terri, age is a dependent of her parents. During Terri earned $ in interest income and $ from parttime jobs.
Click here to access the tax rate schedule.
a What is Terri's taxable income?
$
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To reduce the tax savings that result from shifting income from parents to children, the net unearned income of certain children is taxed as if it were the parents' income. This provision, commonly referred to as the "kiddie tax," applies to any child who is under age or under age if a fulltime student and has unearned income of more than $
b How much of Terri's income is taxed at her parent's rate?
$
At her rate?
$
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