Tax calculator
Could some of a child’s investment income be taxed at a parent’s rate?
Estimate how a child’s investment income may be taxed.
Could some of a child’s investment income be taxed at a parent’s rate?
The kiddie tax can apply a parent’s marginal rates to part of a child’s unearned income. This 2026 screener separates the base allowance, the amount generally taxed at the child’s rates, and the portion potentially exposed to the parent-rate calculation used on Form 8615.
Before you act on the number
Use the result to identify which assumption needs verification, then bring that question to the professional helping you make the decision.
Transparent method
Enter the child’s interest, dividends, and realized gains so ordinary income and preferential-rate income are not treated as interchangeable.
Apply the 2026 base allowance and the additional child-rate layer before estimating the net unearned income potentially taxed using the parent’s rate information.
Compare filing options only after considering the child’s earned income, age, student status, support, and whether the parent-election requirements are satisfied.
Common questions
The rules focus on unearned income, such as taxable interest, ordinary dividends, capital gains, rents, royalties, and certain other investment income. Earned income is handled differently.
Age, full-time student status, earned income, support, filing status, and the amount of unearned income all matter. The IRS instructions should be used to determine whether the form applies.
In limited circumstances, a parent may elect to report qualifying interest and dividends using Form 8814. Capital gains and other facts can make that election unavailable or unattractive.
Yes. The published rule list supplies the 2026 base amount shown beside the calculation. A change on the IRS source page does not automatically alter the live result.
Sources
Want the fine print? See sources, methods, and limits.