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Kiddie Tax Calculator (Form 8615, 2026 $2,700 Threshold)

What does this come to under the current IRS rules?

Net unearned income taxed at the parent's rate, the child's own-rate tax and the Form 8615 tax for 2026.

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Your figures
Example figuresIllustrative only. Type over them with your own.
Child's tax (Form 8615 line 18)
$1,521
Tax on the child's 2026 return with the kiddie tax
Child's taxable income
$7,650
Standard deduction for a dependent: 1,350
Net unearned income taxed at parent's rate
$6,300
Drawn to one scale
Child's tax (Form 8615 line 18)$1,521
Child's taxable income$7,650
Net unearned income taxed at parent's rate$6,300
Tax on net unearned income at parent's rate$1,386
Tax on the rest at child's own rate$135
Tax if all taxed at child's own rate$765
All results
MeasureResult
Child's tax (Form 8615 line 18)$1,521
Child's taxable income
Standard deduction for a dependent: 1,350
$7,650
Net unearned income taxed at parent's rate$6,300
Tax on net unearned income at parent's rate$1,386
Tax on the rest at child's own rate$135
Tax if all taxed at child's own rate$765
Extra tax from the kiddie tax$756
Form 8615 required
Yes, if the child meets the age test and a parent was alive at year end
How this was worked out
Work shownrecomputed as you type
Net unearned income = smaller of (unearned income - $2,700) or child's taxable income
Parent-rate tax = tax(parent TI + net unearned income) - tax(parent TI)
Child's tax = larger of [parent-rate tax + tax on the rest at child's rate] or tax on all at child's rate
Dependent standard deduction 2026 = greater of $1,350 or earned income + $450, up to $16,100

Illustrative arithmetic on the figures you enter. Check the result against your firm's methodology before relying on it.

The formulas

  • Net unearned income = smaller of (unearned income - $2,700) or child's taxable income
  • Parent-rate tax = tax(parent TI + net unearned income) - tax(parent TI)
  • Child's tax = larger of [parent-rate tax + tax on the rest at child's rate] or tax on all at child's rate
  • Dependent standard deduction 2026 = greater of $1,350 or earned income + $450, up to $16,100

How it works

Rev. Proc. 2025-32 sets the 2026 kiddie tax amount at $1,350, the same as the minimum dependent standard deduction. Form 8615 line 2 is twice that, $2,700, when the child does not itemize. Unearned income above $2,700 is net unearned income, taxed at the parent's marginal rate.

The rule applies to a child under 18 at year end, a child of 18 whose earned income was not more than half of support, or a full-time student age 19 to 23 under the same support test, as long as a parent was alive at year end. This tool assumes one child and taxes all income at ordinary rates; qualified dividends and capital gains get their lower rates on the actual form.

Illustrative figures only. Check the result against your firm's methodology before relying on it.

Common questions

What is the 2026 kiddie tax threshold?

$2,700 of unearned income. The first $1,350 is covered by the standard deduction and the next $1,350 is taxed at the child's rate.

Which parent's return is used?

For married parents filing jointly, the joint return. For other cases follow the parent rules in the Form 8615 instructions.

Does earned income get the parent's rate?

No. Wages are taxed at the child's own rate. Only net unearned income moves to the parent's rate.

Sources

Runs in your browser. The figures you type are not sent to CORAA or stored. Check the result against your firm's methodology before relying on it.

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