Kea Posted April 6, 2010 Report Share Posted April 6, 2010 My client accidentally included 2 1099Bs (over $1000 gross each) for her grandchildren. When I asked about them she said they didn't have to be filed -- it was just a small account for her grandchildren. The investment she had lost money & so she took it out and moved it to CDs. So a return is needed to show the loss & prevent the IRS "nastygram." Zero taxable income / zero tax. She's been saving this money for them without telling them or their parents. Is there any way she can legally sign the return for them? She is the custodian of the accounts. Or, does she have to reveal her secret & have the kid or mom sign? (One kid is too young to sign, but the other could sign her own return.) Thanks Quote Link to comment Share on other sites More sharing options...
grandmabee Posted April 6, 2010 Report Share Posted April 6, 2010 what if the parents also have an account for the kids? I think she needs to tell the parents. She can't sign the return for them. she not a parent or guardian. Quote Link to comment Share on other sites More sharing options...
Kea Posted April 6, 2010 Author Report Share Posted April 6, 2010 I was pretty sure she couldn't. Just hoping for a "loophole" for being custodian. Long shot, I know. Thanks Quote Link to comment Share on other sites More sharing options...
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