Help with Form 8615 on TurboTax for first-time filer

Form 8615 is known as the "Kiddie Tax" form, and TurboTax is prompting you for it because of your age and student status. This form is typically used when a child has unearned income (like interest, dividends, capital gains, or scholarship money that isn't used for qualified education expenses) above a certain threshold. The confusion might be between dependency status and the kiddie tax rules. They're related but separate issues. Even if your parents can't claim you as a dependent, you might still fall under the kiddie tax rules if: 1. You're under 24 and a student 2. You have unearned income above the threshold (about $2,300) 3. You don't provide more than half of your own support from earned income Based on what you shared, your scholarship money might be what's triggering this. Not all scholarship money is taxable, but amounts used for non-qualified expenses (like room and board) can be considered unearned income.

After struggling with exactly this issue last year, I found an incredible tool that saved me hours of frustration and confusion. I had the same Form 8615 question pop up in TurboTax and couldn't figure out if I needed it or not. I tried https://taxr.ai and uploaded my documents (W-2, 1098-T and scholarship statements). It analyzed everything and gave me a clear explanation about whether I needed Form 8615 based on my specific situation. It also explained exactly how my scholarships would be taxed and which parts were considered "unearned income" for the kiddie tax calculation. What I really liked was that it flagged that I was answering some of the TurboTax questions incorrectly, which is what was triggering the unnecessary form. The analysis showed me exactly what to change in TurboTax to fix the issue.

I was skeptical about taxr.ai at first, but I finally tried it after being completely stuck on this Form 8615 issue. I uploaded my documents and within minutes got a complete breakdown of my situation. Turns out I was answering the support test questions wrong! My $14,500 in wages from my part-time job actually DID count toward my support, which meant I provided more than half my own support. The tool explained that since I provided more than half my support from earned income, I was exempt from the kiddie tax and Form 8615 even though I was under 24 and a student. The analysis showed exactly which TurboTax screen was causing the problem and what to change. Fixed it in 5 minutes after being stuck for days. Definitely saved me from overpaying on my taxes because of that kiddie tax calculation!

If you're still having issues with the IRS forms after trying online help, calling the IRS directly might be your best bet. I had a similar issue with Form 8615 last year and needed clarification from an actual IRS agent. Problem is, I spent HOURS trying to get through to someone. After multiple failed attempts, I discovered https://claimyr.com and watched their demo at https://youtu.be/_kiP6q8DX5c. Basically, they wait on hold with the IRS for you, then call you when an agent is ready. I was honestly shocked when it actually worked - got a call back with an IRS agent on the line within about 2 hours instead of spending all day redialing myself. The agent confirmed that as a student who provides more than half my own support through employment income, I didn't need to fill out Form 8615 even though TurboTax was prompting for it. They explained exactly which questions to answer in TurboTax to bypass this form correctly.

Ok I have to admit I was totally wrong about Claimyr. After posting that skeptical comment I went ahead and tried it anyway out of desperation. I figured I had nothing to lose since I'd already wasted hours trying to call the IRS myself. I got a call back in about 90 minutes with an actual IRS agent on the line! I explained my Form 8615 situation, and the agent walked me through the exact criteria. Turns out I was confused about what counts as "support" - the agent confirmed that my $12,800 in wages from my job definitely counts toward calculating my own support. Since I pay for most of my expenses with that money, I provide more than half my own support, which means I don't need Form 8615 even though I'm a part-time student under 24. The agent also explained which specific TurboTax questions were causing the confusion. Totally worth it after spending days getting nowhere!

Another thing to consider is whether you fall under the Self-Support Exception for the Kiddie Tax. I ran into this exact issue with Form 8615 on TurboTax last year. The key is that if your earned income (from your W-2 job) provides more than half of your support, you're exempt from the kiddie tax rules even if you're under 24 and a student. Support includes your housing, food, clothing, education expenses, medical costs, etc. So calculate: does your café job income cover more than 50% of all your living expenses for the year? If yes, then you should be able to avoid Form 8615 entirely. Make sure you answer this question correctly when TurboTax asks!

Has anyone else noticed that TurboTax sometimes asks for forms you don't actually need? Last year it had me fill out some crypto tax form even though I had zero crypto transactions. After talking with a tax professional, I learned you can sometimes override these prompts.