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INSTRUCTIONS
FORM N-615 STATE OF HAWAII—DEPARTMENT OF TAXATION
(REV. 2023) INSTRUCTIONS FOR FORM N-615
COMPUTATION OF TAX FOR CHILDREN UNDER AGE 14 WHO
HAVE UNEARNED INCOME OF MORE THAN $1,000
(NOTE: References to “married” and “spouse” are also references to “in a civil union” and “civil union partner,” respectively.)
General Instructions Note: The parent may be able to elect to report income (from Form N-11, line 20 or Form N-15,
the child’s interest, ordinary dividends, and line 35, Column B).
Note: The federal provisions in the: (1) Tax capital gain distributions on the parent’s return. If the child had earned income, use the
Increase Prevention and Reconciliation If the parent makes this election, the child will Child’s Unearned Income Worksheet on page 2
Act of 2005, (2) Small Business and Work not have to file a return or Form N-615. For more to figure the amount to enter on line 1. But use
Opportunity Tax Act of 2007, (3) Tax Cuts and information, see Instructions for Form N-11 or the instructions for federal Form 8615, Tax for
Jobs Act of 2017, and (4) Further Consolidated Form N-15 and Form N-814, Parent’s Election to Certain Children Who Have Unearned Income,
Appropriations Act of 2020 relating to minor Report Child’s Interest and Dividends. instead of the worksheet on page 2 to figure the
children whose unearned income is taxed as
if it were their parent’s income have not been Additional Information. –– For more information amount to enter on Form N-615, line 1 if the child
adopted for Hawaii income tax purposes at the about the tax on unearned income of children, has a net loss from self-employment or claims a
present time. see the instructions for federal Form 8615, Tax for net operating loss deduction.
Certain Children Who Have Unearned Income.
Purpose of Form. –– Under section 235-7.5, Earned Income includes wages, tips, and
Hawaii Revised Statutes, children under age How To Obtain Tax Forms. –– Hawaii tax forms, other payments received for personal services
14 whose unearned income (such as taxable instructions, and schedules may be obtained at performed. Generally, earned income is the total
interest and dividends) over $1,000 is taxed at any taxation district office or from the Department of the amounts reported as wages, salaries, tips,
the parent’s rate if the parent’s rate is higher than of Taxation’s website at tax.hawaii.gov, or you etc., business income (loss), and farm income
the child’s rate. may contact a customer service representative (loss) on federal Form 1040 and Schedule 1, or
at: 808-587-4242 or 1-800-222-3229 (Toll-Free). Form N-15, lines 7 and 12.
Do not use this form if the child’s unearned
income is $1,000 or less. Instead, figure the Line-by-Line Instructions Line 2. –– If the child itemized deductions on
Form N-11 or Form N-15, enter on line 2 the
tax in the normal manner on the child’s income We have provided specific instructions for most larger of:
tax return. For example, if the child had $900 of the lines on the form. Those lines that do not
of taxable interest income and $200 of wages, appear in these instructions are self-explanatory. • $1,000, or
Form N-615 is not required to be completed and
the child’s tax should be figured using the Tax Lines A and B. –– If the child’s parents were • $500 plus the portion of the amount on Form
Table. married to each other and filed a joint return, N-11, line 22; or Form N-15, line 39, that is
enter the name and social security number of the directly connected with the production of the
If the child’s unearned income is more than parent who is listed first on the joint return. For unearned income on Form N-615, line 1.
$1,000, use this form to see if any of the child’s example, if the father’s name is listed first on the Line 6. — Enter the taxable income shown on
unearned income is taxed at the parent’s rate return and his social security number is entered the tax return of the parent identified on line A
and, if so, to figure the child’s tax. For example, in the block labeled “Your social security number,” of Form N-615. If the parent’s taxable income is
if the child had $1,100 of taxable interest income enter his name on line A and his social security zero or less, enter zero on line 6. If the parent
and $200 from wages, complete Form N-615 and number on line B. If a parent is an alien and filed a joint return, enter the taxable income
attach it to the child’s Form N-11 or Form N-15. was issued an individual taxpayer identification shown on that return even if the parent’s spouse
Unearned Income. –– As used on this form, number (ITIN) by the IRS, enter the ITIN. is not the child’s parent.
“unearned income” includes all taxable income If the parents were married but filed separate Line 7. — If the individual identified as the parent
other than earned income as defined later. returns, enter the name and social security on this Form N-615 is also identified as the parent
It includes income such as taxable interest, number of the parent who had the higher taxable on any other Form N-615, add the amounts, if
ordinary dividends, capital gains (including capital income. any, from line 5 on each of the other Forms N-615
gain distributions), rents, royalties, etc. It also
includes annuity income, taxable scholarship and If the parents were unmarried, treated as and enter the total on line 7.
fellowship grants not reported on federal Form unmarried for State income tax purposes, Line 9. — Figure the tax on the amount on line 8
W-2, unemployment compensation, alimony, and or separated by either a divorce or separate using the Tax Table, Tax Rate Schedules, Capital
income (other than earned income) received as maintenance decree, enter the name and social Gains Tax Worksheet in the Instructions for Form
the beneficiary of a trust. security number of the parent with whom the child N-11 or Form N-15, or Form N-168, whichever
lived for most of the year (the custodial parent).
Who Must File. –– Form N-615 must be filed applies. If line 8 includes any net capital gain, the
for any child who meets all of the following Exceptions: If the custodial parent remarried tax on the amount on line 8 may be less if the
conditions: and filed a joint return with his or her new spouse, Capital Gains Tax Worksheet is used to figure the
• The child had more than $1,000 of unearned enter the name and social security number of the tax. The Capital Gains Tax Worksheet should be
income. person listed first on the joint return even if that used to figure the tax if:
person is not the child’s parent. If the custodial the parent’s the amount on
• The child is required to file a tax return. parent and his or her new spouse filed separate filing status AND Form N-615,
returns, enter the name and social security is line 8, is over
• The child was under age 14 at the end of 2023. number of the person with the higher taxable Single $ 24,000
A child born on January 1, 2010 is considered income, even if that person is not the child’s •
to be age 14 at the end of 2023.
parent. Married filing joint return
•
• At least one of the child’s parents was alive at If the parents were unmarried but lived or Qualifying surviving $ 48,000
the end of 2023. spouse
together during the year with the child, enter the
For these rules, the term “child” includes a name and social security number of the parent • Married filing separate
legally adopted child and a stepchild. These rules who had the higher taxable income. return $ 24,000
apply whether or not the child is a dependent. Line 1. –– If the child had no earned income Head of household $ 36,000
These rules do not apply if neither of the child’s (defined later), enter the child’s adjusted gross •
parents were living at the end of the year.
