Not for LEV or Rakhi please !
I have a family of me , my wife & my 11 yr old son and we all are indian citizen in USA on the US Green Card . I file my income tax
return jointly with my wife as Married filing jointly
. Our kid is a student here in USA and stay with us . Please clarify the below :
(I) Can i transfer funds from my own bank account to my kid's name bank account so as to save tax
on interest income as the unearned income in the name of kid's account is tax free up to $2000 a year ?
(II) Can i withdraw any amount of funds from my kid's name bank account any time for any purpose (anyway i will be the signing authority in my kid's account till he get the age of 18 yrs or become major ) ?
(III) Does it make any difference if i open my kid's account in India or here in USA ?
(IV) Do i need to show unearned income of my kid anywhere if it is less than $2000 in a year because some people say no need to show if it is less than $1000 in a year but need to show if it is between $1000 to $2000 in year ,............... i am confused ........ please clarify in detail ?
(V) If all of us i.e., me , my husband and kid have bank account in India , will the FBAR Filing condition of $10K apply individually to each of us (i.e., 10K for me , 10K for my wife & 10K for my kid) or collectively $10,000 for all of us ?
(VI) If my spouse does not have any signature authority in regard with my bank account in India but he is authorised to operate my Bank Locker in which i have only important papers, files & photographs , so do FBAR limit also apply to bank locker and do my husband need to file FBAR only for Bank Locker ?
(VII) Do i need to mention my kid's unearned income anywhere in my Income Tax Return with my spouse ?