Which condition makes a child ineligible for a parent to report their interest and dividends on the parent's tax return?

For a parent to report their child's interest and dividends on their own tax return, certain conditions must be met based on the child's income level. Specifically, one key factor is the child’s gross income. Generally, if a child has gross income that exceeds a certain threshold, they are ineligible for this reporting option.

In this case, the threshold is $11,000 for 2023. Since the child's gross income is $18,025, which exceeds this limit, the child cannot qualify for the income to be reported on the parent’s tax return. This means the parent cannot take advantage of the tax benefit that comes from combining the child's investment income with their own, due to the child having a gross income that surpasses the allowable limit.

The other conditions mentioned in the choices do not disqualify the child from being reported on the parent's tax return, as a child being under 19 years old or having gross income below $11,000 are both qualifying factors. Additionally, having income sourced exclusively from dividends does not affect eligibility as long as the total gross income remains below the threshold.