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Grandparent opened savings account in name of child but child needs adults signature to withdraw money who pays tax?

money meant for college, child's name on acct that grandparent opened, who is responsible for taxes upon withdrawl. Adult or child?

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Depends on the title on the account and who's social security number is on it. If its an "in trust account", such as Grandma in trust for child, with grandmas social security # then grandma pays taxes. If its grandma custodian for child w child's ss# than it would go to his parent taxes.

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Putting a parent's name as a joint account holder with the child's account will only increase the taxes to be paid. It would be better if the grandparent put the money into a trust, since trusts eliminate the need for probate.

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