Legal Definitions – K
Kiddie Tax – A tax applied to a child’s unearned investment income that taxes it at the parent’s tax rate rather than the lower rate for children. This tax was implemented to prevent parents from shifting investments or unearned income from their high tax bracket into their child’s lower tax bracket.
Kidnapping – An unlawful act or an instance of taking a person without consent, by force or fraud. It can be enacted by the victim’s family members, as well as strangers.