Final answer:
UTMA accounts are opened under the tax ID of the minor, although they are set up by donors and managed by custodians.
Step-by-step explanation:
UTMA accounts, which stand for Uniform Transfers to Minors Act accounts, are opened under the tax ID of the minor. This type of account is set up to allow a minor to receive gifts or transfers of property without needing a trust. The account is managed by a custodian until the minor reaches the age of majority in their state.
Even though the donations are made by a donor, and sometimes the custodian can be a parent, the tax ID associated with the account is that of the minor, thus all income generated by assets in the UTMA account is reported under the minor's tax ID.