FFA Market Animals sold at Fair - No other income - How to file

[EKAnderson]

My 16 year old kid sold a market steer at the fair to rake in about $4k. With no other reportable income, does he need to file himself or can I include that amount on my return and absorb the miscellaneous income?

[TomK2023]

He will have to file his own tax return.

To report a 4-H Project in TurboTax follow these steps:

1. Open your return.
2. Select the Wages & Income tab.
3. Scroll down to Less common income click Start.
4. On the page Let's Work on Any Miscellaneous Income, click on Other reportable income.
5. On the page Any Other Taxable Income?  Select Yes.
6. On the page, Other Taxable Income enter 4-H Project Livestock Sold for the description and the amount.
7. Select continue and Select Done if you have no other items.

"If an individual participates in a 4-H Club or National FFA Organization (FFA) project, any net income received from sales or prizes related to the project may be subject to income tax. Report the net income as “Other income” on Schedule 1 (Form 1040), line 8z. If necessary, attach a statement showing the gross income and expenses. The net income may not be subject to SE tax if the project is primarily for educational purposes and not for profit, and is completed by the individual under the rules and economic restrictions of the sponsoring 4-H or FFA organization. Such a project is generally not considered a trade or business. For information on the filing requirements and other tax information for dependents, see Pub. 929."

IRS Pub. 255 - Farmer's Tax Guide (page 76)