It depends on the nature of the grant. I researched this topic and couldn't find a clear answer but I did find this IRS publication that could provide some guidance.
What it states is if the charitable foundation that offered the grant is a a tax-exempt charitable organization, their contributions do not need to be reported as gift tax. In addition, individuals receiving assistance are not generally subject to federal tax on the value of assistance they receive from a charity to meet their personal needs.
Rather to report this as income, you must ask yourself is if you were a victim of disaster or in an emergency hardship situation. If the homeschool was a result of COVID for example, this was an emergency hardship situation. The publication also mentions other hardship situations such as sudden illness, death, accident, violent crime or other emergency hardships.
However, if your money received was not because of an emergency hardship and if you feel compelled to report.
- Go to federal>income and expenses>all income>>show more
- Less Common Income> Start
- Miscellaneous Income,>start
- Other reportable income>start
- Next screen asks Any Other Taxable Income>yes
- The next screen will allow you to report the income with a brief explanation.
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