Deductions & credits

• Is he required to declare this India income while filing his federal and CA tax returns?  
•              As a US person  ( in your case Resident for Tax purposes ), you are taxed on your world income.  Thus you have to recognize  all incomes  -- no matter wherefrom and what type-- and  pay taxes  on that income.
• If the answer to both is yes, how do we do that in TurboTax? Which forms need to be filled? Exactly which fields/forms will reflect this income? As you can see, the income/profit is around $6200, the assets have crossed $10000 at some point in the year (February probably), but the assets have never crossed $25000. The answers online include conflicting opinions on whether to declare this as ordinary income like US stocks with no 1099-B, declare it as miscellaneous income, declare this as PFIC, fill form 8621, and so on.
• Do not understand the reference to US$10,000 and/or US$25,000.  Foreign Mutual funds  etc. are generally regarded as PFICs by the US and thus the requirements of  section 1297 and update of section 1061 are the ones I am aware of 
• Also, how exactly does the conversion INR to USD take place - should we convert them as above on the day, and then take the difference, or we take the difference in INR, then convert it to USD? The second approach sounds more logical, because I never actually transferred money from the US to India or vice versa ever. The investment source was also in India, and the sale money is also gonna be there.
• Generally  for foreign currency based  transactions while assuming your operating/functional currency is US $, one is expected to use  dollar of the day  conversion i.e. you convert to US $ using the daily/published  rate  on the day the  transaction took place.  Thus  if you bought  an asset  in India  on  July 10th of 2021 -- your basis  for that  asset  is US$ XX  using conversion rate for that day.   Again  when you dispose of that asset on   October  15th of 2024, your sales proceeds is US$ YY using the FMV ( Fair Market Value ) and the  INR to US$ conversion for that day.  You gain  on this disposition  is  US$ YY LESS US$XX.  Does this make sense ?
• Lastly, taxes on Chunk 1 in India  are already paid while filing taxes in June 2024 for FY 2023-24. The taxes on chunk 2 will be filed in May/June 2025. Is there a way to get credit for those taxes in our US return (like a double taxation avoidance treaty)? And is the path to do that simple, or is it simpler to just pay incremental taxes without getting credit for the India tax?  
• Yes  the  difference in Tax Calendar between India  (  e.g.  Apr 1st  Year 1 to Mar 31st of Year 2 ) and that of the US ( Calendar year ) does create  issues.  You can always use the TDS ( estimated withholding effectively ) to file the US taxes and  amend the return when  ITR has been filed and accepted by the IT department  OR  wait to file the US return  ( with an extension ) till the Indian ITR has been accepted.

A point to consider here  -- assuming that  you did not have any  dividend  or similar distribution during the period of holding of the  PFIC  ( Indian Mutual Funds are generally considered as PFICs ) and/or you have not filed any 8621s,  there are complications to consider here.  Ideally  there should have been 8621s filed  yearly during the holding period.  From a  tax perspective ( assuming no actions were taken priorly )  treating this sale as ordinary income may  satisfy  the bulk tax amount.  I would strongly recommend a discussion with a tax professional familiar with PFIC and international taxation.

Is there more I can do for you ?