Should I set my 16 year old daughter up as a farm. She worked a part time job and received a W-2, also received 1099-misc for sale of animals?

[Cattlerancher]

Was she a part of a 4-H club or FFA? Did she raise the animals herself?

[mehr]

Yes

[Cattlerancher · Accepted solution]

4-H Club or FFA project. If an individual participates in a 4­H 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 line 21 of Form 1040. 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 4­H or FFA organization. Such a project is generally not considered a trade or business.