I have invested in the oil n gas . i was told to use a schedule c 1040 . i am not self employed I am a investor . How do I fill this out? thanks

[RayW7]

It depends, if you are receiving royalties, then you should enter it in one of the locations below.

With your return open, search for 1099-MISC and select the Jump to link in the search results.

When you enter your 1099-MISC, enter the income in Box 2 - Royalties. On the following screen, choose the source of your royalty income:

• Investment income from property you own – This includes natural resources extracted from your property by a third party who leases your property, as well as royalties from intellectual property that you didn't create yourself. This gets reported on Schedule E.
• Royalty income from your business, including artist royalties or operating a natural resources business (Schedule C) – This includes income from natural resources that you extract from your property as well as royalty payments from intellectual property you created as an inventor, writer, artist, and so forth. This gets reported on Schedule C.

Once you've selected the proper classification, follow the onscreen instructions.

[geeruns26]

I haven’t received any royalties from this investment as the year ended .

[ThomasM125]

If you haven't received any income or tax reporting forms (1099 forms), then you don't need to enter anything on your tax return.

[geeruns26]

Thank you , but I was told I could write off my investment . I did not make any money on it last year . 

[ColeenD3]

What do you mean by "write off your investment"? Did you have expenses? Did your investment become worthless?

[geeruns26]

They told me I could write off my initial investment  . I did not make money on it last year , it is not worthless . Oil wells have so far found oil .

Thanks for your reply

[JamesG1]

Did you receive form K-1 for a partnership or some other form?  Please clarify.