I received a 1099-s for widening of an easement from the power company. It was made out to my LLC. Where do I show this on my 1065 return?

[rjmjforry]

The LLC is farmland for rent.

[KrisD · Accepted solution]

Report it as a sale of an investment, use the sales price as your basis so that there is no gain and no loss. 

Next, you will need to reduce the land value by the amount you received for the easement.  Since land is not depreciated, it would be your original basis less this sale amount for your new basis in the land.