City government compensated a permanent easement for sewer line and a temporary construction easement. The temporary construction easement releases all claims from city back to owner after completion. The compensation was lumped into one payment and not specified between the permanent and temporary easements. I received a 1099 NEC from the city for the compensation. Is this 1099 correct, and how should this be reported to IRS on taxes. This is very confusing as to what information I have read on easement compensation. Thank you in advance.
