I received a rebate (and 1099-MISC) from a Municipal Water District for the removal of turf and installation of drought tolerant landscape. I spoke with an agent from the IRS law department who researched the issue and told me that the rebate is not taxable income.
I entered information from the 1099-MISC. How do I subtract the amount of that income and add a statement referring to the information that I received from the IRS agent? I have his IRS ID number.
