Yes. If the Income from 1099-MISC is reflected in Box 2 it will be reported on Schedule E with your Tax Return. Per the IRS: Royalties from copyrights, patents, and oil, gas, and mineral properties are taxable as ordinary income.
Please follow the directions below to enter your royalty income:
- Type in royalty income in the search box (upper right side of the screen)
- Click the jump to royalty income link.
- On the next screen titled "Income from Rentals or Royalty Property You Own", answer yes.
- Answer the interview questions to input your royalty income.
- On the page titled Is "This a Rental Property or Royalty" you will enter your own address for the property address.