Eminent domain is taking a portion of our land but that includes our primary home, barn and shop. We received a 1099 s (2020) for all of that, plus via a Purchase Use Agreement we received a 10% "bonus." The sale of house, etc came on a 1099 S and the bonus came on 1099 misc - rents. We protested the amount and will settle up with them in 2021 for an additional amount. How do I report the forced sale it since it's over a 2 year period, and how do I report the bonus (for easement) without having to pay tax on that amount? And finally, when we sell the remaining property how do we reduce the gain?
