I've had to sell part of my land in front of my house to the State government for a Right-of-way acquisition. Before the sale, I signed an agreement for them to have use of the land until the sale was completed for $3,000. I received a 1099-MISC for this, and in Box 1 for rent was $3,000. I entered this and it led me to entering a Schedule E and owing tax. Is this correct?
Regarding the actual sale of the land for $1,500 I haven't received a 1099-S from the title company. I filled out an information form in the closing documents for it. Would I still need to report this sale on Form 8949 as if I received a 1099-S?
