The Texas operator of the property reports working interest income on a 1099 NEC. That money is the oil and gas income from production for which I have participation in said wells. It is not personal services. I also have a royalty interest in the lease which is reported on a 1099 Misc. Both of these are out of state income from a property I have owned since 1995. I can assign the 1099Misc to the Sch. E but the 1099NEC only selects the schedule E for assignment.
On schedule C, after all overhead costs are offset from income, I have a net number which I can add to the net ORR income from E to place in line 4 of 511. Hope this makes sense. Thanks again for your reply.
Should I create another record in E which I can assign the W. I. too and the related expenses?
