I received a one-time permanent utility easement and takings settlement payment from a utility company for their construction of power lines across farmland owned and occupied by my father as a life estate, with my brother and I as the fee simple owners of the land. My brother and I do not live on the farmland and I live in a different state from the land; however, we each received a portion of the settlement payment (negotiated prior to an eminent domain court procedure). I received a 2023 1099-S for Proceeds for the Sale of Real Estate. How do I enter this into Turbo Tax? Or, is this even possible in Turbo Tax? As the life estate owner, my father has been dealing with all the taxes related to this farmland, so I don't know the proportional value of the land impacted by the utility lines/permanent easement to make a determination of the proportional cost basis reduction and remaining taxable income if this were my own property.
