Business & farm
Enter it in the Interest and Dividends section. If the interest was received as part of a sale that's not reported as an Installment Sale, you should report it here as Interest from a Seller-Financed Loan. A sale will not be reported as an Installment Sale in the following situations:
- The sale does not result in a gain (for example, the sale was a loss, or the entire gain was excluded under the Primary Residence Exclusion)
- All payments were received in a single tax year, OR
- You simply elect not to report the sale as an installment sale and treat the entire gain as taxable in the year of sale.
