I am trying to complete a 1065 (U.S. Return of Partnership Income) for an LLC using TurboTax Business. The city where the commercial property is located exerted imminent domain and seized a portion of our property for a street project they were doing. We were reimbursed for the seized portion of the property at current going rates, given a reimbursement for a temporary easement on part of the property which they required to complete the construction and a reimbursement for damage done to the landscaping on the property. When I enquired, I was told the city does not issue 1099-S paperwork or anything else in this situation so we are on our own. However, I do know the specific amounts assigned to the above categories. How and where do I report/list these monies on the 1065 return using TurboTax Business? I have looked but can’t seem to find categories to fit this stuff into. Since this was just seizure of property and not of the building, I assume I do not have to worry about the depreciation schedules except for reducing the basis on the property itself by the amount of property permanently seized. Is there anything else I need to worry about? Thanks.
