It would be helpful if you posted what the royalty was for. If, for example, it is for oil/gas rights then in goes in the Rental/Royalty section of the "Income & Expenses" tab. If it is for maybe a book and you are not an author by trade then it could go in the "Hobby Income" under the "Other Income" section. Maybe you worked on a movie then it could go under "Miscellaneous Income" in the "Other Income" section.
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