DavidD66
Expert Alumni

Investors & landlords

If you don't report the 1099-MISC, more than likely you will eventually get a letter from the IRS about the missing income.  You can avoid this by claiming the rental income and reporting an expense for the same amount.  Call it something like (Adjustment for non-reportable income or similar.)  This will net to zero and you will not owe any tax on the amount received. 

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