An easement is not taxable income.
The amount is subtracted from the basis of the property.
This lower basis may or may not affect the capital gain when the property is sold.
You can "ignore" the 1099-S and save it with your tax files. Keep it in mind when the property, which includes the easement, is ever sold.
You can also report it as the sale of your primary home (selecting rental home would trigger all sorts of depreciation entries). Enter the proceeds and then enter the basis as the same amount so that there is no gain no loss.
Again, since this is "like selling a slice" of the property, the amount of the easement payment is subtracted from the remaining basis.
If this property cost 200,000 and the easement payment was 10,000, your basis is now 190,000.
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