I inherited mineral rights from my father 9/04; value approx. $150,000. I paid yrly taxes on the royalties. I sold the rights 11/19 for $100,000. Any tax consequences?

[Anonymous]

did you take depletion?

[Carl]

Tax consequences? Did you do something wrong? Or do you really mean tax liability? It don't really matter here, as you need to report the sale. You very well may have a gain on the sale to, once depletion is taken into account. The only possible way to know if you'll pay taxes, is to work the sale through the program. you'll report the sale in the rentals & royalties section of the program by indicating that you sold or otherwise disposed of it. Then you *MUST* work through everything listed in the assets section, one at a time if more than one item is listed.