It depends on whether you receive cash payments or a share of the production as rent.
Fixed cash payments
Fixed cash payments count as rental income. Enter the farm as a
rental property, reported on Schedule E. To do this, you need to be using the TurboTax Online Premier or Self-Employed editions, or one of the TurboTax desktop (CD/Download) products.
- Click on Federal Taxes >
Wages & Income [In TT Self-Employed: Personal >
Personal Income].
- Scroll down to the Rental
Properties and Royalties section and click on the Start/Revisit
box.
- On the Income from Rentals or
Royalty Property You Own screen click Yes.
- If you have already started adding
information about your rental, you will come to the Rental and Royalty
Summary screen. Click on the Edit box next to the
property. Or you can click on the link Add Another Rental or
Royalty.
-
If you haven't entered any rental or royalty information you will see
the screen, Is This a Rental Property or Royalty? be sure to
mark the radio button next to Rental Property.
- Continue through the screens,
entering the requested information.
In TurboTax Self-Employed (online) or Home & Business (desktop):
- Click on the Business tab >
Continue > I'll choose what to work on
-
On the Let’s gather your
business info screen, in the Rental Properties and Royalties
section, click the Start/Update button.
-
Continue through the screens, entering the requested information.
Share of Production
If you received a share of the production as rent, then you would enter the farm as a "farm rental" in the Farm Income and Expenses section and it will be reported on Form 4835. Please follow the steps listed below:
- Click on Federal Taxes > Wages & Income.
- In the Other Business Situations section, click on the Start/Revisit box next to Farm Income and Farm Rental.
- On the Tell Us About Your Farm or Farm Rental Income screen, mark the box I received a share of the production from my farm rental and click Continue.
- Continue through the screens, entering the requested information
In TurboTax Self-Employed (online) or Home & Business (desktop):
- Click on the Business tab >
Continue > I'll choose what to work on
-
On the Let’s gather your
business info screen, in the Farm Income and Expenses
section, click the Start/Update button next to Farm Rental Income and Expenses.
- On the screen, Tell Us About Your Farm or Farm Rental Income, mark the appropriate boxes concerning your farm rental.
- Continue through the screens, entering the requested information.
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"