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llhall7
New Member

Need help with 1099 Misc - mineral rights lease payment. Income entered but does not take me to schedule e after I describe as a royalty payment? No production $ yet.

The income is entered but is not reflected in the Federal tax summary.  It shows as $0 on the summary screen next to the company that paid me for the lease of mineral rights.  When drilled down, it shows the amount that I was paid but when I check off royalty payment, it stops there and still displays $0 on summary screen.  It does not appear to be adding this amount to my income?

1 Reply
CherylW
Level 3

Need help with 1099 Misc - mineral rights lease payment. Income entered but does not take me to schedule e after I describe as a royalty payment? No production $ yet.

Since mineral lease rights are considered rental income, it will show up as a rental property, not a royalty.  When (if) you start producing, then it's considered a royalty.

To check and see if it did get reported correctly, look at your Schedule E.  That should have your property summarized on line 26, which carries over to line 17, Schedule 1.  

On your Form 1040, it'll be reported in the box by line 6, and then combined. 

To look at your 1040:

1.       Go to Tax Tools on the left-hand side.

2.       Go to Tools.

3.       Go to View Tax Summary.

4.       Click Preview my 1040 from the left-hand side.


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