My property management company (Using Buildium) reported late fees on my 1099-MISC as "Other Income", but shouldn't it be all rental income? When entering this form into the rental property section of TurboTax Home & Business for Windows, it says that "Other Income" cannot be allocated towards a rental property, and wants to put it on Schedule-C. If it's on Schedule-C, it's not treated as passive income (correct?), and cannot be offset by Rental Expense, correct?
Should Late Fees be reported as "Other Income" or as "Rents"?