report section 8 109

[chicago6065612]

Let say you have 4 rental properties rented section 8. At the end of the year section 8 will issue 1099 for all your rentals with total $$$ they paid you in rent. What’s the best way to report it ? put the total amount of 1099 somewhere on the return and link rents separately from your rental properties (not sure it is possible) OR just put the partial amount for each rental making sure that when you add all of your rental gross income it will add up to the grant total on 1099 ? IRS has a system that looks for the following combination SSN or EIN and total amount on 1099 on both payer and payee statements. They run the script and see if both parties reported the same amounts. if not the return is flagged for audit. The amount will be the same but broken into pieces (across 4 rentals) and this will be picked up by the IRS script…that’s why I would rather put the total amount that is on 1099 and then link each property. How can we do it ?

[ColeenD3]

There is no way to do this. Allocate the amount of rent that belongs to each property. This is a common occurance. If the IRS questions the amounts, you have proof that you included all amounts reported on 1099.