Yes, you can report expenses related to Farm Rental Income on Form 4835. Follow these instructions:
- Open your return and go to Federal >> Wages & Income.
- Scroll down to Business Items or Rentals, Royalties, and Farm (this depends on what version you are using).
Note: You may need to search for "farming" to trigger the Farm Income and Farm Rental topic. Don't enter anything if you do. Use the Back command to return to the Wages & Income page.
- Select or Start/Update/Revisit Farm Income and Farm Rental.
- On "Did you have any farm or farm rental income in 20XX?" click Yes.
- On "Tell Us About Your Farm or Farm Rental Income," select I received a share of the production from my farm rental (this is required to trigger Form 4835).
- Select I did not materially participate in my farm rental, then Continue.
- Complete the rest of the screens, including income and expenses for this activity.
Note that you don't need an EIN unless you paid wages.
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