We have a mineral tights lease with a 1099-misc. We haven't received royalty payments just rent. Do we file it as rental property or royalty property.

Forum|Forum|7 years ago
June 1, 2019
1 reply
13 views

The income is reported in box 1 rental.

TurboTax Self Employed Online

PaulaM

Alumni - Expert

It's recorded as a rental even though it is for a mineral lease because of the Box 1 rental info on the 1099-MISC. It's reported as a rents on the schedule E. Enter under the Rental and Royalty section.

On the page, Is This a Rental Property or Royalty?, mark the button for Rental and answer the property questions. Continue until you reach the rental summary page, then enter the 1099-MISC under the income section.

Note: Most of the interview questions will not pertain to your lease. Nevertheless, answer with a 'property' in mind.

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