How do I report a 1099S for a utility permanent easement I receive on 2nd home farm that has been used as hay business 4 yrs, income less than $700 or sm loss every year?

dsloan4354 — Thu, 06 Jun 2019 09:42:14 GMT

No depreciation has been taken on farm. I own half and inherited the other half in 2014.

Amounts you receive for the sale of an easement to a publ...

RichardG — Thu, 06 Jun 2019 09:42:15 GMT

Amounts you receive for the sale of an easement to a public utility are not taxable income per IRS rules. Instead, the payment reduces you basis in the property. That becomes an issue only when you sell the property.

Even though there is nothing to report on your tax return, the utility company has issued you (and sent a copy to the IRS) Form 1099S. Often this will trigger a written inquiry from the IRS at a later date. If that happens, you'll need to write back to the IRS and explain that the funds were received for a utility easement.

topic How do I report a 1099S for a utility permanent easement I receive on 2nd home farm that has been used as hay business 4 yrs, income less than $700 or sm loss every year? in Get your taxes done using TurboTax

How do I report a 1099S for a utility permanent easement I receive on 2nd home farm that has been used as hay business 4 yrs, income less than $700 or sm loss every year?

Amounts you receive for the sale of an easement to a publ...