topic Re: Schedule E in Business & farm

Schedule E

beannertrust — Tue, 18 Feb 2020 03:46:15 GMT

When you are doing schedule E under taxes do you include the taxes that were paid into the IRS on your behalf? (It is royalty income and taxes were taken before we received our payment) or is the taxes on schedule e just the taxes paid by you for things like property taxes?

Thanks for your help.

Re: Schedule E

KrisD15 — Tue, 18 Feb 2020 04:05:15 GMT

Yes, if it was reported on 1099-MISC, the tax withheld would be in box 4.

If you are entering it some other way, you would need to enter the tax paid (same as withheld).

Taxes, such as property taxes you paid on your personal home, are reported on Schedule A.

Re: Schedule E

beannertrust — Wed, 19 Feb 2020 21:49:32 GMT

Actually this was then deducted as an expense on Schedule E instead of being seen as a Tax payment. How do I get this number to show up as a tax payment on Schedule G?

Re: Schedule E

ThomasM125 — Thu, 20 Feb 2020 01:00:39 GMT

I'm not sure if you mean that you received royalty income, typically reported on a form 1099-MISC in box 2? If so, any federal tax withheld should be reported in box 4.

If it is not but was paid in on your behalf, you would report it as estimated tax paid in TurboTax as follows:

1. Go to the "Federal" section in TurboTax and click on "Deductions and Credits"

2. Find "Estimates and other Taxes Paid" and look for "Estimates" and click on it

3. Click on "Federal estimated taxes for 2019" and work through that section

You also may mean that income tax was paid on your share of the income in the name of the business. In that case, you would just enter the Royalty income as reported in box 2 of the form 1099-MISC, since the taxes paid would already be deducted from that income.