topic I am trying to enter production taxes on mineral rights under royalties but there isn't any place to enter it. Where do I enter it? in Self employed

I am trying to enter production taxes on mineral rights under royalties but there isn't any place to enter it. Where do I enter it?

Rocky1023 — Wed, 11 Feb 2026 03:44:55 GMT

Re: I am trying to enter production taxes on mineral rights under royalties but there isn't any p...

DianeW777 — Mon, 12 Feb 2024 15:42:56 GMT

You are allowed to deduct any expenses directly related to this income. Select your Royalty income then select this expense.

This can be entered under 'Miscellaneous expenses'.
It will show up under your expenses, click Start or Review
Simply enter your description and the amount. See the image below.

Re: I am trying to enter production taxes on mineral rights under royalties but there isn't any p...

Rocky1023 — Mon, 12 Feb 2024 19:51:25 GMT

I entered the productions taxes under Other Taxes. However, even though I entered all information from the 1099-Misc forms for rents and royalties, when I ran a review I am now being told that rents and royalties cannot be on the same Schedule E. Does this mean I need to make a separate Schedule E? If so, how do I do that?

Re: I am trying to enter production taxes on mineral rights under royalties but there isn't any p...

MarilynG1 — Mon, 12 Feb 2024 19:58:18 GMT

Go back and check your 1099-Misc entry for Royalties. You need to indicate that it is for 'Royalties' with an amount in Box 2.

Here's more info on How to Enter 1099-Misc for Royalty.

Re: I am trying to enter production taxes on mineral rights under royalties but there isn't any p...

Rocky1023 — Mon, 12 Feb 2024 20:05:44 GMT

I have two 1099-Misc forms. One form has rents only, and the other has rents and royalties. When I followed the step-by-step procedure, I came up with three 1099-Misc worksheets. All information from those three forms was transferred to Schedule E. However, I am receiving an error message stating that rents and royalties must be separate. What am I doing wrong?