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Level 2
posted Jan 1, 2023 2:35:28 PM

I sold o&g royalty. Purchaser sent a 1099-MISC "other income". How do I input "income" and then zero it out to satisfy IRS? Will report it as cap gain.

If I don't report it as "other income", IRS will flag it. If I show "in and out" of income and then report as capital gain, reporting will be correct. How do I report a negative income item?

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1 Best answer
Level 15
Jan 1, 2023 6:06:36 PM

In TurboTax, it is difficult to enter and then offset miscellaneous income on Schedule 1.

 

You can try entering the income as a royalty property on Schedule E and then offset the income entirely as an Other (miscellaneous) expense.

1 Replies
Level 15
Jan 1, 2023 6:06:36 PM

In TurboTax, it is difficult to enter and then offset miscellaneous income on Schedule 1.

 

You can try entering the income as a royalty property on Schedule E and then offset the income entirely as an Other (miscellaneous) expense.