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TheKid7
New Member

1099 MISC - HOW TO MODIFY/CORRECT MY CURRENT ENTRIES

I own the Mineral Rights for three properties (I do not own these properties.).  The Tax forms for the Mineral Right Incomes are on 1099-MISC.  I must have done something wrong when I entered everything.  When things are checked it shows a lot of errors on SCH C.  I think that I read somewhere that there should be SCH E not SCH C.

 

How do I correct this?  Do I need to completely Delete all three items and then enter them again?  Where did I make the mistake that got me here?  I do not want to repeat the mistake.

 

Thanks in Advance.

 

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3 Replies
PaulaM
Expert Alumni

1099 MISC - HOW TO MODIFY/CORRECT MY CURRENT ENTRIES

You are correct in that the 1099-MISC forms for royalties belong on Schedule E, not C. You would have to be in the business of mineral extraction for it to go on Schedule C. 

Delete the forms 1099-MISC and Schedule C (plus any worksheets) and enter under the Rent and Royalties section. You will be answering questions like the property address and ownership before arriving at the royalty income section to enter the 1099-MISC.

 

How do I delete a form? 
Where do I enter Royalty Income?

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TheKid7
New Member

1099 MISC - HOW TO MODIFY/CORRECT MY CURRENT ENTRIES

Thanks for your help.

 

The error check now only shows one problem.  One of my Mineral Royalties has a small amount  ($1.37) in line 3 of 1099-MISC.  The error check wants me to fill in Box 3 of 1099-MISC.  I think that it is referring to a SCH C?  Do I need a SCH C for this?  If I need a SCH C how do I add the SCH C and what do I need to fill out on the SCH C?

 

How do I fix this?

 

TheKid7
New Member

1099 MISC - HOW TO MODIFY/CORRECT MY CURRENT ENTRIES

I figured it out.  I had to check the box on Form 1099-MISC for the link to Other Income on SCH 1.  Thank you.

 

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