Do I claim income from an ongoing inheritance?

[CaddyGrn]

Some years ago I received mineral rights in my inheritance.  Up until this year the amounts received have been very small.  However, this year I was paid  a more substantial amount of money from the mineral rights (it is ongoing, I did not sell or change anything).  Because this was originally an inheritance do I add this income to my Fed/State taxes?  

[Lisa995]

They should be sending you a 1099 for your share of the income...have you received any tax documents for any years?

[CaddyGrn]

Yes, I get a 1099 yearly

[Lisa995]

That 1099 should be included on your tax return, yes.

[CaddyGrn]

So I am taxed on my inheritance income yearly?  :(

[Lisa995]

You're taxed on the earnings from what you inherited, yes.

[CaddyGrn]

Ok, thanks

[VolvoGirl]

Have you been entering it each year?  If not you may need to amend prior years.  You must report all your income no matter how small.  Even $1 of bank interest.

[CaddyGrn]

Yes, I have entered each year.... I was just hoping the new tax law changed this .. for 2018

[DawnC0]

Yes, you need to report any income you receive on a 1099.   Since you are using TurboTax Home and Biz, you will enter it under the Business tab, Rental Properties and Royalties, see image attached.   You will be asked some questions about the royalty property and after that, TurboTax will ask you about any income received from the property and that is when you will enter the 1099-MISC.  

[CaddyGrn]

Thank you, I have done this.... 🙂