How do I report income received from past due rent for a home I have sold?

[merriah]

I had a rental home that I sold in 2021.  The tenant was way behind in rent and left a considerable amount of damage.  The property management has been receiving the past due amount in small increments throughout the year.  They have now sent me a 1099-MISC but they are still collecting their management fees/tax fees/etc. from the payments.  If I try to enter it as rental income it gets kicked back because it is not being rented.  Do I just include it as misc income and forget adding the management company fees?   Thanks for your help!

[JamesG1]

I would report the 1099-MISC income as other income.  

You are correct, under that category there is no allowable method of reporting the management company fees.

Follow the steps below to report income on an IRS Form 1099-MISC.

• Select Federal from the left side menu.
• Click on Wages & Income.
• Scroll down to Less Common Income.  Click Show more.
• Click Start / Revisit to the right of Miscellaneous Income.
• Click Start / Revisit to the right of Other reportable income.

View the entries at Tax Tools / Print Center / Print, save or preview this year's return / Include government and TurboTax worksheets.

@merriah 

[Mike9241]

i would use schedule E describe as  "back rent for" and the address. for rental days use 30 personal days use 0 or report just the rental income as misc income an loose out on the management fees.