Oil & Gas Lease money as "Rents" on 1099-Misc.

[AustTex]

TurboTax asks -

Is this a rental property or Royalty

Rental

You add the property Description, address, and owner

Click continue

What Type of Rental is This?

Whether you 

Raw Land Rented to Others

OR Others (choices)

you are then directed to

Do Any of These Situations Apply - None of the above

Click continue

Was This Property Rented for All of 2019

No, not all year.

Then they want to know fair rental price, days rented, etc.  

This is for a one-time oil and gas lease money.

I need an answer please 

[JulieS]

In this case since it is a one time payment, you can say it was rented all year and yes, it was rented at a fair market price. 

These questions are designed to lead you to proper follow up questions, but they don't apply to your situation. They also don't appear on your tax return.

You just need to report the income and related expenses, if any.

[martitj]

I have the same issue. Leased a new production zone on an existing oil well and tells me to separate rental from royalties. When I separate the one time payment from the royalty payments  it raises the taxes by 40% of the lease payment. That don't make sense?? 

[DavidS127]

Part of the tax increase is due to the fact that a royalty qualifies for a 15% depletion deduction, whereas the lease income does not.

Check to see that the rental income is reported on Schedule E and not Schedule C.  Income reported on Schedule C would be subject to both income taxes and self-employment taxes.