Is an oil & gas lease bonus payment entered into a Form 1040 as royalty or as rent?
I received a 100 MISC from a payor for a signing bouns on an oil & gas lease on my Texas property. The 1099 MISC shows the bonus as "Rent" with an amount of the "Rent" or bonus. Actual royalty payments are entered as royalty, but how is the signing bonus entered: rent or royalty. How this is entered into TurboTax makes a huge difference in the amount of tax liability.