If you received money from the sale of timber, you'll probably get a Form 1099-S. Some people will get a 1099-MISC, which is (technically) the wrong reporting form per the IRS.
You'll report this money as investment income. Follow these steps:
- Open (continue) your return in TurboTax
- In the search box, search for investment sales then select the Jump to investment sales
- Answer Yes to the question Did you have investment income in 2022? (or Okay! to Time to kick off your investments!)
- If you land on the Investment sales summary or Your investments and savings screen, select Add More Sales or Add investments
- Follow the on-screen instructions to either import your investment sale info or enter it in your return yourself
- If you choose not to import your form, on the OK, let's start with one investment type screen, select Other
For your cost basis, most people will enter a 0, but you could enter what you originally paid for the seedlings or saplings.
TurboTax doesn't support IRS Form T (Timber), but you probably don't need this form. According to the IRS, it's only needed ...when a sale or deemed sale under sections 631(a), 631(b), or other exchange has occurred during the tax year.