I rent farm land in a state where I do not reside. I received a 1099-Misc. Do I enter this as Miscellaneous income?

Forum|Forum|4 years ago
January 26, 2022
1 reply
0 views

No text available

Best answer by JohnB5677

Farm landlords who are not involved in the farm operation are subject to income tax on their rental income. The proper way to report it is on Schedule E as the rental income you received. In addition, you will have the option to deduct any expenses you may have incurred.

GeorgeM777

Do you mean you rent out farm land to another party? If so, and your 1099-Misc in box 1 includes the rental payments your received, then yes, you would need to report the rental payments as income.

Generally taxpayers who are independent contractors or self-employed will receive a 1099-Misc with an amount in box 3, Other Income. This too is income and must be reported on a tax return.

**Say "Thanks" by clicking the thumb icon in a post**Mark the post that answers your question by clicking on "Mark as Best Answer"

Kurt D1Author

Yes, I rent the property out to another party. I also am asked whether I actively participate/manage the farm and whether I have any business expenses, etc. I am entirely passive, the renter "does all the work". So do I need any of these additional forms that the program generates concerning this?