Question

Which form for sale of forest land used for timber income?

Which form do I use to report sale of forest land used for timber income? Is it 1099-B?

I was not the owner of the forestry business.

If you are reporting the sale of timberland that you owned, then you would report it as investment income which can be reported on a 1099-B.

Description - Timber parcel with general location or address
Date sold - from your records
Date acquired - from your records
Sale proceeds - from your records
Cost basis - initial purchase price plus expenses of the sale such as surveying, etc.

The timber sale will be recorded in your tax return.

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TetteAuthor

@PattiF Thank you for your reply.

This was a foreign sale. Should the sale proceeds be written down pre-foreign tax, pre-expenses (gross proceeds)?

On page 3 of this section it says. "Select any less common adjustments that apply." And then -

"Fees or expenses not already deducted from reported sales price." next to an empty check box.

Should I put the broker's fee and legal fee here, in addition to as expenses added to the cost basis?

Yes, the proceeds would be pre-foreign tax and pre-expenses.

Yes, you should add the expenses of the sale, the broker's fee, and legal fee, to the cost basis.

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