How do I apply a 1099-Misc for rent to two separate locations since the business renting the location moved half way through the year but included rent on the same form?
The rent paid is for 6 months at one location and six months at a new location.
The rent paid is for 6 months at one location and six months at a new location.
1)You take that 1099-MISC and staple it to a blank sheet of paper.
2)On that blank sheet of paper you split the one dollar amount between the two properties, appropriately.
3)You then tell TurboTax, for each property, that no 1099-MISC was received and enter the correct amount in the "2016 Rental Income" box based on the split in Step 2
OR
You then tell TurboTax for each property, that you did receive a 1099-MISC, type in all the information off the 1099-MISC, and enter the correct amount figured in Step 2 in each "1099-MISC's" Box 1.
4) You attach your Step 1) sheet to your own paper copy of your "as filed" income tax return as documentation of what you have done, if the IRS ever asks.
Either Step 3) method will result in the exact same income tax return. There is absolutely no detail information about 1099-MISC's, (or lack of 1099-MISC's), included in your income tax return. All the IRS sees is the dollar amounts reported on the "Rents Received" line of Schedule E.
Tom Young
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