If you get Oil and gas royalties... Do you choose investment income from property you own or Royalty income from your business?

oil and gas royalties are investment income. not sure what you mean by oil and gas royalties being business income. O&G royalties are reported on schedule E page 1. the property type is 6 (royalties) and the location is royalties.  maybe to clarify, if you have a business that has an investment in a partnership producing royalty income then proper entry would transfer the entries from the k-1 to schedule E page 1., if the business owns an interest in a royalty trust, the royalty trust income does not get reported on schedule C by schedule E.  on the other hand if what you have is a working interest in O&G owned directly that gets reported on schedule C.