Need a Sch C for royalties?

Forum|Forum|6 years ago
June 6, 2019
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TurboTax Premier Windows

Best answer by KarenJ2

Royalties are reported either on Schedule C or Schedule E.

In most cases, you report royalties in Part I of Schedule E (Form 1040). However, if you hold an operating oil, gas, or mineral interest or are in business as a self-employed writer, inventor, artist, etc., report your income and expenses on Schedule C or Schedule C-EZ (Form 1040).

KarenJ2Answer

Royalties are reported either on Schedule C or Schedule E.

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ebardach

Thanks for this. I hope you don't mind a further inquiry. I am a retired prof at UC Berkeley. I still get royalties from a book published some 20 years ago. I report them on Schedule E. In the last few years Turbotax also insists I report them again on Schedule C. And it counts them twice in income, and seems to tax them twice. Does the tax code really want this? Is there some glitch in Turbotax? If they are only supposed to be counted once, what is the way around this?

douglasstax

One more thing to add-if you overpaid (paid taxes on royalties income in two locations on the return) in prior years you can file an amended return and request a refund of the overpaid tax.