Income or Loss from REMICS
If you are the holder of a residual interest in a REMIC, report your total share of the REMIC's taxable income or loss for each quarter included in your tax year. You should receive Schedule Q (Form 1066) and instructions from the REMIC for each quarter. Do not attach Schedule Q to your return. Keep them for your records.
Part V - Form 4835 - Net Farm/Rental Reconciliation
Income from farm rental property should be reported depending on whether the landowner was paid based on crops or livestock produced by the tenant, or based on a flat rate and paid with cash. If the landowner was paid based on production from the farm and did not materially participate in the operation or management of the farm, income received from the rental should be reported on Form 4835. If the landowner received payment based on a flat contracted rate, the income would be reported as ordinary rental income on Schedule E.
Do not use Form 4835 if you were a/an:
- Tenant - instead use Schedule F to report Farm Income and Expenses
- Landowner (or sub-lessor) and materially participated in the Operation or Management of the Farm - instead use Schedule F to report Farm Income and Expenses
- Landowner (or sub-lessor) and received Cash Rent for Pasture or Farmland based on a Flat Charge - instead report as Income on Schedule E, Part I
- Estate or Trust with Rental Income and Expenses from Crop and Livestock Shares - instead report on Schedule E, Part I
- Partnership or S Corporation with Rental Income and Expenses from Crop and Livestock Shares - instead report on Form 8825.
From the Main Menu of the Tax Return (Form 1040) select:
- Income Menu
- Rents, Royalties, Entities (Sch E,K-1,4835,8582)
- Part V (Including Form 4835)
- Net Farm Rental Income/Loss (Form 4835)
- Select 'New' or double-click the entry you wish to 'Edit'.
- Enter all information that applies.