How is a payment for oil/gas drilling land damages taxed?

3 Responses to “How is a payment for oil/gas drilling land damages taxed?”

  1. v b Says:

    Read IRS pub 544.

    If you spent money to repair the damage, then you subtract that from the 1099 money.

  2. DeeDee Says:

    the oil/gas company will send you a Form 1099 with the gross amount they paid you. You will claim this as income.

  3. quizzard123 Says:

    That's income, taxable just as any other income.