# Can taxes on lease bonus payment(s) be spread out?

**URL:** https://www.mineralrightsforum.com/t/can-taxes-on-lease-bonus-payment-s-be-spread-out/74284
**Category:** Accounting and Taxes
**Created:** [February 14, 2024, 4:25pm UTC](https://www.mineralrightsforum.com/t/can-taxes-on-lease-bonus-payment-s-be-spread-out/74284 "2024-02-14T16:25:14Z")
**Posts on this page:** 4
**Page:** 1

<div class="post-metadata">

### Author: ![fjonesiv](https://www.mineralrightsforum.com/letter_avatar_proxy/v4/letter/f/a5b964/32.png) [@fjonesiv](https://www.mineralrightsforum.com/u/fjonesiv)
#### Post date: [February 14, 2024, 4:25pm UTC](https://www.mineralrightsforum.com/t/can-taxes-on-lease-bonus-payment-s-be-spread-out/74284/1 "2024-02-14T16:25:14Z")

</div>

Can tax payments on lease bonus money be spread out over several years?

Here’s the IRS statements on the topic: [https://www.irs.gov/pub/irs-news/FS-13-06.pdf](https://www.irs.gov/pub/irs-news/FS-13-06.pdf)

This seems to indicate that one probably ought to report what the Oil Company (Lessee) says on the Form 1099 they send you (or supposed to send you).

---

<div class="post-metadata">

### Author: ![Jeffrey\_Yourkovich](https://www.mineralrightsforum.com/user_avatar/www.mineralrightsforum.com/jeffrey_yourkovich/32/9077_2.png) [@Jeffrey\_Yourkovich](https://www.mineralrightsforum.com/u/Jeffrey_Yourkovich)
#### Post date: [February 14, 2024, 4:56pm UTC](https://www.mineralrightsforum.com/t/can-taxes-on-lease-bonus-payment-s-be-spread-out/74284/2 "2024-02-14T16:56:18Z")

</div>

NO - you are a cash basis taxpayer and the lease bonus is ordinary income in the year the check is dated.

---

<div class="post-metadata">

### Author: ![Jean\_Merrell](https://www.mineralrightsforum.com/letter_avatar_proxy/v4/letter/j/a6a055/32.png) [@Jean\_Merrell](https://www.mineralrightsforum.com/u/Jean_Merrell)
#### Post date: [February 16, 2024, 12:25am UTC](https://www.mineralrightsforum.com/t/can-taxes-on-lease-bonus-payment-s-be-spread-out/74284/3 "2024-02-16T00:25:36Z")

</div>

Pay your taxes by estimated taxes 4 times a year. That helps Keith spreading the payment on your royalties.

---

<div class="post-metadata">

### Author: ![system](https://www.mineralrightsforum.com/uploads/db5755/original/3X/6/c/6c7c56608c843272ad6e3662ce9562a5956f173e.png) [@system](https://www.mineralrightsforum.com/u/system)
#### Post date: [May 14, 2024, 4:25pm UTC](https://www.mineralrightsforum.com/t/can-taxes-on-lease-bonus-payment-s-be-spread-out/74284/5 "2024-05-14T16:25:19Z")

</div>

This topic was automatically closed after 90 days. New replies are no longer allowed.