The property type requested on the Schedule E is used to determine if the income is subject to any special rules. Types of property that may be subject to special rules include Land (5), Self-Rental (7) and Other (8).
What type of property is Land?
If Land is the type of property selected to report income received. Please click here to review the special handling of Land, which is a property you can’t depreciate.
What type of property is Self-Rental?
If Self-Rental is the type of property selected, this indicates the property is rented to a trade or business in which you, the taxpayer, materially participated. Please click here to review “Rental of Property to a Nonpassive Activity”.
What type of property is Other?
Other (not commonly used) is selected if the property doesn’t fall into any of the other category types. You are required to attach a statement to your return describing the type of property. The return would have to be manually filed (paper-filed) to attach the statement since attachments are not allowed when e-filing a return.