The short answer
| What it reports | Gross proceeds from the sale or exchange of real estate and certain royalty payments. |
|---|---|
| Amounts to report | Generally, $600 or more |
| To the recipient | February 15 |
| To the IRS, on paper | February 28 |
| To the IRS, electronically | March 31 |
If one arrives
Gross proceeds, not gain. The exclusion on a main home is claimed on your return; the form does not apply it for you.
The form is how a payer tells the IRS what it paid. Its absence is not permission — income you received is reportable whether or not a form covers it, and a threshold decides only who must file, never what you owe.
Who sends it
The person who closed the sale files it, not the buyer. The instructions: "Generally, the person responsible for closing the transaction ... is required to file Form 1099-S," which is usually the settlement agent named on the closing statement. It reports sales and exchanges of land, buildings, condominium units, stock in a cooperative housing corporation and standing timber.
A sale is reportable "even if the transaction is not currently taxable." The form is how the IRS hears about the sale. Whether you owe tax on it is decided on your return.
Gross proceeds, not gain
Box 2a is "generally the sales price." It includes cash, notes, and any debt of yours the buyer takes over, and the settlement agent must not take off your selling costs. So the figure on the form is larger than what reached you, and far larger than any gain. The gain is worked out on your return: the price, less your basis in the property, less the costs of selling it.
The main home exception
A sale of your main home is not reported at all when all of these are true:
- the price is $250,000 or less, or $500,000 if the seller is married;
- the seller gives a written certification, signed under penalties of perjury, that the home is a principal residence;
- the certification also states that the full gain is excludable under section 121, with the other assurances the instructions require.
When a form is issued anyway, the exclusion is still yours to claim on the return. The form does not apply it for you.
The boxes
| Box | What it holds |
|---|---|
| 1 | Date of closing |
| 2a | Total gross proceeds: the total of 2b and 2c |
| 2b | Cash gross proceeds |
| 2c | Digital asset gross proceeds (from 2026) |
| 3 | Address or legal description of the property |
| 4 | The buyer's part of real estate tax you paid in advance |
| 6 | Checked when you received property or services as part of the price |
| 7 | Checked when the seller is a foreign person |
Not every box is covered here.
Where it goes on your return
Where the sale goes depends on what the property was:
| Property | Where the sale goes |
|---|---|
| Your main home | Form 8949 and Schedule D, with the exclusion claimed there |
| Land or a second home held for personal use or investment | Form 8949 and Schedule D |
| A rental property or other real estate used in a business | Form 4797 |
A loss on property held for personal use is not deductible, but when a 1099-S was issued the sale still has to be reported. See Schedule E for the rental years before the sale.
Common questions
Box 2a shows the full sale price. Do I owe tax on all of it?
I sold my home and did not get a 1099-S. Is that normal?
I got a 1099-S for my home but made a loss. Do I still report it?
What is box 4?
I was paid partly in crypto for the property. Is that on the form?
This page is for educational purposes only and does not constitute tax, legal, or financial advice. It covers United States federal reporting. Consult a qualified tax professional about your situation.