Royalties received by writers, inventors, and originators of other creative works who are not in the business of doing this sort of work (but who have a profit motive in mind), are reported on the Form 1099-MISC, Miscellaneous Income, box 2. Where are these royalties reported on the tax return? Schedule B (Form 1040). Schedule C (Form 1040). Schedule E (Form 1040). Schedule 3 (Form 1040)