It is really a Medicare surcharge on investment income (which also includes dividends, interest, and royalties) levied on high income tax payers.

Salary & wages (15%), Royalties (10%), Depreciation (8%), etc.

(If he wants 50 quadzillion dollars and first born royalty for a run down shack you are not in a hurry.

For instance, Oil and gas rights and royalty interests in mineral resources are considered real estate for purposes of 1031. 

From a practical point if they ever pursued it....they have not done anything with the space, obviously they are not paying any royalties to the owner, so I’d confidently argue they have abandoned the agreement/space. 

Passive income is interest, dividends, royalties, rent from real property, or the future sale of an asset held to produce such passive income.  

Royalty streams can qualify through An exchange, with an income.

I can cut 1-800-Junk in half because I have lower head (no franchise fee, dues or royalty’s. 

When I look it up as a legal term it seems to be nearly everything except real estate.Meaning they can take your inventory, equipment, that new forklift to replace your damaged one, accounts receivable, royalty licenses, bank accounts, financial settlements etc.

You will likely have to invest little or no money in the deal and reap a handsome royalty or profit share of the deal. 4.