Assuming the realtor operates as an independent contractor:
If the realtor/agent reports their full commission as income on line 1 of his or her Schedule C, the realtor/agent may then deduct the rebated amount on that Schedule C.
The realtor/buyer must then reduce their cost basis in the home by the amount of the rebate.
**Answers are correct to the best of my ability but do not constitute tax or legal advice.
