Issuing a 1099 to the property owner is obvious and clear = it's the property owner's income. However, I am going to continue to challenge that it is the property manager's income, too. Are credit card companies recording ALL the money they process as their income? The management fees and the commission are the property manager's income. The money that is collected and disbursed is nothing but a short term deposit and every way I look at it, it is a balance sheet item. I don't see how it can possibly belong on the income statement. The money sent to the property owner is neither cost of sales nor an expense.
