Does real estate cashback rebate taxable?

[PaulaM]

No, it is considered a reduction in the home's sales price. 

[karthio]

Thank you. However my realtor sent me 1099-MISC and he did not looks like to withdraw or to issue the corrected form not to notify the IRS 

. It seems like he wants make his plate clear by issuing the 1099-MISC to the buyer.  

How can I report this with TurboTax while submitting return and since it's not taxable money how to handle in my return filling?

Thanks in advance 

[DianeW777]

Retain the form in your tax file and you can respond should you receive any letter from the IRS later.  This is option one.

Option Two:

Enter the 1099 as miscellaneous or “other“ taxable income. Then go back to the other taxable income section and create a new item of other income in a negative amount (minus sign) to offset the income from the 1099. Label the negative item as something like 'Property cost adjustment'. You will be able to e-file. As indicated, keep the document and detail in your tax papers for at least three years after your filing due date.

.

Other Miscellaneous Income:

Go to the Wages and Income  section of TurboTax

1. Scroll to  Less Common Income > Select  Miscellaneous Income, 1099-A, 1099-C
2. Select Other reportable Income > Enter a description (----) and the amount

@karthio