I purchased a new home.My buyer's agent paid me cashback and asked W-9 from me but didnt issue any 1099 form.Is this cashback taxable?How to handle this while filing tax?

Cashback amount is around $20K. He asked w9 from me but didnt give any 1099MISC or 1099NEC or any form to me. Do i need to declare this while filing tax? Is this taxable income? What's the best way to handle this?

3772

Level 15

Mar 13, 2025 9:46:39 PM

Not taxable, but it does reduce the tax basis of the home.

Returning Member

Mar 13, 2025 10:21:58 PM

Thank you. Do I still need to put any entry declaring it and then claiming credit in TurboTax desktop software or submit any form?

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I purchased a new home.My buyer's agent paid me cashback and asked W-9 from me but didnt issue any 1099 form.Is this cashback taxable?How to handle this while filing tax?