I am Real Estate Agent.
Buyers are asking for money from real estate commission? This is my income. So many questions. All my questions are "after closing" scenario. Commission rebate doesn't show anywhere in HUD/Settlement statement. Let me as questions now.
1) My total commission is 10K, I already gave 5K to buyer after closing, My income is 5K. My Buyers are taking money from me not reporting to IRS. I am getting 1099 from Builders(Pulte, Mi homes) for my full commission 10K. Do i get audit? How can i report money i gave to buyer? Lot of posts here buyer credit is not taxable, How come that is not taxable for buyer if this money is not part of real estate transaction, no record in settlement statement.
2) I reported income in 1099-Misc, some buyers called me to withdraw, This is not taxable income. How you guys handling this situation?