taxes: What are IRS Reporting Requirements for Cooperative Commissions?
- 12/13/13 05:40 AM
Brokers who don't currently practice collecting a W-9 from Cooperating Brokers for ALL real estate transactions might be in for a shock... The National Association of Realtors has advised its members that listing brokers are required to report real estate commission payments for cooperating brokers on Form 1099-MISC. Details of this reporting requirement can be found on the NAR website, www.realtor.org, under the Law and Policy section*. To be in compliance, listing brokers must obtain a completed and signed W-9 form for each cooperating broker participating in any and all real estate transactions.
While this is common practice for lease transactions, (6 comments)