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Realtor Referral Income on "C" ?

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    Realtor Referral Income on "C" ?

    My retired customer had been a realtor for a time after retiring from his teaching career. He hasn't been active as a realtor
    for a number of years, but he remained licensed and although not part of the sale, he'd receive a "referral fee" from a selling realtor.
    In past years he would receive several thousand dollars in such referral fees and I'd put them on a "C".
    In 2024 he received only $1-K in a referral fee, but he was still licensed at that time. (He's no longer licensed)
    I'm wondering if a "C" is an appropriate place for reporting this income.
    Thanks for comments.

    #2
    I would put it on a Sch C.

    Chris

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      #3
      RMG + Are you saying his revenue for 2024 was only $1 ??

      If that's the case, I wouldn't due anything with it.

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        #4
        Snag: Of course you do something with it. Worldwide income!

        I'd stick with Sch C for 2024. He was still licensed, and it was a fee for services/referrals.

        I'd probably do some more thinking about 2025 next year, though. For instance, is it a usual practice for realtors to pay referral fees to non-realtors?

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