USA Real Estate management company

[apdcpas]

Does Company have to show gross rent and expenses on 1120s or just report management fee income earned? Company provides owners with annual profit and loss statements and prepares 1099 to property owners for their distributions (rent income less expenses).

 

[Drmdcpa]

Generally I would only report management fees. Gross rent collected is a liability to the management company inasmuch as they are collecting it on behalf of the property owners.