South Dakota License Law

In South Dakota, a real estate licensee who receives a commission from a party other than their employing broker must:

ARetain the additional commission as personal income
BAccept additional compensation only from their employing broker, not directly from any other party✓ Correct
CReport the additional compensation to the IRS only
DObtain permission from the opposing party's agent

Explanation

Under South Dakota license law, a salesperson may only receive compensation through their employing broker. A salesperson who receives compensation directly from any other party (seller, buyer, or other) without it being channeled through the broker is violating license law.

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