My unmarried partner and I co-own a rental property as joint tenants. Last year I filed a Sched E for ALL of the income, expenses, and depreciation since I did all the work for the rental (even though the rent payments were sent to my partner, but we kept a running spreadsheet of all of our shared household expenses + rental income and it tends to even out over time). The Sched E ended up showing about a $600 loss that year since the property only rented the last few months of the year and we had a big repair (which I paid for). I recently learned that we should actually EACH be filing a Schedule E for HALF of the income, expenses, and depreciation. If we do it the correct way this year, will that be a red flag/do we need to amend our returns from last year to split it 50/50 too? Or is it ok to just do it right going forward as long as I only claim half of the carried over depreciation/loss from last year? Or maybe I can still claim the whole thing? (I'm guessing if he doesn't amend his previous return then he can't claim his half of the depreciation carry over this year) Many thanks!
