Investors & landlords

Oh - one more thing to add.  The property is not paid off yet.  Friend and I are in the process of refinancing and it is about to close.  I had $90K in equity in the property and friend paid me $45K for 1/2 of the equity and we are now both responsible for 1/2 of the mortgage.  At closing (in about 1 week or so), he will be added to title.  We will share everything equally - any costs (prop tax, maintenance, etc) as well as share any profits equally from the rental proceeds.  I thought we could still file individually and just list 1/2 of any expenses, losses, rental income on our own individual tax returns?  Do we really have to form a partnership and file a joint return?  The cost of doing so will probably exceed any nominal profit we earn on the property which is only approx $100 month cash flow positive at this point after mortgage, property tax, HOA fees and property management fees are deducted from rent.  At this point, it actually loses money on a tax return after you take depreciation into consideration).