Taxes - Sole Proprietorships or General Partnership

[David Minore]

My wife and I were filling out a form to establish an assumed business name in North Carolina (for our future rental). We were researching whether to classify as a 'general partnership' or a 'sole proprietorship'. Just doing some research it looks like we could, as a married couple, classify as a sole proprietor or one of us can and the other could be an 'employee". I was just wondering, which one option gave us the best tax advantage moving forward? I honestly don't care which one of us is considered the owner/employee (I have a W2 job and she doesn't/we file jointly), I just want to make sure we are making the best move, taxes wise.

Also, we aren't going to form an LLC just yet. We only have one property that we want to turn into a rental and it has a normal mortgage and I know it can be hard to transfer it to an LLC.

Thank you for all your help!