Tax returns for joint tenants with right of survivorship

[Owen Schwaegerle]

If you are a joint tenant with right of survivorship on a property how does the accounting work for tax purposes? Let’s say there are five people on title as joint tenants with right of survivorship for one property. Does each person take 1/5 of the income and expenses and report that on their tax return on their schedule E?

Due to prop 19 changing in California last year, some people added their children onto their properties as joint tenants with right of survivorship and I’m curious how that would be reported for tax purposes, and how that may affect financing future properties.

[Ashish Acharya]

You probably need a partnership return. 

You can do a 1031 exchange even with the partnership.