Reporting rental property income (tax questions)

[Harrison Biddulph]

Hello Everyone,

My sister and I recently inherited a paid off rental property that nets around 20k a year. This house is held within a living trust that my parents set up. All assets within the trust are supposed to be divided 50/50 between my sister and I.

Is there any way one of us can report 100% of the income the property generates (while maintaining that 50/50 ownership)? Maybe there are some creative tax strategies or the creation of an LLC that would allow this...

However, if there is no creative tax strategy that allows this what would be the easiest/lowest tax way for one of us to give “sell” their partial ownership in the property each other?

There are many reasons we would like to do this but the main reason is it would allow one of us to report a higher income and improve our debt to income ratio.

Thanks for all the help!