taxes on rental income

What is the name of your state? NC

My brother and I were left income producing real estate in our Mother's trust. The income is to be divided equally and debts paid equally (mortgage, taxes, utilities etc). Then the property is to become two parcels with me receiving more land and my brother receiving the area with more rental units on it. My brother insists that his side became his when Mom died and that he is entitled to keep all that income but that we both have to pay the debts equally. He is useing this money to live on instead of getting a job. He hasn't worked in 12 years....he just sponged off Mom. I say that nothing belongs to us until the estate is settled. To keep from being cheated I am now putting all the income from my side into a separate account and giving him checks for only 1/3 of the bills---reflecting the income of 'my' side.

My question is how do I claim this income? On my regular 1040 or a different form? or will we have to file the entire amount together under the name of the estate?

[abezon]

Until the trust transfers the property to you, the trust must file a tax return, collect all rents, and pay all bills. The income & expenses will then be passed through to you. Speak with the trustee about this. If your names are not on the title to the property, you can't legally rent the units; the trustee has to do that.

You also need to have a trust lawyer review the terms of the trust & determine whether your brother's interpretation is correct or not.

My brother and I are equal co-sucessor trustees and the only beneficiaries. The property is the only asset in the trust. It is a badly made one (though expensive!) All Mom wanted was for the property to come to us debt free. The income from it is not mentioned, just that all the debts have to be paid from the residuary estate and that everything is equal.

So is it illegal for my brother to be using this money for his personal upkeep? I have only used my portion for bills on the property. The rest stays in the bank. I have a good lawyer and am trying to get this settled but refuse to pay 1/2 of the bills while receiving less than 1/3 of the income.

Am I correct in saying that until the estate is closed the income should only be used for debts on the property?