You do claim the income as rental income on Schedule E of the 1040.
The rent payment that you make to your landlord and current operating expenses would be ordinary, necessary and deductible expenses. See this help.
A rental loss is not so clear.
Rental income loss is a passive activity loss and passive activity rules are complicated.
You may be eligible for an exception to the passive activity loss rules. See this help which explains:
- the $25,000 rental loss,
- the active participation rules, and
- the modified adjusted gross income limitations.
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