No, you do not treat this as a rental, this is not business property.
Your daughter is likely considered a "beneficial owner" (meaning she has an ownership interest in the property even though she is not listed on the title). This means she can deduct the mortgage interest on her income taxes as a schedule A itemized deduction. (To deduct mortgage interest, you must be either a legal owner or beneficial owner, and you must be the person who pays the interest. You do not have to be a borrower on the note.)
However, no one can deduct the property taxes. To deduct property taxes, you must be the legal owner against whom the taxes are assessed, and you must be the person who pays the taxes. There is no "beneficial owner" rule. Since you are the legal owner but she pays the property taxes, no one can deduct them.
Property Insurance included in the mortgage payment is never tax deductible.
To treat this as business property, you would have to rent to your daughter at or above the fair market rate (what you would charge to rent that house to a stranger). She pays you rent and you pay the bills, she would need a proper signed lease, and so on. It is rarely beneficial to treat a family situation like this as a business.
