Use Schedule E of Form 1040 to report real estate rental income and expenses. You must also file Form 4562 to claim depreciation deductions for buildings you placed in service in 2013.
Use Schedule C instead of Schedule E if you provide substantial services for the convenience of the tenants, such as maid service. That is, Schedule C is used to report payments received for the use and occupancy of rooms or other areas in a hotel, motel, boarding house, apartment, tourist home, or trailer court where services are provided primarily for the occupant.
If you rent out an apartment or room in the same building in which you live, you report the rent income less expenses allocated to the rental property (9.4).
The law ...