I've just started renting out my condo.

I don't make any money from renting it out, in fact once I've paid the mortgage instalment and service charges, I lose money every month so it's a negative cash flow to me.

May I know whether I still have to declare and pay tax on the rental income? If I don't and get audited, what's the penalty?

No you don't. Keep all paperwork and show that you've actually spent the money and you should be good.

Negative cashflow /= don't need to pay income tax.

Rental taxable profit is counted based on
Rental profit = rental income received - expenses related which including mortgages interest but not mortgages principal repayment itself.

How do we usually split the interest portion out from loan? Isn't it chargeable if to request from bank?

Your bank statement does show one, how much the monthly repayment goes to principal, how much goes to pay the interest.

Thanks. Now that I know that I don't have to declare the rental income in my tax return but I'll keep the receipts just in case I get audited.