Depends on who is supporting the baby.If your baby daddy is paying for rent and food then he should be the one who claims the baby on taxes.Just because you live there does not give her the right unless she is footing all the bills.
Just tell her about the rumor and ask her if she wants to make it true rumor or just leave it as a rumor.If she says no then just move on and don't let it bother you as there are other females out there as she is not the only one.
Everyone deserves chances,especially when they learn from it and are trying to turn their lives around.No matter if your a celebrity or a person as ourselves