You could use '\n' for define the new line character as delimiter.
xargs -d '\n' rm < 1.txt
Be careful with the -rf because it can delete what you don't want to if the 1.txt contains paths with spaces. That's why the new line delimiter a bit safer.
On BSD systems, you could use -0 option to use new line characters as delimiter like this:
xargs -0 rm < 1.txt