I get royalty income (not working interest). TT computes depletion allowance apparently when the K-1 has a code T in Box 20. The depletion allowance is added to passive losses on Form 8582 incorrectly. The depletion should show on Schedule E, which can be entered manually. Another poster suggested removing Code T when entering the K-1 detail, but that does not seem to change the data in Form 8582. How can the Form 8582 be corrected (it does not allow manual edits)? The additional expense results in an incorrect passive loss computation.
