Non-passive income is reported on Line 5. Line 7 reports Passive Income, which is appropriate for rental activities. The net income from Form 1041 is automatically allocated to the K-1s. There is no way to change this. While you can manually override the numbers on Schedule K-1, this would invalidate the return for e-filing.
You may need to contact the previous tax preparer for more information on how this income should be reported.
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