I have a K-1 that reports income on line 1 from Lending Activities that need to be treated as non-passive pursuant to REG 1.469-2T(F)(4). The investment is actually passive since I do not materially participate, but when I answer the question by saying I do not materially participate, the program puts the income as passive. The only question it asks about treating it as nonpassive is if it is an oil and gas investment, which it is not. How do I make the program report the income as nonpassive without misstating the nature of the investment or my participation?
