Because you actively participated, the only option is an NOL. To not use it would eliminate a large deduction. So let's hypothetically say you were in the 25% tax bracket in 2012. Using a $20,000 NOL would reduce your 2012 taxes by roughly $5000.
Yes, your accountant wants to lie on your tax return by saying you did not actively participate. He probably wants to do it because it is easier to carry a Passive Loss forward to 2017 than to amend your 2012 and 2013 tax returns for an NOL. However, lying on a tax return can be tax-fraud.
