Can a passive k-1 loss offset interest income from 1099 (passive income)?

[jenniertx]

When I enter my k-1 loss (from passive income) it does not reduce the amount I owe even though I have 1099 interest income and dividends which should be considered passive.  

[Mike9241]

Interest and dividends generally are not considered passive income. The IRS rules out interest, dividends, annuities, and royalties not derived in the ordinary course of a trade or business as passive income. 

the crazy thing is for 1116 purposes interest and dividends from investing are included in the passive category. 

but are not passive income for purposes of section 469. 

[jenniertx]

Thank you for your reply.  That explains it, unfortunately!