I received a paypal working capital loan and they put the loan amount as income on my 1099-k. How do I change that so it is not counted as income?

You would have to contact Paypal for any issues related to making changes to your 1099-K.

Please note that the 1099-K is for your information purposes only (unlike a 1099-MISC) so if the amount that is actually your taxable income from Paypal is less than what is being reported on your 1099-K, just report the correct amount when you are reporting income on Schedule C (self-employment income).

Just make sure to keep a copy of your 1099-K with your records.

How would we coint the automatic repayments ? As a non income category and just deduct the loan fee ?

OMG! They did this to my 2016 return and now the irs is trying to say that I owe over $30k. 

I'm So MAD! Paypal will not admit it either! I have calculated everything down to a T and it's the working capital loans that's messing my taxes up. Now I'm screwed. Because irs just took my whole ENTIRE refund. I think we need to contact a lawyer. Paypal is screwing with us and it's time to set them straight. I'm so mad that I now have to fight for my **bleep** money 

You'll need to show the IRS the documentation for the loan. 

Remember that you can deduct the interest payments you make as an expense. (not the principal, just the interest)