Lilly and Reece are married, and they will file jointly for 2022. During the year, Lilly had a $10,000 loss from a rental activity in which she actively participated. Reece had $6,000 in income from a limited partnership in which he did not materially participate. All the rest of their income was derived from wages. If the couple's 2022 modified adjusted gross income is $98,500, how much of the passive loss from the rental activity may be used to offset their income from wages?

$0

$4,000

$6,000

$10,000