how to treat profit from equity share for income tax purpose?

[Perry L.]

Hello, fellow private lenders:

How do you treat the profit split at the back end? My broker said it would be treated as interest income. That means I have to pay additional 3.8% net investment income this year. If I treat it as business income, I would be hurt even more with 15% self employment tax. So what is the best structure for tax purpose?