Real Estate Professional Tax Status question

[Victor Baronich]

I have my rentals set up in a C corp.  I also own another C Corp business which I receive a w-2 from.  I would like to raise my income on the non-real estate business, but want to have the REP tax status first to cut down on fed income tax.  I already qualify for this status, but my accountant says that I cannot use it against my w-2 because the real estate business is in a c-corp and it would need to be in a s-corp.  Is this true?  She says that switching will eliminate our net operating loss which we are carrying forward.

Thanks for any help!