I have the 4x4's big brother, the 16x08. Even with passive pickups (that is, ALL of my guitars and basses
), I have to set the INST/LINE inputs to LINE.
Concerning the Input/Computer knob:
Since you are trying to listen to the output of TH3, you need to set the knob 100% to Computer. Anything else will mix some of your input (guitar) with the output coming from TH3. You don't want that.
Think of it as a Wet/Dry knob. Dry is your guitar input. Wet is the TH3 output. You want 100% Wet.
And hopefully, you're using ASIO and not the Tascam Mixing Driver (if available for the 4x4; it installs by default along with the ASIO driver for the 16x08).