Len and Christy Vole, ages 42 and 39 respectively, are married and file jointly in 2021. Len is a contractor operating as a sole proprietorship (EIN 11-1111111). Christy is employed, earning $24,000 as a part-time paralegal. They have two dependent children, Jill, age 8 and Lee, age 5. They received $4,550 from Good Bank in taxable interest income. 

Their allowable itemized deductions include state income tax $3,700; home mortage interest $6,000; and charity $5,000. Federal income tax withholding was $7,500 and estimated tax payments were $13,000. The Voles also incurred $7,000 of qualifying child care expenses to enable them to work ($3,500 for each child). It was paid to HiTop Daycare, 327 Fowler St., Indianapolis, IN 46802 (EIN 22-2222222). 

Len earns $95,000 in profit in a sole proprietorship. He incurred the following expenses that qualify for the general business credit: $6,000 for disabled access. No adjustments are required to this credit and there are no carrybacks or carryforwards. Social security numbers are: Len, 100-11-1111; Christy, 200-22-2222; Jill, 300-33-3333; Lee, 400-44-4444. 

Complete the Voles’ Form 1040 for 2021, along with supporting Schedules 1, 2, 3, A, B, C, and SE (short form), Form 2441 (child and dependent care credit), Form 3800 (general business credit), and Form 8826 (disabled access credit). Assume the couple had no transactions involving virtual currency during the year. Show detail of the child tax credit computation (with any phaseout) at the bottom of Form 1040 shown below.

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SCHEDULE SE (Form 1040) Department of the Treasury Internal Revenue Service (99) Name of person with self-employment income (as shown on Form 1040, 1040-SR, or 1040-NR) Part I Self-Employment Tax Note: If your only Income subject to self-employment tax is church employee Income, see Instructions for how to report your Income and the definition of church employee Income. A 3 4a Self-Employment Tax ►Go to www.irs.gov/ScheduleSE for instructions and the latest information. ►Attach to Form 1040, 1040-SR, or 1040-NR. Skip lines 1a and 1b If you use the farm optional method in Part II. See Instructions. 1a Net farm profit or (loss) from Schedule F, line 34, and farm partnerships, Schedule K-1 (Form 1065), box 14, code A.. b b If you received social security retirement or disability benefits, enter the amount of Conservation Reserve Program payments included on Schedule F, Iline 4b, or listed on Schedule K-1 (Form 1065), box 20, code AH Skip line 2 If you use the nonfarm optional method in Part II. See Instructions. 2 c 5a b Social security number of person with self-employment income 6 If you are a minister, member of a religious order, or Christian Science practitioner and you filed Form 4361, but you had $400 or more of other net eamings from self-employment, check here and continue with Part I 9 Net profit or (loss) from Schedule C, line 31; and Schedule K-1 (Form 1065), box 14, code A (other than farming). See Instructions for other Income to report or if you are a minister or member of a religious order Combine lines 1a, 1b, and 2..... If line 3 is more than zero, multiply line 3 by 92.35% (0.9235). Otherwise, enter amount from line 3 Note: if line 4a is less than $400 due to Conservation Reserve Program payments on line 1b, see Instructions. If you elect one or both of the optional methods, enter the total of lines 15 and 17 here Combine lines 4a and 4b. If less than $400, stop; you don't owe self-employment tax. Exception: If less than $400 and you had church employee Income, enter -0- and continue. Enter your church employee Income from Form W-2. See Instructions for definition of church employee Income Multiply line 5a by 92.35% (0.9235). If less than $100, enter -0- Add lines 4c and 5b. 7 Maximum amount of combined wages and self-employment earnings subject to social security tax or the 6.2% portion of the 7.65% rallroad retirement (tler 1) tax for 2021. 8a Total social secunty wages and tips (total of boxes 3 and 7 on Form(s) W-2) and rallroad retirement (tler 1) compensation. If $142,800 or more, skip lines 8b through 10, and go to line 11... 5a 8a 8b 8c b Unreported tips subject to social security tax from Form 4137, line 10 c Wages subject to social security tax from Form 8919, line 10. d Add lines 8a, 8b, and 8c.......... Subtract line 8d from line 7. If zero or less, enter -0- here and on line 10 and go to line 11 10 Multiply the smaller of line 6 or line 9 by 12.4% (0.124). 11 Multiply line 6 by 2.9% (0.029). 12 Self-employment tax. Add lines 10 and 11. Enter here and on Schedule 2 (Form 1040), line 4 13 1b 2 3 4a 4b 4c 5b 6 OMB No. 1545-0074 2021 Attachment Sequence No. 17 7 8d 9 10 11 12 142,800