Use your tax software to complete this problem. Use form $1040$

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and associated schedules if completed manually.

For the following tax return problem, assume the taxpayer does not wish to contribute to the Presidential Election Fund. In addition, the taxpayer did not sell, receive, exchange or otherwise acquire any financial interest in any virtual currency during the year. If the taxpayers are entitled to the child tax credit, assume they did not receive the advance child tax credit payment for $2021.$ They will claim the entire tax credit.

Jason Ready attended the University of Akron from $2017$ to $2021$ under the Army ROTC scholarship program. Excluding the school expenses covered by his ROTC scholarship, he incurred additional school expenses of $$15,000$ in total for his education, and $$2,250$ of that amount was incurred in $2021$ for his last semester. To finance this expense, he borrowed $$10,500$ through the federal student loan program and borrowed another $$4,500$ from Buckeye State Credit union for educational purposes. After graduation, he received his officer$$s commission and was ordered to report to the Military Entrance Processing Station in Portland, Oregon, for duty. He lives off$-$base at $4560$ Ranch Drive, Portland, OR$,97035.$ His Social Security number is $412-34-5670,$ date of birth is $7/10/1999.$

His W$2$ contains the following information:

Wages $($box $1)=$ $$67,533\mathrm{.}05$

Federal W$/$H $($box $2)=$ $ $8,204\mathrm{.}45$

Social Security wages $($box $3)=$ $$67,533\mathrm{.}05$

Social security W$/$H $($box $4)=$ $$4,187\mathrm{.}05$

Medicare wages $($box $5)=$ $$67,533\mathrm{.}05$

Medicare W$/$H$($box $6)=$ $$979\mathrm{.}23$

In moving to Portland, he incurred unreimbursed moving expenses.

Gasoline $=$ $$475,$ Renting a Truck $=$ $$325,$ Food $=$ $$135,$ Motel Lodging $=$ $$520$

He also received two forms, $1098-$ELinks to an external site.. One was from the federal student loan program, which showed $$550$ of student loan interest, and the other was from buckeye State Credit Union and showed $$160$ of interest.

Prepare form $1040,$ schedule $1,$ and form $3903.$ If preparing manually, the student loan interest deduction worksheet can be found in IRS publication $970,$ tax benefits for education.