Using United States Tax Laws from 2019:

Jason Ready, single, attended the University of San Diego during 20152019 under the Army ROTC program. Excluding the school expenses covered by his ROTC scholarship, he incurred additional school expenses of $10,000 in total for his education, and $1,500 of that amount was incurred in 2019 for his last semester. To finance these expenses, he borrowed $7,000 through a federal student loan program and borrowed another $3,000 from SoCal Credit Union for educational purposes. After graduation, he received his officers commission and was ordered to report to the Military Entrance Processing Station in Portland, OR, for duty, during 2019. He lives off base at 4560 Ranch Drive, Portland, OR 97035. His social security number is 412-34-5670 (date of birth 7/10/1997).

His W-2 contained the following information:

Wages (box 1)	=	$	67,533.05
Federal W/H (box 2)	=	$	8,104.95
Social security wages (box 3)	=	$	67,533.05
Social security W/H (box 4)	=	$	4,187.05
Medicare wages (box 5)	=	$	67,533.05
Medicare W/H (box 6)	=	$	979.23

In moving to Portland, he incurred the following unreimbursed moving expenses:

$495 in gasoline. $295 for renting a truck from IGOTYA rentals. $125 in food. $465 for motel lodging on the way to Portland.

He also received two Forms 1098-E. One was from the federal student loan program, which showed $450 of student loan interest; the other was from SoCal Credit Union and showed $150.75 of student loan interest.

Required:

Prepare a Form 1040, a Form 3903, and Schedule 1. (Do not round intermediate computations. Round your final answers to the nearest whole dollar amount. Input all the values as positive numbers. Instructions can be found on certain cells within the forms.)

Use the appropriate Tax Tables.

Page 1 of Form 1040. Use provided information and follow instructions on form. Form 1040 - U.S. Individual Income Tax Return 2019 OMB No. 1545-0074 IRS Use Only - Do not write in this space. Married filing separately Filing Status Single Married filing jointly Head of household (HOH) O Qualifying widow(er) (QW) (MFS) Check only If you checked the MFS box, enter the name of spouse. If you checked the HOH or QW box, enter the child's name if the qualifying person is one box. a child but not your dependent. Your first name and middle initial Last name Your social security number (Enter as XXX- XX-XXXX) If joint return, spouse's first name and middle initial Last name Spouse's social security number (Enter as XXX-XX-XXXX) ) Home address (number and street). If you have a P.O. box, see instructions. Apt. no. Presidential Election Campaign Check here if you, or your spouse if filing jointly, want $3 to go to this fund. Checking a City, town or post office, state, and ZIP code. If you have a foreign address, also complete spaces below (see instructions). box below will not change your tax or refund. You Spouse Foreign country name Foreign province/state/county Foreign postal code If more than four dependents, see instructions and here Someone can Standard You as a dependent a Your spouse as a dependent claim: Deduction Spouse itemizes on a separate return or you were a dual-status alien Was born before January 2, Age/Blindness You: Were born before January 2, 1955 Are blind Spouse: Is blind 1955 Dependents (see instructions): (2) Social security number (3) Relationship to you (4) if qualifies for (see instructions): Credit for other (1) First name Last name (Enter as XXX-XX-XXXX) Child tax credit dependents 1 1 Wages, salaries, tips, etc. Attach Form(s) W-2 2a Tax-exempt interest 2a 2b 3b 4b b Taxable interest. Attach Sch. B if required b Ordinary dividends. Attach Sch. B if required b Taxable amount d Taxable amount d b Taxable amount 3a Qualified dividends Standard 4a IRA distributions 4a Deduction for - Single or C Pensions and annuities 4c Married filing separately, 5a Social security benefits 5a $12,200 Married filing 6 Capital gain or loss). Attach Schedule D if required. If not required, check jointly or Qualifying widow(er), 7a Other income from Schedule 1, line 9 4d 5b 6 here 7 $24,400 Head of b Add lines 1, 2b, 36, 4b, 40, 56, 6, and 7a. This is your total income 7b household, $18,350 8a Adjustments to income from Schedule 1, line 22 8 If you checked any b Subtract line 8a from line 7b. This is your adjusted gross income 8b box under Standard 9 Standard deduction or itemized deductions (from Schedule A) 9 Deduction, see 10 Qualified business income deduction. Attach Form 8995 or Form 8995-A 10 instructions. 11a Add lines 9 and 10 11a b Taxable income. Subtract line 11a from line 8b 11b Cat. No. For Disclosure, Privacy Act, and Paperwork Reduction Act Notice, see separate instructions. Form 1040 (2019) 11320B THIS FORM IS A SIMULATION OF AN OFFICIAL U.S. TAX FORM. IT IS NOT THE OFFICIAL FORM ITSELF. DO NOT USE THIS FORM FOR TAX FILINGS OR FOR ANY PURPOSE OTHER THAN EDUCATIONAL. 2020 McGraw-Hill Education. Form 3903 Department of the Treasury Internal Revenue Service (99) Name(s) shown on return OMB No. 1545-0074 Moving Expenses 2019 Go to www.irs.gov/Form3903 for instructions and the latest information. Attachment Attach to Form 1040, Form 1040-SR, or Form 1040-NR. Sequence No. 170 Your social security number Before you begin: You can deduct moving expenses only if you are a Member of the Armed Forces and meet certain other requirements. See the instructions to find out if you qualify. 1 Transportation and storage of household goods and personal effects (see instructions) 1 2 Travel (including lodging) from your old home to your new home (see instructions). Do not include the 2 cost of meals 3 Add lines 1 and 2 3 4 Enter the total amount the government paid you for the expenses listed on lines 1 and 2 that is not included in box 1 of your Form W-2 (wages). This amount should be shown in box 12 of your Form 4 W-2 with code P 5 ls line 3 more than line 4? You cannot deduct your moving expenses. If line 3 is less than line 4, subtract O No. line 3 from line 4 and include the result on Form 1040 or Form 1040-SR, line 1; or Form 1040-NR, line 8. Subtract line 4 from line 3. Enter the result here and on Schedule 1 (Form 1040 Yes. or 1040-SR), line 13; or Form 1040-NR, line 26. This is your moving expense 5 deduction For Paperwork Reduction Act Notice, see your tax return instructions. Cat. No. 12490K Form 3903 (2019) THIS FORM IS A SIMULATION OF AN OFFICIAL U.S. TAX FORM. IT IS NOT THE OFFICIAL FORM ITSELF. DO NOT USE THIS FORM FOR TAX FILINGS OR FOR ANY PURPOSE OTHER THAN EDUCATIONAL. 2020 McGraw-Hill Education. OMB No. 1545-0074 SCHEDULE 1 (Form 1040 or 1040-SR) Additional Income and Adjustments to Income 2019 Attachment Sequence No. 01 Department of the Treasury Attach to Form 1040 or 1040-SR. Internal Revenue Service Go to www.irs.gov/Form 1040 for instructions and the latest information. Name(s) shown on Form 1040 or 1040-SR Your social security number Part 1 1 1 Additional Income Taxable refunds, credits, or offsets of state and local income taxes Alimony received Date of original divorce or separation agreement (see instructions) 2a 2a b 3 3 4 4 5 5 Business income or (loss). Attach Schedule C Other gains or losses). Attach Form 4797 Rental real estate, royalties, partnerships, S corporations, trusts, etc. Attach Schedule E Farm income or (loss). Attach Schedule F Unemployment compensation Other income. List type and amount 6 6 7 7 8 8 9 9 Part II 10 10 11 11 12 12 13 13 14 Combine lines 1 through 8. Enter here and on Form 1040 or 1040-SR, line 7a Adjustments to Income Educator expenses Certain business expenses of reservists, performing artists, and fee-basis government officials. Attach Form 2106 Health savings account deduction. Attach Form 8889 Moving expenses for members of the Armed Forces. Attach Form 3903 Deductible part of self-employment tax. Attach Schedule SE Self-employed SEP, SIMPLE, and qualified plans Self-employed health insurance deduction Penalty on early withdrawal of savings Alimony paid Recipient's SSN Date of original divorce or separation agreement (see instructions) 14 15 15 16 16 17 17 18a 18a b 19 IRA deduction 19 20 Student loan interest deduction 20 21 Reserved for future use 21 22 Add lines 10 through 21. These are your adjustments to income. Enter here and on Form 1040 or 22 1040-SR, line 8a For Paperwork Reduction Act Notice, see your tax return Cat. No. 71479F Schedule 1 (Form 1040 or 1040-SR) 2019 instructions. Page 1 of Form 1040. Use provided information and follow instructions on form. Form 1040 - U.S. Individual Income Tax Return 2019 OMB No. 1545-0074 IRS Use Only - Do not write in this space. Married filing separately Filing Status Single Married filing jointly Head of household (HOH) O Qualifying widow(er) (QW) (MFS) Check only If you checked the MFS box, enter the name of spouse. If you checked the HOH or QW box, enter the child's name if the qualifying person is one box. a child but not your dependent. Your first name and middle initial Last name Your social security number (Enter as XXX- XX-XXXX) If joint return, spouse's first name and middle initial Last name Spouse's social security number (Enter as XXX-XX-XXXX) ) Home address (number and street). If you have a P.O. box, see instructions. Apt. no. Presidential Election Campaign Check here if you, or your spouse if filing jointly, want $3 to go to this fund. Checking a City, town or post office, state, and ZIP code. If you have a foreign address, also complete spaces below (see instructions). box below will not change your tax or refund. You Spouse Foreign country name Foreign province/state/county Foreign postal code If more than four dependents, see instructions and here Someone can Standard You as a dependent a Your spouse as a dependent claim: Deduction Spouse itemizes on a separate return or you were a dual-status alien Was born before January 2, Age/Blindness You: Were born before January 2, 1955 Are blind Spouse: Is blind 1955 Dependents (see instructions): (2) Social security number (3) Relationship to you (4) if qualifies for (see instructions): Credit for other (1) First name Last name (Enter as XXX-XX-XXXX) Child tax credit dependents 1 1 Wages, salaries, tips, etc. Attach Form(s) W-2 2a Tax-exempt interest 2a 2b 3b 4b b Taxable interest. Attach Sch. B if required b Ordinary dividends. Attach Sch. B if required b Taxable amount d Taxable amount d b Taxable amount 3a Qualified dividends Standard 4a IRA distributions 4a Deduction for - Single or C Pensions and annuities 4c Married filing separately, 5a Social security benefits 5a $12,200 Married filing 6 Capital gain or loss). Attach Schedule D if required. If not required, check jointly or Qualifying widow(er), 7a Other income from Schedule 1, line 9 4d 5b 6 here 7 $24,400 Head of b Add lines 1, 2b, 36, 4b, 40, 56, 6, and 7a. This is your total income 7b household, $18,350 8a Adjustments to income from Schedule 1, line 22 8 If you checked any b Subtract line 8a from line 7b. This is your adjusted gross income 8b box under Standard 9 Standard deduction or itemized deductions (from Schedule A) 9 Deduction, see 10 Qualified business income deduction. Attach Form 8995 or Form 8995-A 10 instructions. 11a Add lines 9 and 10 11a b Taxable income. Subtract line 11a from line 8b 11b Cat. No. For Disclosure, Privacy Act, and Paperwork Reduction Act Notice, see separate instructions. Form 1040 (2019) 11320B THIS FORM IS A SIMULATION OF AN OFFICIAL U.S. TAX FORM. IT IS NOT THE OFFICIAL FORM ITSELF. DO NOT USE THIS FORM FOR TAX FILINGS OR FOR ANY PURPOSE OTHER THAN EDUCATIONAL. 2020 McGraw-Hill Education. Form 3903 Department of the Treasury Internal Revenue Service (99) Name(s) shown on return OMB No. 1545-0074 Moving Expenses 2019 Go to www.irs.gov/Form3903 for instructions and the latest information. Attachment Attach to Form 1040, Form 1040-SR, or Form 1040-NR. Sequence No. 170 Your social security number Before you begin: You can deduct moving expenses only if you are a Member of the Armed Forces and meet certain other requirements. See the instructions to find out if you qualify. 1 Transportation and storage of household goods and personal effects (see instructions) 1 2 Travel (including lodging) from your old home to your new home (see instructions). Do not include the 2 cost of meals 3 Add lines 1 and 2 3 4 Enter the total amount the government paid you for the expenses listed on lines 1 and 2 that is not included in box 1 of your Form W-2 (wages). This amount should be shown in box 12 of your Form 4 W-2 with code P 5 ls line 3 more than line 4? You cannot deduct your moving expenses. If line 3 is less than line 4, subtract O No. line 3 from line 4 and include the result on Form 1040 or Form 1040-SR, line 1; or Form 1040-NR, line 8. Subtract line 4 from line 3. Enter the result here and on Schedule 1 (Form 1040 Yes. or 1040-SR), line 13; or Form 1040-NR, line 26. This is your moving expense 5 deduction For Paperwork Reduction Act Notice, see your tax return instructions. Cat. No. 12490K Form 3903 (2019) THIS FORM IS A SIMULATION OF AN OFFICIAL U.S. TAX FORM. IT IS NOT THE OFFICIAL FORM ITSELF. DO NOT USE THIS FORM FOR TAX FILINGS OR FOR ANY PURPOSE OTHER THAN EDUCATIONAL. 2020 McGraw-Hill Education. OMB No. 1545-0074 SCHEDULE 1 (Form 1040 or 1040-SR) Additional Income and Adjustments to Income 2019 Attachment Sequence No. 01 Department of the Treasury Attach to Form 1040 or 1040-SR. Internal Revenue Service Go to www.irs.gov/Form 1040 for instructions and the latest information. Name(s) shown on Form 1040 or 1040-SR Your social security number Part 1 1 1 Additional Income Taxable refunds, credits, or offsets of state and local income taxes Alimony received Date of original divorce or separation agreement (see instructions) 2a 2a b 3 3 4 4 5 5 Business income or (loss). Attach Schedule C Other gains or losses). Attach Form 4797 Rental real estate, royalties, partnerships, S corporations, trusts, etc. Attach Schedule E Farm income or (loss). Attach Schedule F Unemployment compensation Other income. List type and amount 6 6 7 7 8 8 9 9 Part II 10 10 11 11 12 12 13 13 14 Combine lines 1 through 8. Enter here and on Form 1040 or 1040-SR, line 7a Adjustments to Income Educator expenses Certain business expenses of reservists, performing artists, and fee-basis government officials. Attach Form 2106 Health savings account deduction. Attach Form 8889 Moving expenses for members of the Armed Forces. Attach Form 3903 Deductible part of self-employment tax. Attach Schedule SE Self-employed SEP, SIMPLE, and qualified plans Self-employed health insurance deduction Penalty on early withdrawal of savings Alimony paid Recipient's SSN Date of original divorce or separation agreement (see instructions) 14 15 15 16 16 17 17 18a 18a b 19 IRA deduction 19 20 Student loan interest deduction 20 21 Reserved for future use 21 22 Add lines 10 through 21. These are your adjustments to income. Enter here and on Form 1040 or 22 1040-SR, line 8a For Paperwork Reduction Act Notice, see your tax return Cat. No. 71479F Schedule 1 (Form 1040 or 1040-SR) 2019 instructions