According to the instructions for Form 8903, the DPAD deduction on that form is supposed to be included on line 36 of Schedule 1. However, Lacerte is including the deduction on line 10 of the 1040. Ironically, there is a critical diagnostic [ref 36156] that says the amount on Form 8903 must agree with the amount on Schedule 1. The diagnostic is correct but the software is causing the error.