Which of the following statements is true about tax credits?
A) They are deductions that depend on the taxpayer's filing status,age,and vision and that can be claimed by a taxpayer whose total itemized deductions are small.
B) They are deductions from the adjusted gross income based on the number of persons supported by the taxpayer's income.
C) They represent the income remaining after subtracting all allowable adjustments to income from the gross income.
D) They are personal expenditures that can be deducted from adjusted gross income when determining taxable income.
E) They are deductions from a taxpayer's tax liability that directly reduce the person's taxes due.
Correct Answer:
Verified
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