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Because the Patel family bought a home this year, they are allowed to claim this expense on their tax return. By doing this, their taxable income should be lowered, thus requiring them to pay less taxes. What does this claim BEST demonstrate?

a standard deduction


an itemized deduction


an earned income credit


an adjusted gross income

User Laffuste
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2 Answers

6 votes

Answer:

an itemized deduction

Step-by-step explanation:

User Mohit Totlani
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Answer: an itemized deduction

Step-by-step explanation:

From the information given, we can infer that since their taxable income is lowered, thus requiring them to pay less taxes, this is an itemized deduction.

An itemized deductions refers to the expenses that can be claimed km the tax return which in turn will help in the reduction if the individual's taxable income.

Examples of such expenses are interst aoid on home mortgage, medical expenses, taxes, charity donation etc.

User Paul Vu
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