Mr. and Mrs. Khan paid interest on their mortgage this year. They also had deductible home related expenses. The interest and expenses total an amount greater than the standard deduction. Which action can they take to reduce their income tax liability?

A) They can use the interest expense as a credit to reduce the tax they owe.

B) They can itemize deductions and deduct the interest expense.

C) They can request a reimbursement of the interest expense from the IRS.

D) They can add the interest expense to the taxable income.

E) They can reduce their mortgage payment next year by the amount of Interest they paid.

Income tax is a sort of tax levied by governments on income made by businesses and persons within their jurisdiction. To assess their tax responsibilities, taxpayers are required by law to file an income tax return each year.

How to solve?

Check which statement will help Mr and Mrs khan to reduce income tax liability-

A) They can use the interest expense as a credit to reduce the tax they owe.

- interest expenses are not tax deductible

B) They can itemize deductions and deduct the interest expense.

-itemize will deduction will reduce income tax liability.

C) They can request a reimbursement of the interest expense from the IRS.

-Reimbursement is not part of reduction it is part of cashback as it is type of discount.

D) They can add the interest expense to the taxable income.

- It wi not hep to reduce income tax liability

E) They can reduce their mortgage payment next year by the amount of Interest they paid

-reducing mortgage will infact increase tax liability. if mortgage is removed.

Learn more about income tax https://brainly.com/question/25844719

#SPJ2