Explain how a​ deduction, such as the mortgage interest tax​ deduction, can save you money. Why do deductions benefit people in different tax brackets​ differently? Choose the correct answer below.
A. A tax deduction saves money by decreasing the taxable income. The amount saved is proportional to the tax bracket marginal rate.
B. A tax deduction saves money by decreasing the tax bill directly. The amount saved is limited by the tax bracket marginal rate.
C. A tax deduction saves money by decreasing the taxable income. The amount saved is limited by the tax bracket marginal rate.
D. A tax deduction saves money by decreasing the tax bill directly. The amount saved is proportional to the tax bracket marginal rate.