Answer:
D. May be claimed to reduce the amount of withholdings from the employee's earnings.
Explanation:
A personal allowance can also be known as a "tax-free" allowance. It refers the amount an individual is entitled to earn in a given tax year, before he/ she starts paying income tax.
Based on common practice, when your Federal income tax withholding is calculated, you can claim some allowances such as the personal allowance which will reduce the amount of your income that is withheld by your employer.
