Kirchoff's Law is applicable in AC circuits when using impedance and reactance. The relationship is defined by the equation V=I|Z|, where Z is the total impedance calculated as |Z|=√(R²+χ²). The reactance χ is the difference between inductive and capacitive reactance, represented as χ=χ_L-χ_C, with χ_L and χ_C defined by their respective formulas. For accurate analysis, voltages and currents should be expressed in complex form, ensuring all values are at the same frequency. This approach allows for effective application of Kirchoff's Law in AC circuit analysis.