Step 1: Solubility of AgCl.
AgCl is insoluble in water but dissolves in ammonia due to the formation of a soluble complex ion \( [Ag(NH₃)₂]^+ \). This occurs because NH₃ acts as a ligand and binds to Ag⁺.
Step 2: Conclusion.
Thus, the correct answer is option (B).
Final Answer:
\[
\boxed{\text{(B) Ag⁺ forms a complex ion with NH₃}}
\]