Step 1: Differentiating both sides.
Given:
\[
\tan^{-1} x + \tan^{-1} y = c
\]
Differentiating both sides with respect to \( x \):
\[
\frac{d}{dx} (\tan^{-1} x) + \frac{d}{dx} (\tan^{-1} y) = 0
\]
Step 2: Using derivative formulas.
We use the derivative of inverse tangent:
\[
\frac{d}{dx} (\tan^{-1} x) = \frac{1}{1 + x^2}
\]
Since \( y \) is also a function of \( x \), we apply the chain rule:
\[
\frac{1}{1 + x^2} + \frac{1}{1 + y^2} \cdot \frac{dy}{dx} = 0
\]
Step 3: Rewriting the equation.
Rearranging,
\[
(1 + x^2) dy + (1 + y^2) dx = 0
\]
Thus, the correct answer is (C).