Capital Gains Tax
/ˈkæpɪtl ɡeɪnz tæks/
Definitions
- (n.) A tax levied on the profit realized from the sale of a non-inventory asset that was purchased at a lower price.
Investors must report capital gains tax on profits from selling stocks.
Related terms
See also
Commentary
Capital gains tax rates and rules vary by jurisdiction and holding period, impacting investment and estate planning.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.