capital gain

noun

: the increase in value of an asset (such as stock or real estate) between the time it is bought and the time it is sold

Examples of capital gain in a Sentence

Recent Examples on the Web
Examples are automatically compiled from online sources to show current usage. Read More Opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback.
At the federal level, the United States gives founders and early investors major capital gains exclusions. Karia Samaroo, Fortune, 7 Aug. 2026 Korea applies a progressive tax rate of 6% to 45% on capital gains from properties owned for two years or longer, according to the National Tax Service. Justina Lee,lisa Kim, CNBC, 6 Aug. 2026 This difference is often cited during divorce, but ownership types can also affect tax reporting, recognition of capital gains, inheritance, and estate planning. Miranda Marquit, Encyclopedia Britannica, 4 Aug. 2026 Massachusetts does not tax Social Security income, but other income, including earnings, withdrawals from pre-tax accounts, and capital gains, is taxable. Patricia Doherty, Travel + Leisure, 2 Aug. 2026 See All Example Sentences for capital gain

Word History

First Known Use

1921, in the meaning defined above

Time Traveler
The first known use of capital gain was in 1921

Cite this Entry

“Capital gain.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/capital%20gain. Accessed 12 Aug. 2026.

Legal Definition

capital gain

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