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 Finance Minister Chrystia Freeland said the government will tax Canadian companies on two-thirds of their capital gains, up from half currently. Erik Hertzberg, Fortune, 17 Apr. 2024 An increase over your purchase price results in an unrealized capital gain (a profit that exists on paper but hasn’t been cashed in yet), while a decrease indicates an unrealized loss. Nicole Goodkind, CNN, 15 Apr. 2024 Revenues are prone to volatility, hinging on capital gains from investments, bonuses to executives and windfalls from new stock offerings, and notoriously difficult for the state to predict. Taryn Luna, Los Angeles Times, 11 Apr. 2024 Many households in this bracket receive most of their income in the form of capital gains, dividends, and interest, all of which are often taxed at lower rates than ordinary wage income, and sometimes aren’t taxed at all. John Cassidy, The New Yorker, 12 Mar. 2024 Additionally, gains will contribute to calculations for U.S. capital gains tax upon selling, and mortgage amounts will need to be converted to USD for U.S. tax returns. Tom Zachystal, Forbes, 27 Feb. 2024 Unearned: Investment income like interest, ordinary dividends, and capital gain distributions. Medora Lee, USA TODAY, 7 Feb. 2024 Just look at Elon Musk, who moved SpaceX and Tesla operations to the Lone Star State to skirt capital gains taxes, and is now the biggest employer in Austin. Sasha Rogelberg, Fortune, 6 Apr. 2024 The state budget relies heavily on capital gains taxes paid by California’s highest earners, making state revenues subject to volatility in the stock market. Taryn Luna, Los Angeles Times, 4 Apr. 2024

These examples are programmatically compiled from various online sources to illustrate current usage of the word 'capital gain.' Any opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback about these examples.

Word History

First Known Use

1921, in the meaning defined above

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

Dictionary Entries Near capital gain

Cite this Entry

“Capital gain.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/capital%20gain. Accessed 26 Apr. 2024.

Legal Definition

capital gain

see gain

Last Updated: - Updated example sentences
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