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.
California does not tax Social Security, but there is a state income tax on earning, pensions, and capital gains. Patricia Doherty, Travel + Leisure, 15 Feb. 2026 The Republican tax plan is affordable, senators said, because Wall Street has been booming with capital gains that have filled the state coffers through the state income tax from stock traders that include millionaires and billionaires in Fairfield County. Christopher Keating, Hartford Courant, 11 Feb. 2026 Paying the tax typically requires selling assets or borrowing against them, triggering capital gains taxes, leverage risks, and further distortions. Veronique De Rugy, Oc Register, 5 Feb. 2026 Federal rules make any net home value gain above $250,000 for a single filer and $500,000 for joint filers subject to a capital gains tax. Aldo Svaldi, Denver Post, 5 Feb. 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 19 Feb. 2026.

Legal Definition

capital gain

see gain

Last Updated: - Updated example sentences
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