capital gains tax

noun

variants or less commonly capital gain tax

plural capital gains taxes also capital gain taxes

: a tax on capital gain (such as profit from the sale of stock or real estate)

The trust confers on the donor a complete exemption from capital gains tax on the appreciated property …

—Janet Novack

An asset such as a stock, bond or mutual fund held for longer than a year is subject to a long-term capital gains tax.

—Lisa Rabasca Roepe

Word History

First Known Use

1937, in the meaning defined above