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.
Similarly, selling appreciated securities in an investment account leads to large capital gains taxes that will need to be paid in the following tax year. Aviva Pinto, Forbes, 11 Mar. 2025 Conventional IRAs reduce your present taxable income, while Roth IRAs shield you from taxes on your distributions and capital gains. Marc Guberti, Sacramento Bee, 26 Feb. 2025 Lawmakers and advocates debated at a public hearing Wednesday over a Democratic plan to impose a 1% surcharge on capital gains for families earning more than $1 million per year. Christopher Keating, Hartford Courant, 26 Feb. 2025 This is especially useful for dividends, capital gains and other investment income and losses that are often cumbersome to enter yourself. Larry Magid, The Mercury News, 22 Feb. 2025 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 24 Mar. 2025.

Legal Definition

capital gain

see gain

Last Updated: - Updated example sentences
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