Long-term capital gain

Long-term capital gain

A profit on the sale of a security or mutual fund share that has been held for more than one year.

Long-Term Capital Gain

The profit one realizes by selling a position one has held for longer than one year. For example, if one buys a stock or bond and sells it five years later for more than what one paid, this is considered a long-term capital gain. The government wishes to encourage long-term investment, and as such, long-term capital gains are usually entitled to preferential treatment for tax purposes; that is, they are taxed at a lower rate than most other income. See also: Long-term capital loss.

Long-term capital gain (or loss).

When you sell a capital asset that you have owned for more than a year at a higher price than you paid to buy it, any profit on the sale is considered a long-term capital gain.

If you sell for less than you paid to purchase the asset, you have a long-term capital loss.

Unlike short-term gains, which are taxed at your income tax rate, most long-term gains on most investments, including real estate and securities, are taxed at rates lower than the rates on ordinary income. Currently, those rates are 15% if you're in the 25% tax bracket or higher, and 5% if you are in the 10% or 15% bracket.

You can deduct your long-term losses from your long-term gains, and your short-term losses from your short-term gains, to reduce the amount on which potential tax may be due. You may also be able to deduct up to $3,000 in accumulated long-term losses from your ordinary income and carry forward losses you can't use in one tax year to deduct in the next tax year.

long-term capital gain

A gain on the sale of an asset held for more than one year.Currently longterm capital gains enjoy reduced tax rates over those imposed on short-term capital gains.

References in periodicals archive ?
This interpretation is supported by the provision's legislative history, which refers to the excess of net long-term capital gain over short-term capital loss "for the taxable year" and to the limit on the long-term capital gain deduction in Sec.
The long-term capital gain of $2,000 would be taxed at 28% or $560 (as compared to the $821 due for the NQOs at the time of exercise, a year earlier).
For securities, land and other long-term capital gain property, it is effective only for donations made after 1992.
However, solely for purposes of avoiding the reduction of a contribution for unrealized long-term capital gain (under Sec.
Note that the net long-term capital gain of $10,000 would be taxed at 28%, while the $45,000 of ordinary losses would be deductible at T's marginal tax rate.
The estimated long-term capital gain distribution of $0.
On July 1, Roger sold all his ABC stock to an unrelated party, resulting in a $14,000 long-term capital gain.
The total FMV of contributed long-term capital gain property is deductible.
The Fund invests primarily in a diversified portfolio of common and preferred stocks that pay dividends that qualify for federal income taxation at long-term capital gain rates ("tax-favored dividends").
As to lookthrough capital gain when a passthrough entity has a short-term holding period in collectibles, the final regulations provide that the passthrough entity's holding period in the collectibles is irrelevant in determining whether long-term capital gain recognized on the sale of an interest in the entity is collectibles gain.
A portion of the distribution may be treated as long-term capital gain and qualified dividend income for individuals, each subject to the maximum Federal income tax rate, which is currently 15% for individuals.
will typically receive long-term capital gain treatment subject to a 20% maximum Federal rate.

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