Long-term gain

Long-term gain

A profit on the sale of a capital assets held longer than 12 months, and eligible for long-term capital gains tax treatment.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

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.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
References in periodicals archive ?
Suppose, though, that Ross has a $100,000 long-term gain this year.
"It's almost inevitable that people will have to suffer but hopefully the new bridge will bring long-term gain."
The Huddersfield Town Centre Partnership appears to be ignoring the potential long-term gain of such events for the people they represent and only see a small short-term loss.
Do you think the short-term pain will be worth the long-term gain?
Ms Neagle, who has written to Ms Hart, said, "In my experience at the Assembly, AMs from other areas have been impressed by the way the reorganisation process has been run in Gwent, and I think locally most people accept disruption in the short term will bring long-term gain.
The Easter Road club's loss could well turn out to be Scotland's long-term gain, especially as Burns would be just approaching 50 when Vogts' contract ends...and therefore perfectly placed to become boss.
Rather than risking even a one-year hold to qualify for long-term gain treatment, the stock can be held for as little as six months, and the proceeds reinvested in new qualifying stock within 60 days, with no immediate tax paid on the transaction.
For example, if the market price of the stock sold short declines, the taxpayer potentially has a smaller amount of long-term gain in the underlying long position, but he will realize short-term capital gain when the short position is closed.
"Although the stores will be closed for a period of time, the long-term gain of having a modern, new shopping center with a state-of-the-art supermarket far outweighs the short-term complications," he added.
A return to European football was debilitating for their domestic form, but the Scotland international thinks the short-term pain will produce long-term gain.
Now its shareholders will have to pay to put things right - a case of short-term pain for long-term gain.
Pointing to the BGRB's backing of the Trainers' Championship in recent years before Betfair stepped in to sponsor next week's event at Wimbledon, Curran reflected that a short-term cost can result in long-term gain.

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