realized gain

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Realized Gain

The amount by which the sale price of an asset exceeds its purchase price. Unless the realized gain came from a tax-exempt or tax-deferred asset, it is taxable. However, the type of taxation to which it is subject varies according to how long the asset has been owned. A realized gain from an asset owned longer than one year is usually taxed at the capital gains rate, while an asset owned for a period shorter than a year is often subject to the higher income tax rate. It is also called the recognized gain. See also: Unrealized gain.

realized gain

The amount by which the net proceeds from the sale of an asset exceed its cost of acquisition. When gains are realized, they become income for tax purposes. Compare unrealized gain.

Realized gain.

When you sell an investment for more than you paid, you have a realized gain.

For example, if you buy a stock for $20 a share and sell it for $35 a share, you have a realized gain of $15 a share. In contrast, if the price of the stock increases, and you don't sell, your gain is unrealized, or a paper profit.

Realizing your gains means you lock in any increase in value, which could potentially disappear if you continued to hold the investment.

But it also means you may owe tax on that profit when you sell unless the investment is tax exempt or you hold it in a tax-deferred or tax-free account. In a tax-deferred account, you can postpone paying the tax until you begin withdrawing from the account.

However, if taxes are due and you have owned the investment for more than a year when you sell, you pay tax at the long-term capital gains rate, which, for most types of investments, is lower than the rate at which you pay federal income tax on ordinary income.

realized gain

A tax concept meaning the taxpayer has received a profit—a gain—on the sale of real property,but,for various policy reasons codified into the Internal Revenue Code,the IRS chooses not to recognize the gain and,as a result,requires no payment of taxes at that time.The reason could be because the taxpayer took advantage of a 1031 exchange, because the gain was from the sale of a home and was less than the current exclusions, or because the property was taken by eminent domain and the proceeds reinvested within the required time period.

References in periodicals archive ?
The composition of this and subsequent distributions may vary from month to month because it may be materially impacted by future realized gains and losses on securities.
This also represents realized gains arising from foreign currency-denominated transactions of the BSP, including rollover or re-investments of matured foreign exchange investments with foreign financial institutions and foreign exchange -denominated government securities.
Investment gains/losses also include after-tax realized gains on sales of investments of approximately $662M and $512M during the second quarters of 2019 and 2018, respectively, and gains of approximately $1.1B and $1.3B during the first six months of 2019 and 2018, respectively."
In calculating fixed charge coverage, Fitch will continue to focus on operating EBIT and will exclude the change in fair value of equity securities in the numerator of this ratio as well as realized gains and losses.
The payouts accumulated by managers over the years generally consist of realized gains that have been reinvested in the fund, unrealized gains that exist as paper profits and the right to a share of future profits.
As seen in Figure 12(a), the measured realized gains are less than the simulated ones by 1 dB or so, which may be caused by the uncertainties in the measurements and by the losses in the feeding network and other parts of the array as well.
The BSP explained that this amount represented 'realized gains from fluctuations in FX rates arising from foreign currency-denominated transactions of the BSP, including: rollover/re-investments of matured FX investments with foreign financial institutions and FX-denominated government securities; servicing of matured FX obligations of the BSP; and maturity of derivatives instruments.'
The composition of this and subsequent distributions may vary from quarter to quarter because it may be materially impacted by future realized gains and losses on securities.
In addition, advisors and their end clients can view real-time custodian cost basis data for realized gains from TD Ameritrade Institutional in Advisor View's Realized Gains/Losses report.
Essentially, this means selling securities to realize a capital loss, using the loss to offset realized gains.
Both are methods of aggregate allocation, which means the realized gains and losses are aggregated prior to doing the allocation.
More than 8.6 dBi in realized gains in the direction of the directors and front-to-back ratios higher than 9 dB are achieved at all generated resonances.