Tax Terms

Capital Gains Tax

Definition

What is Capital Gains Tax?

Tax that may apply to gains from disposing of qualifying assets.

Example in practice

An investor sells an asset above its acquisition cost and calculates the taxable gain under applicable rules.

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Tax deducted at source from specified income payments before the recipient receives the balance.

A public authority responsible for administering and collecting taxes.

Structuring legitimate investment choices to reduce unnecessary tax while following applicable law.

The possibility of loss because broad market prices or rates move against an investment.

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