Tuesday, May 7, 2013

What Is Capital Gain Tax?

Kalpesh Shah
Kalpesh Aasharealtors 

Capital Gain Tax

A type of tax levied on capital gains incurred by individuals and

 corporations. Capital gains arethe profits that an investor 

realizes when he or she sells the capital asset for a price that is 

higher than the purchase price. 

Capital gains taxes are only triggered when an asset is realized, 

not while it is held by an investor. An investor can own shares 

that appreciate every year, but the investor does not incur 

a capital gains tax on the shares until they are sold. 

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