Long-Term Capital Gain Or Loss
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Definition of 'Long-Term Capital Gain Or Loss'
A gain or loss from a qualifying investment owned for longer than 12 months and then sold. The amount of an asset sale that counts toward a capital gain or loss is the difference between the sale value and the purchase value. Long-term capital gains are assigned a lower tax rate than short-term capital gains in the United States.
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Investopedia explains 'Long-Term Capital Gain Or Loss'
Capital gains and losses can be netted out in any given tax year and up to the first $3,000 of any net gain or loss can be carried over into future years.
For example, let's say that an investor sells three stocks during the calendar year, all of which were held for several years. The first stock is sold for a loss of $3,000, the second is sold for a $2,500 gain and the third is sold for a $4,000 gain. If the investor makes no other sales during the year, he will have a net gain of $3,500 for the year (-$3,000 + $2,500 + $4,000 = $3,500). The first $3,000 of long-term gains could be carried over into the next year, but the remaining $500 in gains would be taxed that year at the prevailing rate.
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Search results for 'Long-Term Capital Gain Or Loss'
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http://www.investopedia.com/articles/00/102300.asp
... find great companies and hold them for the long term, you will ... however, a cap on
the amount of capital loss you are able to use against your capital gain. ...
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http://www.investopedia.com/exam-guide/series-66/analyzing-financial-profile/netting-capital-gains-losses-wash-sales.asp
... The short-term gain is fully taxable; $3,000 of capital loss is deductible against
earned income; There is a long-term loss carried forward of $2,000; There is ...
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http://www.investopedia.com/ask/answers/09/series65-030309.asp
... I. The short-term gain is fully taxable II. $3,000 of capital loss is deductible
against earned income III. There is a long-term loss carried forward of $2,000 ...
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http://www.investopedia.com/exam-guide/series-65/taxation/netting-capital-gains-losses-wash-sales.asp
... The short-term gain is fully taxable; $3,000 of capital loss is deductible against
earned income; There is a long-term loss carried forward of $2,000; There is ...
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http://www.investopedia.com/ask/answers/07/calculategains.asp
... (To learn more, read A Long-Term Mindset Meets Dreaded Capital-Gains Tax.) Let's
look at an example of making a stock gain/loss calculation. ...
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http://www.investopedia.com/articles/tax/09/tax-effects-capital-gains.asp
... However, if an investor sells before maturity and generates a profit from the bond,
then there is a capital gain, either short-term or long-term, the same as ...
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http://www.investopedia.com/articles/05/taxlots.asp
... In many cases, it's best to sell your long-term positions first ... to sell the newer
position for a lower capital gain. ... on your positions to use the loss to offset ...
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http://www.investopedia.com/articles/tax/09/offset-capital-gains.asp
... created when you sell an investment at a gain. ... Short-term capital gains are taxed
at an investor's ... Long-term gains, on the other hand, enjoy the benefit of ...
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http://www.investopedia.com/articles/optioninvestor/07/esoabout.asp
... If the employee decides to sell the shares a year after the exercise, the sale will
be reported as a long-term capital gain (or loss) and the tax will be ...
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http://www.investopedia.com/articles/04/122704.asp
... long-term gain of $5,000 for a remaining short-term loss of $5,000 [-$10,000 + $5000 =
-$5000]. In any given year, there is no limit on the amount of capital ...
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