taxes
capital gains
The profit earned from selling an asset for more than its purchase price.
Example
"She owed capital gains tax after selling stock she had held for three years."
💡 Memory Tip
You GAIN from your CAPITAL — profit from selling something worth more than you paid.
Etymology
Capital (wealth) + gains (profits) — profits from your wealth-producing assets.
Common Misspellings
capital gainscapitalgainscapital ganescapital gians
Related Terms
See Also
taxinvestment