Capital Gain
A capital gain is the excess of amount realized over adjusted basis when a sale or other disposition produces gain with capital character.
Taxation terms for capital gains, losses, carryovers, holding-period gain treatment, and net capital gain calculations.
Capital Gains, Losses, and Carryovers is the taxation area for dividends, capital gains, capital losses, investment income, investment interest, wash sales, tax-loss harvesting, and basis terms. These terms matter when they change after-tax portfolio return, gain recognition, loss use, holding-period treatment, dividend classification, or investment-tax reporting.
Use this page as orientation before relying on a narrower term. Check the broker statement, Form 1099-B, Schedule D support, basis record, holding period, dividend statement, wash-sale record, and tax year before treating a tax definition as decision-ready. Use Investment Tax Items for the broader branch, then move to the narrower page when a form, basis record, tax rule, transaction, income type, or filing position controls the result. Related context often appears in Investing, Financial Instruments, and Personal Finance, but this page keeps the focus on finance-facing tax effects rather than personal filing advice.
| Topic or term | Best use |
|---|---|
| Capital Gain | The excess of amount realized over adjusted basis when a disposition produces gain with capital character. |
| Capital Gains Tax | Capital gains tax applies after basis, recognition, holding period, loss netting, and the relevant rate schedule are determined. |
| Capital Loss | A disposition loss with capital character, generally measured when adjusted basis exceeds the applicable amount realized. |
| Capital Loss Carryover | An unused net capital loss that enters a later tax year while retaining its short-term or long-term character under U.S. individual rules. |
| Long-Term Capital Gains | Recognized gains from capital assets generally held for more than one year under U.S. federal rules. |
| Net Capital Gain | Under the U.S. federal definition, the excess of net long-term capital gain over net short-term capital loss. |
| Short-Term Capital Gains and Losses | Recognized capital results generally associated with assets held for one year or less under U.S. federal rules. |
| Tax Loss Carryback and Carryover | Carrybacks apply eligible losses to earlier years, while carryovers apply unused tax attributes to later years under loss-specific rules. |
Selling a losing position may create a capital loss, but a wash-sale purchase can defer the loss and adjust basis instead of producing immediate tax benefit.
Use official sources for current rules, forms, thresholds, and filing details. This page avoids hard-coding tax figures that can change by year or jurisdiction.
Capital Gains, Losses, and Carryovers is for financial education and vocabulary building. It is not personalized tax, legal, accounting, investment, or filing advice. Tax rules change and depend on specific facts, so readers should confirm current authority and consult a qualified tax professional for decisions or filings.
Choose a subsection first. Deeper term pages live inside each subsection, which keeps large topic hubs readable.
A capital gain is the excess of amount realized over adjusted basis when a sale or other disposition produces gain with capital character.
Capital gains tax is the income-tax treatment of recognized gains after basis, holding period, loss netting, exclusions, and applicable rates are determined.
A capital loss is a disposition loss with capital character, generally measured when adjusted basis exceeds the applicable amount realized.
A capital loss carryover is an unused net capital loss that enters a later tax year under rules that preserve its short-term or long-term character.
Long-term capital gains are recognized gains from capital assets generally held for more than one year under U.S. federal tax rules.
Net capital gain is the excess of net long-term capital gain over net short-term capital loss under the U.S. federal tax definition.
Short-term capital gains and losses are recognized capital results generally associated with assets held for one year or less under U.S. federal rules.
A tax loss carryback applies an eligible loss to an earlier year, while a carryover applies an unused tax attribute to a later year under attribute-specific rules.