Today's Market

updated 2 days ago Sponsored by:
DOW 18,232.02 -53.72 -0.29%
S&P 500 2,126.06 -4.76 -0.22%
NASD 5,089.36 0.00 0.00%

Community: Investing Wiki

Term Of The Hour

Capital asset profits: Original post by Jeff Franco of Demand Media When you sell a stock for more than its purchase price, the profit you earn is never deductible from gross income. In fact, it has the opposite effect and increases your gross income. However, since the IRS treats all stocks that you own as capital assets, some of your profit may be subject to lower rates of tax depending on how long you owned the stock…

Want to learn more or edit this definition?
Click here to read more!