When an investor sells a security for more than the purchase price, the investor earns a(n) capital gain.
A capital gain is the increase in a capital asset's fee and is found out when the asset is bought. Capital profits practice to any kind of asset, consisting of investments and those bought for private use. The gain can be short-time period or long-term a couple of years and should be claimed on earnings taxes
The capital gain tax is the levy on the profit that an investor makes whilst investment is offered. it's miles owed for the tax 12 months at some point of which the investment is offered. Capital profits and losses are calculated with the aid of subtracting the amount you paid for an asset from the quantity you sold it for. If the selling fee became decreases more than what you had paid for the asset in the beginning, then it is a capital loss. you may then use this quantity to calculate your capital profits tax.
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Disclaimer: your question is incomplete, please see below for a complete question.
A. dividend payment.
B. capital gain.
C. corporate benefit.
D. appreciated the interest receipt.
Hence, the answer is B. capital gain.
