Short-term Capital Loss
Definition
- An individual's loss from the sale of a capital asset that is held for one year or less.
Synonyms
near term capital losses
Related Terms and Acronyms
- Asset — Definition,
- Anything of monetary value that is owned by a person. Assets include real property, personal property, and enforceable claims against others including bank accounts, stocks, mutual funds, and so on.
- Capital — Definition,
- Money that is used to make money; for example, to buy rental property or a business.
- Capital Assets — Definition,
- Items that you own for investment or personal purposes, such as stocks, bonds or stamp collections. When you sell a capital asset, depending on the price you earn a capital gain or a capital loss. Gains are taxed at a special rate, and losses can be used in many cases to reduce the amount that is taxed. See also "Capital Gain" or "Capital Loss."
- Capital Gains Tax (CGT) — Acronym, Canada,
- A tax on profits from the sale of real estate or investments.
- Capital Loss — Definition,
- When an asset is sold for less than what you paid, or less than its adjusted basis, it is a capital loss. However, when it comes to taxes a capital loss is not always bad because you can use it to reduce the amount of income being taxed by the amount of the loss, up to $3,000 per year. If your loss is more significant, the excess (or capital loss carryover) can be carried forward indefinitely until the total loss is used.
- Long Term Capital Gain (LTCG) — Acronym,
- Your loss from the sale of a capital asset that you held for more than 12 months.
- Long-term Capital Loss — Definition,
- Your profit from the sale of a capital asset that you held for more than 12 months.
- Short-Term Capital Gain (STCG) — Acronym,
- Your gain from the sale of a capital asset that you held for one year or less.
