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Capital gain

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Capital gain' or capital gains refers to income that arises in relation to real assets, such as property; financial assets, such as shares/stocks or bonds; or an intangible assets such as the sale of a company brand or the rights to benefit from selling services or products to existing an established group of customers. Many countries impose a tax on capital gains of individuals or corporations, although relief may be available to exempt capital gains. For example, in the U.S. and other countries, the capital gains tax imposed on investments in startups and small companies can, in certain circumstances, be lower the the general tax rate imposed on capital gains.

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This term or phrase is currently an entry in The SmallBusiness.com Business Glossary WIKI. Please help expand this entry into a more detailed description.