When the sale price for an asset is higher than the initial purchase price, meaning that a profit has been earned, the IRS calls that profit a capital gain. For instance, if you purchase a watch for your husband on your anniversary for $2,000, and you later sell the watch for $3,000, your capital gain is $1,000. Learn more about capital gains tax in California in this presentation.
Latest posts by Scott Schomer, Estate Planning Attorney (see all)
- Is It Time to Update Your Beneficiaries? - May 18, 2022
- Why Should I Use a Living Trust to Distribute My Estate? - May 17, 2022
- The Importance of Liquidity in Your Estate Plan - May 11, 2022