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  2. Capital gain - Wikipedia

    en.wikipedia.org/wiki/Capital_gain

    Capital gain is an economic concept defined as the profit earned on the sale of an asset which has increased in value over the holding period. An asset may include tangible property, a car, a business, or intangible property such as shares. A capital gain is only possible when the selling price of the asset is greater than the original purchase ...

  3. Yield to maturity - Wikipedia

    en.wikipedia.org/wiki/Yield_to_maturity

    For the $99.44 investment, the bond investor will receive $105 and therefore the yield to maturity is 5.56 / 99.44 for 5.59% in the one year time period. Then continuing by trial and error, a bond gain of 5.53 divided by a bond price of 99.47 produces a yield to maturity of 5.56%. Also, the bond gain and the bond price add up to 105.

  4. Capital gains tax - Wikipedia

    en.wikipedia.org/wiki/Capital_gains_tax

    The formula is the same for capital losses and these can be carried forward indefinitely to offset future years' capital gains; capital losses not used in the current year can also be carried back to the previous three tax years to offset capital gains tax paid in those years.

  5. What are bonds? How they work—and how to invest in them - AOL

    www.aol.com/finance/bonds-invest-them-220136926.html

    By making your initial investment and letting time do its thing, you can regularly collect interest payments until your bond matures. 2. Earning capital gains: Many bonds are not held until ...

  6. Capital gains vs. investment income: How they differ - AOL

    www.aol.com/finance/capital-gains-vs-investment...

    Capital gains refer to an increase in the value of an asset, such as a stock or a bond. If the investor sells that appreciated asset, it creates a realized capital gain, which is taxable.

  7. Alternative minimum tax - Wikipedia

    en.wikipedia.org/wiki/Alternative_minimum_tax

    Each year, high-income taxpayers must calculate and then pay the greater of an alternative minimum tax (AMT) or regular tax. [9] The alternative minimum taxable income (AMTI) is calculated by taking the taxpayer's regular income and adding on disallowed credits and deductions such as the bargain element from incentive stock options, state and local tax deduction, foreign tax credits, and ...

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