Capital Gains and Capital Gains Tax 

 July 24, 2023

By  Lora Keller

Need An Appraisal For A Property In Southwest Florida? Call (941) 743-3700

So what are capital gains and how do they apply to the everyday American?

It’s actually a lot more simple than you might think.

Capital gains are simply how much an asset gains value over time. 

For example: Let’s say you buy a baseball card for $1 and you save it, make sure to keep it safe. 30 years go by and now the baseball card you paid $1 for is worth $200. That means your baseball card has gained $199 in value in the time you’ve owned it. 

Now, there are two different types of capital gains known as Short-term and Long-term capital gains.  

Short-term capital gains describe any asset you hold for less than 1 year.

Long-term capital gains describe any asset you hold for more than 1 year. 

If you make capital gains on any asset (comic book) you own you are required to pay capital gains tax. We all know how the government is; If something can be taxed it will be taxed. 

Short-term capital gains 10% – 37% tax rates

Long-term capital gains 0% 15% 20% tax rates

For real estate, long-term capital gains are most likely what you will be dealing with. 


  • Asset – Anything that you own that is worth value (eg. a cell phone, a car, a house)

Lora Keller


Lora Keller 

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