HomeTermsCompareFinance Capital AssetsThe definition for Capital Assets:Assets of a permanent nature used to produce income, such as machinery, buildings, equipment, land, etc. Must be distinguished from inventory. A machine which makes pencils, for example, would be a capital asset to a pencil manufacturer, but inventory to the company whose business is to sell such machines. Similar MatchesCapital GainsCapital GainsGains realized from the sale of capital assets. Generally, the difference between cost and selling price, less certain deductible expenses. Used mainly for income tax purposes. Long Term Capital GainLong Term Capital GainGain on the sale of a capital asset which has been held for a specified time or longer. Long term capital gain is taxed at a special rate and not as ordinary income. Click to compare definitions of Capital Assets Click to view definitions beginning ca |