𝑑
The Daily Capital
INVESTING 201 · Lesson 34

Capital gains tax: short-term vs long-term

Daily Desk · Editorial5 min read
Sell a winning investment after 11 months and the IRS can take a third. Wait one more month and the rate can drop by half. Time isn't just compounding — it's tax strategy.

When you sell an investment for more than you paid, that profit gets taxed. How much depends on one thing most beginners miss: how long you held it.

Educational, not financial advice.