Example include a home, personal use items, like household furnishing, and stocls or bonds held as investments. When you cell a capital asset, the diffrence between the adjusted basis in the asset and the amount you realized from the sale is a capital gain or a capital loss.

Capital gains can be defined as an increase in the value of an asset. The term is often used in relation to investments, such as stocks and bonds. The value of these assets fluctuates over time. If a person sells an asset at a higher price than they bought it for, this is a capital gain.