There may be appreciation in value of financial assets over a period of time, and this appreciation is called Capital Gain. In other words, a capital gain is a sort of profit resulting from the appreciation of value of a financial asset over its purchase price. Such gains may also occur in other types of assets too, say the real estates. This is also called capital gain. A Capital Gain will normally attract tax called Capital Gain Tax. However, under certain circumstances, government may exempt the levy an d collection of any tax on the Capital Gains.
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