STCG applies when an asset is sold within the holding period defined as short-term under tax law for that asset class.

Why does STCG matter?

Affects frequent traders and short holding equity sales.

What is a common mistake with STCG?

Throwing around “STCG” without the simple meaning.

Lesson60 seconds

Short-term capital gains - tax on profits from selling sooner than the long-term .

Step 1 of 9

STCG applies when an asset is sold within the defined as short-term under tax law for that asset class.

Explanation level

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Try “Like I'm 5™” for a picture-book version - not the grown-up wording above.

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