Capital Asset


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Related to Capital Asset: Capital asset pricing model

Capital Asset

Property held by a taxpayer, such as houses, cars, stocks, bonds, and jewelry, or a building owned by a corporation to furnish facilities for its employees.

Excluded from capital assets are certain items stated in the Internal Revenue Code, for example (1) trade or business property subject to depreciation allowance under the tax laws; (2) real property used in trade or business; (3) certain categories of copyrighted materials and Literary Property; and (4) accounts or notes receivable acquired in the ordinary course of business.

The determination of what constitutes a capital asset is essential to the tax treatment of the profits from the sale of property as capital gains, which are taxed at a lower rate than ordinary income.

References in periodicals archive ?
With substantially reduced cash down payment requirements, the small business is able to retain more cash in the business for working capital and operational needs instead of sinking cash into a large capital asset.
1 (1993) (taxpayer's reclassification of 8.8 billion cubic feet of gas from inventory to capital asset was a change in accounting method; court seemed to assume that "error" is not an available argument in the case of misidentified inventory).
Moreover, CI Capital Asset Management is also ranked first in the Balanced Funds category (for funds with a maximum equity exposure limit of 60% of their net asset value), with CIB's 'Takamol Fund's' 2018 returns of 6.85%, compared to a negative average return of -0.69% for peer funds with the same specifications.
Toshiro Noda, Senior Vice-President at Nippon Capital Asset Management J-LLC explained, "Typically in our industry, fees have been charged depending upon the size of the portfolio; the larger the value, the smaller the fee.
The boards of directors of both the firms - Nippon Life Insurance and Reliance Capital Asset Management - have accepted the stake increase by the Japanese partner.
Target: Midas Capital Asset Management (Pty) Ltd (MCAM); MCI subsidiary Midas Capital (Guernsey) Ltd; Midas Capital International Ltd (MCI)
If asked to provide the quintessential example of a capital asset, most probably would reply "land" or "buildings" Yet not every parcel of land or building necessarily qualifies as a capital asset.
Amr Abol Enein, managing director and head of CI Capital Asset Management, commented: "This highly regarded award and regional recognition of "Estithmar Fund" reflects continuous success and outperformance relative to its peers in Egypt and MENA markets, paying tribute to outstanding fund performance and posting the highest cumulative returns in both absolute and risk-adjusted bases over the past 3 and 5 years' horizons and are a continuation of the prestigious awards won by the fund by local and international organisations."
"The said section, inter alia, provides that the provisions of the section shall apply to the capital gains arising from a transfer of long-term capital asset being an equity share in a company, only if securities transaction tax (STT) has been paid on acquisition and transfer of such capital asset," CBDT said in a statement.
Keywords: Asset Pricing Theory, Capital Asset Pricing Model (CAPM), Pakistan Stock Exchange (PSX), Return on Securities
It is not uncommon for a government to purchase a capital asset, put the asset into service, and wait until the end of the fiscal year to capitalize the asset and begin depreciating it.
Auto Business News-August 1, 2017--MVTRAC completes growth recapitalisation of with Bison Capital Asset Management

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