- Refers to the length of time a capital asset is owned. Assets held for one year (12 months) or less are short-term and those owned for more than a year are considered long-term properties.
time period, length of time, period held
Related Terms and Acronyms
- Capital Assets — Definition,
- Items that you own for investment or personal purposes, such as stocks, bonds or stamp collections. When you sell a capital asset, depending on the price you earn a capital gain or a capital loss. Gains are taxed at a special rate, and losses can be used in many cases to reduce the amount that is taxed. See also "Capital Gain" or "Capital Loss."
- Capital Improvement — Definition,
- Any permanent structure or other asset added to a property that adds to its value.
- Equity — Definition,
- The value of a property minus outstanding mortgage debt and other liens.
- Ownership in an asset.
- Leasehold Mortgage — Definition, Important,
- A mortgage given by a lessee on the security of his leasehold interests in the land.
- Solvency — Definition,
- To be able to meet one's financial liabilities in the short or long term.
- Tenure — Definition,
- The act, fact, or condition of holding something in one's possession such as real estate. A period during which something is held.