Which of the following best describes the term "capital gains tax"?
A) A tax on profits from the sale of an asset.
B) A tax on all forms of income.
C) A tax on inherited wealth.
D) A tax that is only applied to real estate transactions.
A) A tax on profits from the sale of an asset.
B) A tax on all forms of income.
C) A tax on inherited wealth.
D) A tax that is only applied to real estate transactions.