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Capital gains refer to the profit made from selling an investment for more than the purchase price. Most European countries impose taxes on capital gains, with a few notable exceptions like Cyprus, Switzerland, and Belgium. Understanding the taxes relevant to capital gains is crucial for managing investment returns effectively.
Distributions
Distributions encompass dividends or interest earned from investments. These too are generally taxable across Europe. While many countries tax distributions at the same rate as capital gains, there can be significant variations worth noting.