The period of time you own an asset for purposes of determining whether profit or loss on its sale is a short- or long-term capital gain or loss. Sales of assets owned one year or less produce short-term results. The sale of assets owned more than 12 months produces long-term results. The holding period begins on the day after you purchase an asset and ends on the day you sell it. If you buy on January 4, for example, your holding period begins January 5. If you sell the following January 4, you have owned the asset for exactly one year, and are stuck with short-term treatment. To be eligible for the gentler long-term tax treatment, you’d need to hold on until January 5, so that you have owned the asset for more than one year. See Capital gain.