In page navigation
Windfall gain
An unexpected addition to income, for example, receiving an inheritance from a distant relative or winning a lottery. Similarly, windfall profit is an unexpected increase in profit for a firm. It is often argued that windfall gains/ profits are a good target for taxation since a tax upon them is not distortionary.
Reference: Oxford Press Dictonary of Economics, 5th edt.
Invezz is a place where people can find reliable, unbiased information about finance, trading, and investing – but we do not offer financial advice and users should always carry out their own research. The assets covered on this website, including stocks, cryptocurrencies, and commodities can be highly volatile and new investors often lose money. Success in the financial markets is not guaranteed, and users should never invest more than they can afford to lose. You should consider your own personal circumstances and take the time to explore all your options before making any investment. Read our risk disclaimer >
