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This paper presents a new approach for finding capacitor's location and it's sizing in a radial distribution system (RDS) optimally with an aim of reducing the active power loss. In this paper, the problem of minimizing power loss is converted into a Mixed Integer Non-Linear Program (MINLP) problem, and it will be solved by using Generalized Algebraic Modeling Systems (GAMS) software with MINLP-SBB Solver. The proposing GAMS approach is tested on IEEE 10 bus RDS. By using GAMS, the programming will be simple and more accurate results can be achieved with less execution time. The MATLAB R2020b is used to run the load flows program and analyze results. The results are compared with the other optimization techniques results.