Credit for Taxes Paid. (A) Credits: The parties hereto acknowledge and agree that the obligation of the Real Estate Holding Company and the Operating Company, jointly and severally, to make the payments provided in Section 2.02 of this Agreement shall be in addition to any and all other taxes and governmental charges of any kind whatsoever that the Real Estate Holding Company and/or the Operating Company may be required to pay under the Lease Agreement and the Equipment Lease Agreement, respectively. It is understood and agreed, however, that should the Real Estate Holding Company or the Operating Company pay in any calendar year to the Agency or the Taxing Entity any amounts in the nature of general property taxes, general assessments, service charges or other governmental charges of a similar nature levied and/or assessed upon the Project Facility or the interest therein of the Real Estate Holding Company or the Operating Company or the occupancy thereof by the Real Estate Holding Company or the Operating Company (but not including, by way of example, sales and use taxes, or special assessments and special ad valorem levies described in Section 2.01(B) above) then the Real Estate Holding Company’s and the Operating Company’s obligation to make payments in lieu of property taxes for such calendar year to the Agency hereunder shall be reduced by the amounts which the Real Estate Holding Company and the Operating Company shall have so paid to the Agency in such calendar year, but there shall be no cumulative or retroactive credit as to any payment in lieu of property taxes due to the Agency or as to any payment in lieu of property taxes due to the Agency in any other calendar year.
Credit for Taxes Paid. (A) Credits: The parties hereto acknowledge and agree that the obligation of the Company and the Operating Company, jointly and severally, to make the payments provided in Section 2.02 of this Agreement shall be in addition to any and all other taxes and governmental charges of any kind whatsoever which the Company and/or the Operating Company may be required to pay under the Lease Agreement and the Equipment Lease Agreement, respectively. It is understood and agreed, however, that should the Company or the Operating Company pay in any calendar year to the Agency or the Taxing Entity any amounts in the nature of general property taxes, general assessments, service charges or other governmental charges of a similar nature levied and/or assessed upon the Project Facility or the interest therein of the Company or the Operating Company or the occupancy thereof by the Company or the Operating Company (but not including, by way of example, sales and use taxes, or special assessments and special ad valorem levies described in Section 2.01(B) above) then the Company’s and the Operating Company’s obligation to make payments in lieu of property taxes for such calendar year to the Agency hereunder shall be reduced by the amounts which the Company and the Operating Company shall have so paid to the Agency in such calendar year, but there shall be no cumulative or retroactive credit as to any payment in lieu of property taxes due to the Agency or as to any payment in lieu of property taxes due to the Agency in any other calendar year.
Credit for Taxes Paid
