Common use of De minimis exception Clause in Contracts

De minimis exception. If less than 10 percent of a C corporation’s earnings and profits for a taxable year are de- rived from activities that would produce passive investment income if the C corporation were an S corpora- tion, all earnings and profits produced by the corporation during that taxable year are considered active earnings and profits.

Appears in 9 contracts

Samples: Supplemental Contract, Publishing Agreement, Supplemental Contract

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