Common use of Deductions; Taxes Clause in Contracts

Deductions; Taxes. (a) There shall be no deduction from the royalties owned to VDI for uncollectible accounts, or for taxes, fees, assessments, or other expenses of any kind which may be incurred or paid by the Licensee in connection with (i) royalty payments due VDI; (ii) the manufacture, sale, distribution or advertising of the Licensed Products in the Territory; or (iii) the transfer of funds or royalties or the conversion of any currency into U.S. dollars. It shall be the Licensee's sole responsibility at its expense to obtain the approval of any governmental authorities; to take whatever steps may be required to effect the payment of funds to VDI; to minimize or eliminate the incidence of taxes, fees, or assessments which may be imposed; to enable it to commence or continue doing business in any country; and to comply in any and all respects with all applicable laws and regulations. (b) Notwithstanding the provisions of the preceding Clause, if (i) any country imposes a withholding tax against VDI, as licensor, with respect to the royalties payable to VDI by the Licensee on sales of the Licensed Products in such country, (ii) such tax is paid by the Licensee on behalf of VDI, and (iii) such tax is an income tax as to which a foreign tax credit is allowable to VDI under Section 901 of the Internal Revenue Code of 1986, as amended, the Licensee may deduct the amount of such withholding tax from the royalties paid to VDI under this Agreement on the condition that the Licensee furnishes to VDI all information and documentation required by VDI to enable VDI to obtain a foreign tax credit on its U.S. income tax return with respect to such withholding tax payment by the Licensee.

Deductions; Taxes. (a) There shall be no deduction from the royalties owned owed to VDI for uncollectible accounts, or for taxes, fees, assessments, or other expenses of any kind which may be incurred or paid by the Licensee in connection with with: (i) royalty payments due VDIVDL; (ii) the manufacture, sale, distribution distribution, or advertising of the Licensed Products in the Territory; or (iii) the transfer of funds or royalties or the conversion of any currency into U.S. dollars. It shall be the Licensee's sole responsibility at its expense to obtain the approval of any governmental authorities; to take whatever steps may be required to effect the payment of funds to VDI; to minimize or eliminate the incidence of taxes, fees, or assessments which may be imposed; to enable it to commence or continue doing business in any country; and to comply in any and all respects with all applicable laws and regulations. (b) Notwithstanding the provisions of the preceding Clause, if (i) any country imposes a withholding tax against VDI, as licensor, with respect to the royalties payable to VDI by the Licensee on sales of the Licensed Products in such country, (ii) such tax is paid by the Licensee on in behalf of VDI, and (iii) such tax is an income tax as to which a foreign tax credit is allowable to VDI under Section 901 of the Internal Revenue Code of 1986, as amended, the Licensee may deduct the amount of such withholding tax from the royalties paid to VDI under this Agreement on the condition that the Licensee furnishes to VDI all information and documentation required by VDI to enable VDI to obtain a foreign tax credit on its U.S. income tax return with respect to such withholding tax payment by the Licensee.

Deductions; Taxes. (a) There shall be no deduction from the royalties owned owed to VDI for uncollectible accounts, or for taxes, fees, assessments, or other expenses of any kind which may be incurred or paid by the Licensee in connection with (i) royalty payments due VDI; (ii) the manufacture, sale, distribution distribution, or advertising of the Licensed Products in the Territory; or (iii) the transfer of funds or royalties or the conversion of any currency into U.S. dollars. It shall be the Licensee's sole responsibility at its expense to obtain the approval of any governmental authorities; to take whatever steps may be required to effect the payment of funds to VDI; to minimize or eliminate the incidence of taxes, fees, or assessments which may be imposed; to enable it to commence or continue doing business in any country; and to comply in any and all respects with all applicable laws and regulations. (b) Notwithstanding the provisions of the preceding Clause, if (i) any country imposes a withholding tax against VDI, as licensor, with respect to the royalties payable to VDI by the Licensee on sales of the Licensed Products in such country, (ii) such tax is paid by the Licensee on behalf of VDI, and (iii) such tax is an income tax as to which a foreign tax credit is allowable to VDI under Section 901 of the he Internal Revenue Code of 1986, as amended, the Licensee may deduct the amount of such withholding tax from the royalties paid to VDI under this their Agreement on the condition that the Licensee furnishes to VDI all information and documentation required by VDI to enable VDI to obtain a foreign tax credit on its U.S. income tax return with respect to such withholding tax payment by the Licensee.

Deductions; Taxes. (a) There shall be no deduction from the royalties owned owed to VDI for uncollectible accounts, or for taxes, fees, assessments, or other expenses of any kind which may be incurred or paid by the Licensee in connection with with. (i) royalty payments due VDI; (ii) the manufacture, sale, distribution distribution, or advertising of the Licensed Products in the Territory; or (iii) the transfer of funds or royalties or the conversion of any currency into U.S. dollars. It shall be the Licensee's sole responsibility at its expense to obtain the approval of any governmental authorities; to take whatever steps may be required to effect the payment of funds to VDI; to minimize or eliminate the incidence of taxes, fees, or assessments which may be imposed; to enable it to commence or continue doing business in any country; and to comply in any and all respects with all applicable laws and regulations. (b) Notwithstanding the provisions of the preceding Clause, if (i) any country imposes a withholding tax against VDI, as licensor, with respect to the royalties payable to VDI by the Licensee on sales of the Licensed Products in such country, (ii) such tax is paid by the Licensee on behalf of VDI, and (iii) such tax is an income tax as to which a foreign tax credit is allowable to VDI under Section 901 of the Internal Revenue Code of 1986, as amended, the Licensee may deduct the amount of such withholding tax from the royalties paid to VDI under this Agreement on the condition that the Licensee furnishes to VDI all information and documentation required by VDI to enable VDI to obtain a foreign tax credit on its U.S. income tax return with respect to such withholding tax payment by the Licensee.