Common use of ESG Group Federal Income Tax Liability Clause in Contracts

ESG Group Federal Income Tax Liability. With respect to each taxable year ending prior to the Deconsolidation Year and beginning on or after the Effective Date, the ESG Group Federal Income Tax Liability for such taxable period shall be the Federal Income Taxes for such taxable period, as determined on an ESG Group Pro Forma Consolidated Return prepared: (a) assuming that the members of the ESG Group were not included in the Consolidated Group and by including only Tax Items of members of the ESG Group that are included in the Consolidated Return; (b) except as provided in Section 3.03(e) hereof, using all elections, accounting methods and conventions used on the Consolidated Return for such period; (c) applying the highest statutory marginal corporate income Tax rate in effect for such taxable period; (d) excluding any Tax Attributes for which HESI has been compensated pursuant to Section 3.09 hereof; (e) assuming that the ESG Group elects not to carry back any net operating losses; and (f) assuming that the ESG Group’s utilization of any Tax Attribute carryforward or carryback is limited to the Tax Attributes of the ESG Group that would be available if the ESG Group Federal Income Tax Liability for each taxable year ending after January 1, 2001 were determined in accordance with this Section 3.03.

ESG Group Federal Income Tax Liability. With respect to each taxable year ending prior to the Deconsolidation Year and beginning on or after all taxable years following the Effective DateDeconsolidation Year, the ESG Group Federal Income Tax Liability for such taxable period shall be the Federal Income Taxes for such taxable period, as determined on an ESG Group Pro Forma Consolidated Return prepared: (a) assuming that the members of the ESG Group were not included in the Consolidated Group and by including only Tax Items of members of the ESG Group that are included in the Consolidated Return; (b) except as provided in Section 3.03(e5.03(e) hereof, using all elections, accounting methods and conventions used on the Consolidated Return for such period; (c) applying the highest statutory marginal corporate income Tax rate in effect for such taxable period; (d) excluding any Tax Attributes for which HESI has been compensated pursuant to Section 3.09 5.09 hereof; (e) assuming that the ESG Group elects not to carry back any net operating losses; and (f) assuming that the ESG Group’s utilization of any Tax Attribute carryforward or carryback is limited to the Tax Attributes of the ESG Group that would be available if the ESG Group Federal Income Tax Liability for each taxable year ending after January 1, 2001 were determined in accordance with this Section 3.035.03.