Common use of Financial Statements and Tax Returns Clause in Contracts

Financial Statements and Tax Returns. At the expense of the Joint Venture, the Managing Venturer shall engage a certified public accountant to prepare the Joint Venture’s annual income tax return, the return required by Code section 6050K relating to sales and exchanges of interests in the Joint Venture, and annual financial statements, which shall include: (a) a balance sheet as of the last day of the accounting year; (b) a statement of income or loss for the full year; (c) a statement of changes in financial position; (d) a statement of cash flow and distributions for the full year; (e) a detailed statement of distributions to and changes in the Capital Accounts of all Venturers; and (f) a detailed statement of assessments and borrowings, if any. Subject to a Vote to the contrary, such financial statements shall be unaudited. Within a reasonable time after the close of each accounting year, the Managing Venturer shall transmit to each person who was a Venturer (or assignee) during such accounting year, a copy of such financial statements and a report (which may be in the form of Schedule K-1 to IRS Form 1065) indicating such persons’ respective share of Federal Income Tax Items, Amount Realized, tax preference items and investment credits, if any, for such year.

Financial Statements and Tax Returns. At the expense of the Joint Venture, the Managing Venturer shall engage a certified public accountant to prepare the Joint Venture’s Ventures' annual income tax return, the return required by Code section 6050K relating to sales and exchanges of interests in the Joint Venture, and annual financial statements, which shall include: (a) a balance sheet as of the last day of the accounting year; (b) a statement of income or loss for the full year; (c) a statement of changes in financial position; (d) a statement of cash flow and distributions for the full year; (e) a detailed statement of distributions to and changes in the Capital Accounts of all Venturers; and (f) a detailed statement of assessments and borrowings, if any. Subject to a Vote to the contrary, such financial statements shall be unaudited. Within a reasonable time after the close of each accounting year, the Managing Venturer shall transmit to each person who was a Venturer (or assignee) during such accounting year, a copy of such financial statements and a report (which may be in the form of Schedule K-1 to IRS Form 1065) indicating such persons’ ' respective share of Federal Income Tax Itemsdistributions and allocations of Profits, Amount Losses, and, Amounts Realized, tax preference items and investment credits, if any, for such year.