FUTURE TAX LIABILITIES Clause Samples
The FUTURE TAX LIABILITIES clause defines how responsibility for taxes that arise after the agreement is signed will be allocated between the parties. Typically, this clause specifies which party will be liable for any taxes assessed in the future, such as new taxes, changes in tax law, or taxes related to the transaction that were not anticipated at signing. For example, if a government imposes a new tax on the goods or services covered by the contract, the clause will clarify who must pay it. Its core function is to prevent disputes by clearly assigning responsibility for unforeseen tax obligations that may arise after the contract is executed.
FUTURE TAX LIABILITIES. For all periods ending after 31st December, 2000 Instinet International Companies shall bear and indemnify continuing Reuters companies against all Instinet Tax Liabilities and continuing Reuters companies shall bear and indemnify Instinet International Companies against all non-Instinet Tax Liabilities, Reuters and LLC themselves making payments, on a timely basis, to achieve the objective of this clause in the event of either of them failing to procure that other Companies make the required payments on a timely basis.
FUTURE TAX LIABILITIES. Notwithstanding anything to the contrary in any other provision of this Transaction, any taxes that may become payable by or assessable on any holder of the Preference Shares on any date (as determined by the Calculation Agent in its reasonable business judgement) with respect to the sale by or on behalf of the Issuers of any of the Exchangeable Shares after any such Exchangeable Note Exercise Date, shall be deducted from the Final Price as of each Equity Payment Date. If the actual amount paid in respect of such tax differs from the amount so estimated, adjustments (and, if necessary, payments) shall be made between the parties to reimburse or refund such difference. This provision shall survive the termination of this Transaction.