State or Local Tax Liability Sample Clauses
State or Local Tax Liability. The rates of compensation set forth in this Contract exclude any excise, sales, use or ad valorem taxes or taxes of a similar nature which may be imposed by any state, county or local municipality based upon the furnishing of the Drilling Unit and services under this Contract. The amount of any such taxes which Contractor is legally liable to pay and does pay shall be promptly reimbursed by Operator upon Contractor's submission to Operator of sufficient proof of payment thereof. This paragraph shall not apply, however, to sales taxes applicable to other materials, supplies and equipment purchased or rented by Contractor for the drilling operations contemplated herein.
State or Local Tax Liability. In the event that Contractor, as a result of operations under this Contract in any state waters, determines that a tax payment is due to an appropriate taxing authority or receives an assessment of tax directly by an appropriate taxing authority, Contractor will, prior to making any payment, notify Operator of such determination or assessment. If Contractor is required to pay the tax, Operator agrees to be responsible for and hold harmless and indemnify Contractor from any and all claims with respect thereto. In addition, Operator will reimburse Contractor any sums so paid.
State or Local Tax Liability. For each taxable year or portion thereof ending after the Effective Date that a Subgroup is part of the TCI Affiliated Group, the State or Local Tax Liability of the Subgroup shall be equal to the product of:
a. the sum of the state and local income and franchise taxes attributable to those jurisdictions in which the TCI Unitary Group is liable for state or local income or franchise taxes with respect to the operations of any Member of such Subgroup on a unitary, consolidated or nexus combination basis, multiplied by b. a fraction, (i) the numerator of which is the aggregate amount of such tax that is attributable to such Subgroup in such jurisdictions, determined without regard to any other Subgroup, as though such Subgroup were required to file either a unitary, consolidated or nexus combination corporate income or franchise tax return (for this purpose, each First Tier LLC shall be treated as if it was a corporation) in such jurisdictions for such taxable year or portion thereof, and (ii) the denominator of which is the sum of all such amounts determined with respect to all the Subgroups.