Common use of Tax Interpretation Clause in Contracts

Tax Interpretation. For all Tax purposes and notwithstanding any other provision of this Agreement, to the extent permitted by applicable law, the parties hereto shall treat any payment made pursuant to this Agreement as a capital contribution or dividend distribution, as the case may be, immediately prior to the Spin-Off Date and, accordingly, as not includible in the taxable income of the recipient. If it is finally determined that the receipt or accrual of any payment made under this Agreement is taxable to the recipient, the payor shall pay to the recipient, on an After-Tax Basis, an amount equal to any increase in the Taxes of the recipient as a result of receiving the payment from the payor.

Tax Interpretation. For all Tax purposes and notwithstanding any other provision of this Agreement, to the extent permitted by applicable law, the parties hereto shall treat any payment made pursuant to this Agreement as a capital contribution or dividend distribution, as the case may be, immediately prior to the Spin-Off Date and, accordingly, as not includible includable in the taxable income of the recipient. If it is finally determined that the receipt or accrual of any payment made under this Agreement is taxable to the recipient, the payor shall pay to the recipient, on an After-Tax Basis, an amount equal to any increase in the Taxes of the recipient as a result of receiving the payment from the payor.