Common use of Tax Reimbursement Clause in Contracts

Tax Reimbursement. If Texas law requires the Company and NGP both to participate in the filing of a Texas franchise tax combined group report, and if NGP or its Affiliates pay the franchise tax liability due in connection with such combined report, the parties agree that the Company shall promptly reimburse NGP or its Affiliates for the franchise tax paid on behalf of the Company as a combined group member. The franchise tax paid on behalf of the Company shall be equal to the franchise tax that the Company would have paid if it had computed its franchise tax liability for the report period on a separate entity basis rather than as a member of the combined group. In such event, the parties agree that NGP and its Affiliates shall be considered as paying such amount on behalf of the Company and the Company shall deduct for federal income tax purposes one hundred percent (100%) of the Texas franchise tax attributable to the Company; provided that in the event that such deduction may not be properly taken by the Company, the Company shall reimburse NGP and its Affiliates for the after-tax cost of such payment of Texas franchise tax paid on the Company’s behalf.

Tax Reimbursement. If Texas law requires the Company and NGP both to participate in the filing of a Texas franchise tax combined group report, and if NGP or its Affiliates pay pays the franchise tax liability due in connection with such combined report, the parties agree that the Company shall promptly reimburse NGP or its Affiliates for the franchise tax paid on behalf of the Company as a combined group member. The franchise tax paid on behalf of the Company shall be equal to the franchise tax that the Company would have paid if it had computed its franchise tax liability for the report period on a separate entity basis rather than as a member of the combined group. In such event, the parties agree that NGP and its Affiliates shall be considered as paying such amount on behalf of the Company and the Company shall deduct for federal income tax purposes one hundred percent (100%) % of the Texas franchise tax attributable to the Company; provided that in the event that such deduction may not be properly taken by the Company, the Company shall reimburse NGP and its Affiliates for the after-tax cost of such payment of Texas franchise tax paid on the Company’s behalf.

Tax Reimbursement. If Texas law requires the Company and NGP both a Member to participate in the filing of a Texas franchise tax combined group report, and if NGP the Company or such Member or its Affiliates pay the franchise tax liability due in connection with such combined report, the parties agree that the Company shall promptly reimburse NGP or such Member of its Affiliates for the franchise tax paid on behalf of the Company as a combined group member. The franchise tax paid on behalf of the Company shall be equal to the franchise tax that the Company would have paid if it had computed its franchise tax liability for the report period on a separate entity basis rather than as a member of the combined group. In such event, the parties agree that NGP such Member and its Affiliates shall be considered as paying such amount on behalf of the Company and the Company shall deduct for federal income tax purposes one hundred percent (100%) of the Texas franchise tax attributable to the Company; provided that in the event that such deduction may not be properly taken by the Company, the Company shall reimburse NGP such member and its Affiliates for the after-tax cost of such payment of Texas franchise tax paid on the Company’s behalf.