Tax Treatment of Agreement. For income tax purposes, the Parties intend that any transactions arising under this Agreement are simply a purchase and sale of electricity, and the Parties shall report any transactions as such. Nothing in this Agreement creates or intends to create a partnership between the Parties. Each Party hereby elects to be excluded from the application of all of the provisions of Subchapter K, Chapter 1, Subtitle A of the Internal Revenue Code of 1986, as permitted under Section 761 thereof and Treasury Regulations Section 1.761-2(b)(2). Each Party agrees to provide evidence of such election as may be required by the Internal Revenue Service, including any returns, statements, or data that may be required by applicable Law. Neither Party shall give any notices or take any action inconsistent with the above election. In making the foregoing election, each Party states that the income derived by such Party from operations hereunder can be adequately determined without the computation of partnership taxable income.
Appears in 4 contracts
Samples: Power Purchase Agreement, Power Purchase Agreement, Power Purchase Agreement
