Common use of Transfer of or Change in Up MacroShares Clause in Contracts

Transfer of or Change in Up MacroShares. The Depositor may use any convention or combination of conventions that it believes is reasonable for U.S. federal income tax purposes regarding the allocation of items of income, gain, loss, deduction and expense with respect to transferred Up MacroShares and redeemed Up MacroShares. A transferee who takes all or part of a Holder's Up MacroShares shall succeed to the Capital Account maintained in respect of the transferor Holder to the extent of such transfer, including where the transfer causes a termination of the Up Trust under Section 708(b)(1)(B) of the Code, in which case the Capital Account of the transferee and the Capital Accounts of the other Holders of Up MacroShares in the terminated Up Trust shall carry over to the new Up Trust that is formed, for U.S. federal income tax purposes, as a result of the termination.

Transfer of or Change in Up MacroShares. The Depositor may use any convention or combination of conventions that it believes is reasonable for U.S. federal income tax purposes regarding the allocation of items of income, gain, loss, deduction and expense with respect to transferred Up MacroShares and redeemed Up MacroShares. A transferee who takes all or part of a Holder's Up MacroShares shall succeed to the Capital Account maintained in respect of the transferor Holder to the extent of such transfer, ; including where the transfer causes a termination of the Up Trust under Section 708(b)(1)(B) of the Code, in which case the Capital Account of the transferee and the Capital Accounts of the other Holders of Up MacroShares in the terminated Up Trust shall carry over to the new Up Trust that is formed, for U.S. federal income tax purposes, as a result of the termination.