Examples of Accrued But Unpaid Interest in a sentence
In addition, even within an otherwise tax-free exchange, a U.S. Holder will have interest income to the extent of any exchange consideration allocable to accrued but unpaid interest not previously included in income (see “Distributions in Respect of Accrued But Unpaid Interest or OID” below).
Accrued But Unpaid Interest To the extent that any Allowed Claim entitled to a distribution under the Plan comprises indebtedness and accrued but unpaid interest thereon, the Debtors intend to take the position that, for income tax purposes, such distribution will be allocated to the principal amount of the Allowed Claim first and then, to the extent the consideration exceeds the principal amount of the Allowed Claim, to the portion of such Allowed Claim representing accrued but unpaid interest.
See Section C.2. below—“Distributions in Respect of Accrued But Unpaid Interest or OID.” In the event of the subsequent disallowance of any Disputed General Unsecured Claim or the reallocation of undeliverable distributions, it is possible that a holder of a previously Allowed Claim may receive additional distributions in respect of its Claim.
See Section B.2. below—“Distributions in Respect of Accrued But Unpaid Interest or OID.” In the event of the subsequent disallowance of any Disputed Class 1 Claim or Class 6 Claim or the reallocation of undeliverable distributions, it is possible that a holder of a previously Allowed Claim may receive additional distributions in respect of its Claim.
Refer to Section B.2., "Distributions in Discharge of Accrued But Unpaid Interest" for a discussion of the federal income tax consequences of any Claim for accrued interest.
For a discussion of the tax consequences of any claims for accrued but unpaid interest, see section XIII.B.3. ("Distributions in Discharge of Accrued But Unpaid Interest") below.