Collateral Tax Event means at any time, as a result of the introduction of a new, or any change in, any home jurisdiction or foreign tax statute, treaty, regulation, rule, ruling, practice, procedure or judicial decision or interpretation (whether proposed, temporary or final), interest payments due from the Obligors of any Collateral Debt Obligations in relation to any Due Period becoming properly subject to the imposition of home jurisdiction or foreign withholding tax (other than where such withholding tax is compensated for by a “gross-up” provision in the terms of the Collateral Debt Obligation or such requirement to withhold is eliminated pursuant to a double taxation treaty so that the Issuer as holder thereof is held completely harmless from the full amount of such withholding tax on an after-tax basis) so that the aggregate amount of such withholding tax on all Collateral Debt Obligations in relation to such Due Period is equal to or in excess of 6% of the aggregate interest payments due (for the avoidance of doubt, excluding any additional interest arising as a result of the operation of any gross-up provision) on all Collateral Debt Obligations in relation to such Due Period.
Collateral Tax Event means at any time, as a result of the introduction of a new, or any change in, any home jurisdiction or foreign tax statute, treaty, regulation, rule, ruling, practice, procedure or judicial decision or interpretation (whether proposed, temporary or final), interest payments due from the Obligors of any Collateral Debt Obligations in relation to any Due Period becoming properly subject to the imposition of home jurisdiction or foreign withholding tax (other than where such withholding tax is compensated for by a “gross-up” provision in the terms of the Collateral Debt Obligation or such requirement to withhold is eliminated pursuant to a double taxation treaty so that the Issuer as holder thereof is held completely harmless from the full amount of such withholding tax on an after-tax basis) so that the aggregate amount of such withholding tax on all Collateral Debt Obligations in relation to such Due Period is equal to or in excess of 6.0% of the aggregate interest payments due (for the avoidance of doubt, excluding any additional interest arising as a result of the operation of any gross-up provision) on all Collateral Debt Obligations in relation to such Due Period.
Collateral Tax Event means the introduction of a new, or any change in, home jurisdiction or foreign tax statute, treaty, regulation, rule, ruling, practice, procedure or judicial decision or interpretation which results in any portion of any payment due from any Obligor under any Collateral Debt Security held by or on behalf of the Issuer becoming properly subject to the imposition of home jurisdiction or foreign withholding tax which withholding tax: (i) is not compensated for by a “gross up” provision in the terms of the Collateral Debt Security; and (ii) amounts, in the aggregate, to 5 per cent. or more of the aggregate interest payments on all of the Collateral Debt Securities held by or on behalf of the Issuer during the related Due Period.
Examples of Collateral Tax Event in a sentence
The imposition of VAT in Ireland on the Collateral Management Fees will not constitute a Note Tax Event or a Collateral Tax Event.
The occurrence of any withholding tax or tax by direct assessment imposed by any jurisdiction owing to a change in law may result in the occurrence of a Collateral Tax Event pursuant to which the Notes may be subject to early redemption at the option of the Subordinated Noteholder in the manner described in Condition 7(b) (Optional Redemption).
A Collateral Tax Event shall occur if the aggregate amount of any withholding tax on payments in respect of the Collateral Obligations during any Due Period is equal to or in excess of 6.0 per cent.
If payments in respect of Collateral Obligations to the Issuer become subject to withholding tax, this may also trigger a Collateral Tax Event and result in an optional redemption of the Rated Notes in accordance with Condition 7(b)(i)(B) ( Optional Redemption in Whole—Subordinated Noteholders).
If an Underlying Collateral Tax Event occurs in respect of a Series of Instruments, the Calculation Agent on behalf of the Issuer shall promptly give notice of such occurrence to the Instrumentholders in respect of such Series specifying reasonable details of such Underlying Collateral Tax Event in so far as these are reasonably available to the Calculation Agent at such time, and shall provide a copy of such notice to each of the Issuer, each Counterparty, the Trustee and each Agent.
More Definitions of Collateral Tax Event
Collateral Tax Event means at any time, as a result of the introduction of a new, or any change in, any home jurisdiction or foreign tax statute, treaty, regulation, rule, ruling, practice, procedure or judicial decision or interpretation (whether proposed, temporary or final), interest payments due from the Obligors of any Portfolio Investments in relation to any Due Period becoming properly subject to the imposition of home jurisdiction or foreign withholding tax (other than where such withholding tax is compensated for by a "gross-up" provision in the terms of the Portfolio Investment or such requirement to withhold is eliminated pursuant to a double tax treaty so that the Issuer as holder thereof is held completely harmless from the full amount of such withholding tax on an after-tax basis) so that the aggregate amount of such withholding tax on all Portfolio Investments in relation to such Due Period is equal to or in excess of 6 per cent. of the aggregate interest payments due (for the avoidance of doubt, excluding any additional interest arising as a result of the operation of any gross-up provision) on all Portfolio Investments in relation to such Due Period.
Collateral Tax Event means that any payment of principal or interest or other distribution in respect of the Collateral (if any) for the time being is required to be made subject to a deduction or withholding for or on account of taxes and the Issuer is unable to change its residence for taxation purposes or, to the extent permitted by law, change its domicile to another jurisdiction in a tax efficient manner, before the next payment is due in respect of the Notes.
Collateral Tax Event means at any time, as a result of the introduction of a new, or any change in, any home jurisdiction or foreign tax statute, treaty, regulation, rule, ruling, practice, interpretation, procedure or judicial decision (whether proposed, temporary or final) (including related FTT), or as a result of the application of FATCA, interest payments due from the Obligors of any Portfolio Assets to the Issuer in relation to any Due Period being or becoming properly subject to the imposition of home jurisdiction or foreign withholding tax (other than U.S. withholding taxes on commitment fees, amendment fees, waiver fees, consent fees, letter of credit fees, extension fees, or similar fees, to the extent that such withholding taxes do not exceed 30 per cent. of the amount of such fees), unless such withholding tax is compensated for by a “gross up” provision in the terms of the Portfolio Asset or such withholding will be eliminated by application being made under the applicable double tax treaty or pursuant to the provision of any relevant documentation under any domestic legislation, provided that the aggregate amount of such withholding tax on all Portfolio Assets in relation to such Due Period is equal to or in excess of 10 per cent. of the aggregate interest payments due (excluding any additional interest arising as a result of the operation of any gross up provision) on all Portfolio Assets in relation to such Due Period.
Collateral Tax Event means at any time, as a result of the introduction of a new, or any change in, any home jurisdiction or foreign tax statute, treaty, regulation, rule, ruling, practice, procedure or as a result of any judicial decision or interpretation or statement of any relevant tax authority, issued in either case, after the date of incorporation of the Issuer (whether proposed, temporary or final): (a) interest payments due from the Obligors of any Collateral Debt Obligations in relation to any Due Period becoming properly subject to the imposition of home jurisdiction or foreign withholding tax (other than where (i) such withholding tax is compensated for by a "gross-up" provision in the terms of the Collateral Debt Obligation, or such requirement to withhold is eliminated pursuant to a double taxation treaty so that the Issuer as holder thereof is held completely harmless from the full amount of such withholding tax on an after-tax basis and/or (ii) such withholding tax was reflected in the purchase price paid by the Issuer for the Collateral Debt Obligation) so that the aggregate amount of such withholding tax on all Collateral Debt Obligations in relation to such Due Period is equal to or in excess of 6 per cent. of the aggregate interest payments due (other than any additional interest arising as a result of the operation of any gross-up provision) on all Collateral Debt Obligations in relation to such Due Period; and (b) a substitution or relocation of the Issuer or other reasonable measures would fail to remedy (a) above.
Collateral Tax Event means at any time, as a result of the introduction of a new, or any change in, any home jurisdiction or foreign tax statute, treaty, regulation, rule, ruling, practice, procedure or judicial decision or interpretation (whether proposed, temporary or final) any interest payments due from the Obligors of any Debt Investment in relation to any Due Period becoming properly subject to the imposition of home jurisdiction or foreign withholding tax so that the aggregate amount of such withholding tax thereon in relation to such Due Period (after taking into account the effect of any applicable gross up provision or double taxation treaty) is equal to or in excess of six per cent. of the aggregate interest payments due on all Debt Investments in relation to such Due Period.
Collateral Tax Event means, with respect to the Relevant Securities, that a payment is made or is expected to be made subject to a withholding or deduction for or on account of any tax and an additional amount (howsoever defined) is not payable by the relevant issuer or guarantor such that the amount required to be paid is equal to the amount that would have been payable but for such withholding or deduction.
Collateral Tax Event means, as at the date of determination, interest, discount or premium payments due from the Obligors of any Collateral Obligations in relation to any Due Period to the Issuer becoming properly subject to the imposition of home jurisdiction or foreign direct taxation or withholding tax (other than where such tax is compensated for by a "gross up" provision or indemnity in the terms of the Collateral Obligation or such tax is eliminated pursuant to a double taxation treaty or otherwise so that the Issuer, as holder thereof, either directly or indirectly through a Participation is held completely harmless from the full amount of such tax) so that the aggregate amount of such direct or withholding tax on all Collateral Obligations in relation to such Due Period is equal to or in excess of 6 per cent. of the aggregate interest, discount or premium payments due (for the avoidance of doubt, excluding any additional payments arising as a result of the operation of any gross up provision and but for the imposition of such tax) on all Collateral Obligations in relation to such Due Period.