Common use of Federal Income Taxes Clause in Contracts

Federal Income Taxes. (a) If Certificates are treated as held by more than one person or the Trust is recharacterized as an entity separate from its owner, each Certificateholder acknowledges and agrees that the Trust will be treated as a partnership solely for income tax purposes and that this Agreement does not create a partnership for any other purpose. No election to treat the Trust other than as a disregarded entity if the Certificates are treated as held by a single person or as a partnership if the Certificates are treated as held by more than one person for Federal income tax purposes or any relevant state tax purposes shall be made by or on behalf of the Trust, or by any Certificateholder.

Federal Income Taxes. (a) If Trust Certificates are treated as held by more than one person or the Trust is recharacterized as an entity separate from its owner, each Trust Certificateholder acknowledges and agrees that the Trust will be treated as a partnership solely for income tax purposes and that this Agreement does not create a partnership for any other purpose. No election to treat the Trust other than as a disregarded entity if the Trust Certificates are treated as held by a single person or as a partnership if the Trust Certificates are treated as held by more than one person for Federal income tax purposes or any relevant state tax purposes shall be made by or on behalf of the Trust, or by any Certificateholder.