Common use of INCOME CHARACTERIZATION Clause in Contracts

INCOME CHARACTERIZATION. For purposes of determining the character (as ordinary income or capital gain) of any Profits allocated to the Unitholders pursuant to Section 6.2, such portion of the taxable income of the Company allocated pursuant to Section 6.2 that is treated as ordinary income attributable to the recapture of depreciation shall, to the extent possible, be allocated among the Unitholders in the proportion that (i) the amount of depreciation previously allocated to each Unitholder bears to (ii) the total of such depreciation allocated to all Unitholders. This Section 6.3(i) shall not alter the amount of allocation among the Unitholders pursuant to Section 6.2 but merely the character of income so allocated.

INCOME CHARACTERIZATION. For purposes of determining the character (as ordinary income or capital gain) of any Profits taxable income of the Company allocated to the Unitholders Members pursuant to this Section 6.2, such portion of the taxable income of the Company allocated pursuant to this Section 6.2 that which is treated as ordinary income attributable to the recapture of depreciation shall, to the extent possible, to be allocated among the Unitholders Members in the proportion that which (i) the amount of depreciation previously allocated to each Unitholder Member bears to (ii) the total of such depreciation allocated to all UnitholdersMembers. This Section 6.3(i) 6.2 shall not alter the amount of allocation allocations among the Unitholders Members pursuant to this Section 6.2 6.2, but merely the character of income so allocated.

INCOME CHARACTERIZATION. For purposes of determining the character (as ordinary income or capital gain) of any Profits allocated to the Unitholders pursuant to Section 6.2, such portion gain recognized from any disposition of the taxable income of the a Company allocated pursuant to Section 6.2 that asset which is treated as ordinary income because it is attributable to the recapture of any depreciation or amortization shall, to the extent possible, be allocated pursuant to Section 2 among the Unitholders Members in the proportion that which (i) the amount of depreciation previously allocated to each Unitholder Member (or such Member’s predecessor in interest) bears to (ii) the total of such depreciation allocated to all UnitholdersMembers. This Section 6.3(i) 4.2 shall not alter the amount of allocation allocations among the Unitholders Members pursuant to Section 6.2 2 but merely the character of income so allocated.