STATE EQUIVALENT TAX Clause Samples

STATE EQUIVALENT TAX. The State Equivalent Tax imposed on the Company with respect to the period commencing on and from l July 1996 and ending on the Completion Date is estimated to be as follows: (a) profit (before State Equivalent Tax) on sale of the Assets by the Company: $486,579,121.87; (b) operating profit (before State Equivalent Tax) earned by the Company in the months of: 1 September to 13 September Nil 14 September to 30 September $2,500,000 October $2,500,000 (in aggregate the "ESTIMATED STATE EQUIVALENT TAX" with any amount referred to in paragraph (b) being reduced proportionately if the period is less than the relevant period set out above). The Buyers shall procure the Company does not challenge the basis of the amounts specified above. The Buyers shall procure that the Company lodges a return in respect of the State Equivalent Tax payable by the Company for the above periods within 30 days after the Completion Date. The Company must prepare the return consistently with past practice and in particular consistent with binding tax rulings and instructions of the Treasurer.