Definition of Tax Liability Factor

Tax Liability Factor means the sum of the highest marginal corporation income tax rates in effect under the Code and state corporation income tax law (which latter shall be adjusted to reflect the deductibility of state income taxes under the Code), reflected in VTransco's rates, expressed as a percentage or as a decimal as the context requires.

Examples of Tax Liability Factor in a sentence

For purposes of this Section 6.3, a Member's tax liability amounts shall be determined by taking the net amount of the Member's distributive share of all items of income, gain, loss and deduction of the Company described in Code section 702, and multiplying the result by the Tax Liability Factor.