Common use of California Tax Clause in Contracts

California Tax. Contractor represents that Contractor is a California resident or registered with the California Secretary of State and shall provide Corporation with a copy of Form 590 (Withholding Exemption Certificate) in accordance with California Revenue and Taxation Code Section 18662 or seven percent (7%) of all compensation payable to Contractor for work performed in California be withheld in accordance with applicable California Franchise Tax Board regulations unless Corporation has been notified in writing that withholding is a lower rate or withholding is waived.