Common use of Compensation Formula Clause in Contracts

Compensation Formula. Compensation shall be calculated on a state-by-state basis for each CSP-compensated Seller with whom the Contractor provides CSP services as described below. The Contractor shall remit to the Streamlined State, the Taxes Due less this compensation. (a) For each CSP-compensated Seller described in Section D.2.(b) of this contract, the Contractor shall be allowed compensation equal to five percent (5%) of the first $500,000 of Taxes Due in that Streamlined State and two percent (2%) of the Taxes Due in that Streamlined State in excess of the $500,000. The remainder shall be remitted to the Streamlined State. (b) For each CSP-compensated Seller described in Section D.2.(b) of this contract whose gross sales in the preceding calendar year do not exceed $100,000 in the Streamlined State, the Contractor shall be allowed compensation equal to six (6%) of the first $8,000 of the Taxes Due in that Streamlined State; five percent (5%) of the Taxes Due that exceed $8,000 but do not exceed $500,000; and two percent (2%) of the Taxes Due that exceed $500,000, rather than the compensation provided in Section D.5.(a). With the exceptions of (i) the contract or agreement in place with Pennsylvania as of July 1, 2020, but not including any modifications of that contract or agreement; and (ii) a contract or agreement the Contractor enters into with a non-Streamlined State that applies to more than just CSP-compensated Sellers as defined in this contract, if the Contractor agrees with the non-Streamlined State to collect and remit the sales or use tax for any non- Streamlined State at a rate of less than 6% of the Taxes Due, this Section D.5.(b) is null and void on the effective date of the agreement or contract with the non-Streamlined State. (c) A Streamlined State may enter into a contract or agreement directly with a Contractor based on a different rate structure that is mutually agreeable between that State and the Contractor. The Contractor shall provide a copy of any such contract or agreement entered into directly with a Streamlined State to the Executive Director within 10 days of signing the contract or accepting the terms of the agreement.

Compensation Formula. Compensation shall rates are based upon the volume of Taxes Due from each Volunteershall be calculated on a state-by-state basis for each CSP-compensated Seller with whom the Contractor agrees to provides CSP services as described below. Compensation to the Contractor shall be paid in accordance with the formula set forth below.The Contractor shall remit to the Streamlined State, the Taxes Due less this compensation. (a) For each CSP-compensated Seller described in Section D.2.(b) of this contract, the Contractor shall be allowed compensation equal to five percent (5%) of the first $500,000 of Taxes Due in that Streamlined State and two percent (2%) of the Taxes Due in that Streamlined State in excess of the $500,000. The remainder shall be remitted to the Streamlined State. (b) For each CSP-compensated Seller described in Section D.2.(b) of this contract whose gross sales in the preceding calendar year do not exceed $100,000 in the Streamlined State, the Contractor shall be allowed compensation equal to six (6%) of the first $8,000 of the Taxes Due in that Streamlined State; five percent (5%) of the Taxes Due that exceed $8,000 but do not exceed $500,000; and two percent (2%) of the Taxes Due that exceed $500,000, rather than the compensation provided in Section D.5.(a). With the exceptions of (i) the contract or agreement in place with Pennsylvania as of July 1, 2020, but not including any modifications of that contract or agreement; and (ii) a contract or agreement the Contractor enters into with a non-Streamlined State that applies to more than just CSP-compensated Sellers as defined in this contract, if the Contractor agrees with the non-Streamlined State to collect and remit the sales or use tax for any non- non-Streamlined State at a rate of less than 6% of the Taxes Due, this Section D.5.(b) is null and void on the effective date of the agreement or contract with the non-Streamlined State. (c) A Streamlined State may enter into a contract or agreement directly with a Contractor based on a different rate structure that is mutually agreeable between that State and the Contractor. The Contractor shall provide a copy of any such contract or agreement entered into directly with a Streamlined State to the Executive Director within 10 days of signing the contract or accepting the terms of the agreement. (a) For the first $250,000 of Taxes Due from each Volunteer Seller to all Streamlined States combined, the Contractor shall be allowed compensation in an amount equal to eight percent (8%) of the Taxes Due. The remainder shall be remitted to the Streamlined States. (b) For Taxes Due from each Volunteer Seller to all Streamlined States combined that exceed $250,000 but total no more than $1,000,000, the Contractor shall be allowed compensation in an amount equal to seven percent (7%) of the Taxes Due. The remainder shall be remitted to the Streamlined States. (c) For Taxes Due from each Volunteer Seller to all Streamlined States combined that exceed $1,000,000 but total no more than $2,500,000, the Contractor shall be allowed compensation in an amount equal to six percent (6%) of the Taxes Due. The remainder shall be remitted to the Streamlined States. (d) For Taxes Due from each Volunteer Seller to all Streamlined States combined that exceed $2,500,000 but total no more than $5,000,000, the Contractor shall be allowed compensation in an amount equal to five percent (5%) of the Taxes Due. The remainder shall be remitted to the Streamlined States. (e) For Taxes Due from each Volunteer Seller to all Streamlined States combined that exceed $5,000,000 but total no more than $10,000,000, the Contractor shall be allowed compensation in an amount equal to four percent (4%) of the Taxes Due. The remainder shall be remitted to the Streamlined States. (f) For Taxes Due from each Volunteer Seller to all Streamlined States combined that exceed $10,000,000 but total no more than $25,000,000, the Contractor shall be allowed compensation in an amount equal to three percent (3%) of the Taxes Due. The remainder shall be remitted to the Streamlined States. (g) For Taxes Due from each Volunteer Seller to all Streamlined States combined that exceed $25,000,000, the Contractor shall be allowed compensation in an amount equal to two percent (2%) of the Taxes Due. The remainder shall be remitted to the Streamlined States.

Compensation Formula. Compensation shall rates are based upon the volume of Taxes Due from each Volunteershall be calculated on a state-by-state basis for each CSP-compensated Seller with whom the Contractor agrees to provides CSP services as described below. Compensation to the Contractor shall be paid in accordance with the formula set forth below.The Contractor shall remit to the Streamlined State, the Taxes Due less this compensation. (a) For each CSP-compensated Seller described in Section D.2.(b) of this contract, the Contractor shall be allowed compensation equal to five percent (5%) of the first $500,000 of Taxes Due in that Streamlined State and two percent (2%) of the Taxes Due in that Streamlined State in excess of the $500,000. The remainder shall be remitted to the Streamlined State. (b) For each CSP-compensated Seller described in Section D.2.(b) of this contract whose gross sales in the preceding calendar year do not exceed $100,000 in the Streamlined State, the Contractor shall be allowed compensation equal to six (6%) of the first $8,000 of the Taxes Due in that Streamlined State; five percent (5%) of the Taxes Due that exceed $8,000 but do not exceed $500,000; and two percent (2%) of the Taxes Due that exceed $500,000, rather than the compensation provided in Section D.5.(a). With the exceptions of (i) the contract or agreement in place with Pennsylvania as of July 1, 2020, but not including any modifications of that contract or agreement; and (ii) a contract or agreement the Contractor enters into with a non-Streamlined State that applies to more than just CSP-compensated Sellers as defined in this contract, if the Contractor agrees with the non-Streamlined State to collect and remit the sales or use tax for any non- non-Streamlined State at a rate of less than 6% of the Taxes Due, this Section D.5.(b) is null and void on the effective date of the agreement or contract with the non-Streamlined State. (c) A Streamlined State may enter into a contract or agreement directly with a Contractor based on a different rate structure that is mutually agreeable between that State and the Contractor. The Contractor shall provide a copy of any such contract or agreement entered into directly with a Streamlined State to the Executive Director within 10 days of signing the contract or accepting the terms of the agreement. (a) For the first $250,000 of Taxes Due from each Volunteer Seller to all Streamlined States combined, the Contractor shall be allowed compensation in an amount equal to eight percent (8%) of the Taxes Due. The remainder shall be remitted to the Streamlined States. (b) For Taxes Due from each Volunteer Seller to all Streamlined States combined that exceed $250,000 but total no more than $1,000,000, the Contractor shall be allowed compensation in an amount equal to seven percent (7%) of the Taxes Due. The remainder shall be remitted to the Streamlined States. (c) For Taxes Due from each Volunteer Seller to all Streamlined States combined that exceed $1,000,000 but total no more than $2,500,000, the Contractor shall be allowed compensation in an amount equal to six percent (6%) of the Taxes Due. The remainder shall be remitted to the Streamlined States. (d) For Taxes Due from each Volunteer Seller to all Streamlined States combined that exceed $2,500,000 but total no more than $5,000,000, the Contractor shall be allowed compensation in an amount equal to five percent (5%) of the Taxes Due. The remainder shall be remitted to the Streamlined States. (e) For Taxes Due from each Volunteer Seller to all Streamlined States combined that exceed $5,000,000 but total no more than $10,000,000, the Contractor shall be allowed compensation in an amount equal to four percent (4%) of the Taxes Due. The remainder shall be remitted to the Streamlined States. (f) For Taxes Due from each Volunteer Seller to all Streamlined States combined that exceed $10,000,000 but total no more than $25,000,000, the Contractor shall be allowed compensation in an amount equal to three percent (3%) of the Taxes Due. The remainder shall be remitted to the Streamlined States. (g) For Taxes Due from each Volunteer Seller to all Streamlined States combined that exceed $25,000,000, the Contractor shall be allowed compensation in an amount equal to two percent (2%) of the Taxes Due. The remainder shall be remitted to the Streamlined States.

Compensation Formula. Compensation shall be calculated on a state-by-state basis for each CSP-compensated Seller with whom the Contractor provides CSP services as described below. The Contractor shall remit to the Streamlined State, the Taxes Due less this compensation. (a) For each CSP-compensated Seller described in Section D.2.(b) of this contract, the Contractor shall be allowed compensation equal to five percent (5%) of the first $500,000 of Taxes Due in that Streamlined State and two percent (2%) of the Taxes Due in that Streamlined State in excess of the $500,000. The remainder shall be remitted to the Streamlined State. (b) For each CSP-compensated Seller described in Section D.2.(b) of this contract whose gross sales in the preceding calendar year do not exceed $100,000 in the Streamlined State, the Contractor shall be allowed compensation equal to six (6%) of the first $8,000 of the Taxes Due in that Streamlined State; five percent (5%) of the Taxes Due that exceed $8,000 but do not exceed $500,000; and two percent (2%) of the Taxes Due that exceed $500,000, rather than the compensation provided in Section D.5.(a). With the exceptions of (i) the contract or agreement in place with Pennsylvania as of July 1, 2020, but not including any modifications of that contract or agreement; and (ii) a contract or agreement the Contractor enters into with a non-Streamlined State that applies to more than just CSP-compensated Sellers as defined in this contract, if the Contractor agrees with the non-Streamlined State to collect and remit the sales or use tax for any non- non-Streamlined State at a rate of less than 6% of the Taxes Due, this Section D.5.(b) is null and void on the effective date of the agreement or contract with the non-Streamlined State. (c) A Streamlined State may enter into a contract or agreement directly with a Contractor based on a different rate structure that is mutually agreeable between that State and the Contractor. The Contractor shall provide a copy of any such contract or agreement entered into directly with a Streamlined State to the Executive Director within 10 days of signing the contract or accepting the terms of the agreement.