HOW PAYMENTS ARE APPLIED Sample Clauses

The "How Payments Are Applied" clause defines the order and manner in which payments made by a party are allocated to outstanding amounts owed under an agreement. Typically, this clause specifies whether payments are first applied to interest, principal, fees, or other charges, and may outline a default order if the payer does not specify. By establishing a clear payment application process, this clause helps prevent disputes over how payments reduce different types of debt and ensures both parties have a mutual understanding of how their financial obligations are managed.
HOW PAYMENTS ARE APPLIED. It is agreed that payments are to be applied first toward outstanding balances including prior deposits, rent, late fees, utilities, fines, repairs, or cleaning charges. The remainder of the payment will be applied toward payment of rent. Rent is considered paid only when any outstanding balance is one hundred dollars or less. Balances of one hundred dollars or less will be financed as specified in the lease.
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HOW PAYMENTS ARE APPLIED. The Payment is applied in the following order: First, fees; second, finance charge; third, non-accruing balance (i.e. insurance premiums); fourth, old purchases; fifth, old cash advances; sixth, current cash advances (cycle to date); seventh, current purchases (cycle to date). 7.
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HOW PAYMENTS ARE APPLIED. Payments received will be applied in the following order of priority: First to any unpaid late fees or charges including maintenance, Second to any past due rent, Third to any current late fees, and last to the current months rent. Therefore it is possible to pay on the first and still face a possible eviction.
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HOW PAYMENTS ARE APPLIED. After tenancy begins, regardless of how specified by tenant, payments will be applied in the following priority (highest listed first, and so on): 1) deposits, 2) damages or repairs, 3) utilities, 4) fees, 5) rent owed on prior months, 6) rent owed on the current month, 7) then to outstanding late charges.
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HOW PAYMENTS ARE APPLIED. 7.1. You can tell us to apply Your payments in any order to any amount You owe under this Agreement. However, if You do not provide written instructions before, or when, making a payment, we will apply the payment to any amount You owe under this Agreement in the order we decide. For example, if You owe Enforcement Expenses, or credit fees and charges, we can apply Your payment to them before applying any of the remaining part of Your payment to Your Regular Payment. 7.2. We will adjust debits, credits, and the Money Owing if there is a processing error or where a payment made to us has been dishonoured. We will also adjust debits, credits, and Money Owing if there are refunds or corrections to accurately reflect the legal obligations between us. This will occur regardless of the adjustment favouring either of Us.
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Related to HOW PAYMENTS ARE APPLIED

  • How Are Contributions to a ▇▇▇▇ ▇▇▇ Reported for Federal Tax Purposes You must file Form 5329 with the IRS to report and remit any penalties or excise taxes. In addition, certain contribution and distribution information must be reported to the IRS on Form 8606 (as an attachment to your federal income tax return.)

  • How Are Distributions from a ▇▇▇▇ ▇▇▇ Taxed for Federal Income Tax Purposes Amounts distributed to you are generally excludable from your gross income if they (i) are paid after you attain age 59½, (ii) are made to your beneficiary after your death, (iii) are attributable to your becoming disabled, (iv) subject to various limits, the distribution is used to purchase a first home or, in limited cases, a second or subsequent home for you, your spouse, or you or your spouse’s grandchild or ancestor, or (v) are rolled over to another ▇▇▇▇ ▇▇▇. Regardless of the foregoing, if you or your beneficiary receives a distribution within the five-taxable-year period starting with the beginning of the year to which your initial contribution to your ▇▇▇▇ ▇▇▇ applies, the earnings on your account are includable in taxable income. In addition, if you roll over (convert) funds to your ▇▇▇▇ ▇▇▇ from another individual retirement plan (such as a Traditional IRA or another ▇▇▇▇ ▇▇▇ into which amounts were rolled from a Traditional IRA), the portion of a distribution attributable to rolled-over amounts which exceeds the amounts taxed in connection with the conversion to a ▇▇▇▇ ▇▇▇ is includable in income (and subject to penalty tax) if it is distributed prior to the end of the five-tax-year period beginning with the start of the tax year during which the rollover occurred. An amount taxed in connection with a rollover is subject to a 10% penalty tax if it is distributed before the end of the five-tax-year period. As noted above, the five-year holding period requirement is measured from the beginning of the five-taxable-year period beginning with the first taxable year for which you (or your spouse) made a contribution to a ▇▇▇▇ ▇▇▇ on your behalf. Previously, the law required that a separate five-year holding period apply to regular ▇▇▇▇ ▇▇▇ contributions and to amounts contributed to a ▇▇▇▇ ▇▇▇ as a result of the rollover or conversion of a Traditional IRA. Even though the holding period requirement has been simplified, it may still be advisable to keep regular ▇▇▇▇ ▇▇▇ contributions and rollover/ conversion ▇▇▇▇ ▇▇▇ contributions in separate accounts. This is because amounts withdrawn from a rollover/conversion ▇▇▇▇ ▇▇▇ within five years of the rollover/conversion may be subject to a 10% penalty tax. As noted above, a distribution from a ▇▇▇▇ ▇▇▇ that complies with all of the distribution and holding period requirements is excludable from your gross income. If you receive a distribution from a ▇▇▇▇ ▇▇▇ that does not comply with these rules, the part of the distribution that constitutes a return of your contributions will not be included in your taxable income, and the portion that represents earnings will be includable in your income. For this purpose, certain ordering rules apply. Amounts distributed to you are treated as coming first from your non-deductible contributions. The next portion of a distribution is treated as coming from amounts which have been rolled over (converted) from any non-▇▇▇▇ IRAs in the order such amounts were rolled over. Any remaining amounts (including all earnings) are distributed last. Any portion of your distribution which does not meet the criteria for exclusion from gross income may also be subject to a 10% penalty tax. Note that to the extent a distribution would be taxable to you, neither you nor anyone else can qualify for capital gains treatment for amounts distributed from your account. Similarly, you are not entitled to the special five- or ten- year averaging rule for lump-sum distributions that may be available to persons receiving distributions from certain other types of retirement plans. Rather, the taxable portion of any distribution is taxed to you as ordinary income. Your ▇▇▇▇ ▇▇▇ is not subject to taxes on excess distributions or on excess amounts remaining in your account as of your date of death. You must indicate on your distribution request whether federal income taxes should be withheld on a distribution from a ▇▇▇▇ ▇▇▇. If you do not make a withholding election, we will not withhold federal or state income tax. Note that, for federal tax purposes (for example, for purposes of applying the ordering rules described above), ▇▇▇▇ IRAs are considered separately from Traditional IRAs.