Common use of State or Local Tax Liability Clause in Contracts

State or Local Tax Liability. In the event that Contractor, as a result of operations under this Contract in any state waters, determines that a tax payment is due to an appropriate taxing authority or receives an assessment of tax directly by an appropriate taxing authority, Contractor will, prior to making any payment, notify Operator of such determination or assessment. If Contractor is required to pay the tax, Operator agrees to be responsible for and hold harmless and indemnify Contractor from anyand all claimswithrespectthereto. In addition, Operator will reimburse Contractor any sums so paid.

State or Local Tax Liability. In the event that Contractor, as a result of operations under this Contract in any state waters, determines that a tax payment is due to an appropriate taxing authority or receives an assessment of tax directly by an appropriate taxing authority, Contractor will, prior to making any payment, notify Operator of such determination or assessment. If Contractor is required to pay the tax, Operator agrees to be responsible for and hold harmless and indemnify Contractor from anyand any and all claimswithrespecttheretoclaims with respect thereto. In addition, Operator will reimburse Contractor any sums so paid.