OTHER ALLOCATION RULES definition

OTHER ALLOCATION RULES. No allocation deduction or loss shall be made to a Partner, if it would result in such Partner having an Adjusted Capital Account Deficit. Notwithstanding any other provisions of this Article, in the event that any Partner unexpectedly receives an adjustment, allocation or distribution described in Sections 1.704-1(b)(2)(ii)(d)(4), (5) or (6) of the Treasury Regulations that results in such Partner having a negative balance in its Capital Account in excess of the amount that it is required to restore on the liquidation of the Partnership, then, to the extent required by Section 1.704- 1(b) of the Treasury Regulations, the Partner shall be allocated items of income and gain in an amount and manner sufficient to eliminate the deficit balance as quickly as possible. This Section 6.03 is intended to comply with Section 1.704-1(b)(2)(ii)(d) of the Treasury Regulations and shall be interpreted consistently therewith.
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OTHER ALLOCATION RULES. (a) For purposes of determining the Profits, Losses, or any other items allocable to any period, Profits, Losses, and any such other items shall be determined on a daily, monthly, or other basis, as determined by the Members using any permissible method under Code Section 706 and the Regulations thereunder. (b) All allocations to the Members pursuant to this Agreement shall, except as otherwise provided, be divided among them in proportion to the Interests held by each. (c) The Members are aware of the income tax consequences of the allocations made by this Agreement and hereby agree to be bound by the provisions of this Agreement in reporting their share of the Company income and loss for income tax purposes. (d) Solely for purposes of determining a Member’s proportionate share of the “excess nonrecourse liabilities” of the Company within the meaning of Regulations Section 1.752-3(a)(3), the Members’ interests in the Company profits are as follows: the Promoter 1% and Investor 99%. (e) To the extent permitted by Section 1.704-2(h)(3) of the Regulations, the Members shall endeavor to treat distributions of Net Cash From Operations or Net Cash From Sales or Refinancing as having been made from the proceeds of a Nonrecourse Liability or a Member Nonrecourse Debt only to the extent that such distributions would cause or increase an Adjusted Capital Account Deficit for any Member.
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Related to OTHER ALLOCATION RULES

  • Post-Distribution Ruling has the meaning set forth in Section 7.02(c).

  • Required Allocations means (a) any limitation imposed on any allocation of Net Losses or Net Termination Losses under Section 6.1(b) or 6.1(c)(ii) and (b) any allocation of an item of income, gain, loss or deduction pursuant to Section 6.1(d)(i), 6.1(d)(ii), 6.1(d)(iv), 6.1(d)(vii) or 6.1(d)(ix).

  • Nonqualified Deferred Compensation Rules means the limitations or requirements of Section 409A of the Code, as amended from time to time, including the guidance and regulations promulgated thereunder and successor provisions, guidance and regulations thereto.

  • Allocation Policy means the allocation policy of the Company adopted by the Managing Member in accordance with Section 5.1.

  • Tax Allocation Agreement means the Tax Allocation Agreement between Corporation and New D&B.