Taxation

Taxation. University is a unit of the government of the State of Maryland, and therefore is exempt from taxation. Company shall assert to all applicable governmental authorities that University is exempt from tax by virtue of its governmental status. If Company nevertheless is required to withhold tax on royalties, fees or other payments due to University under this Agreement, it shall pay promptly any tax to the appropriate governmental authority, and shall gross up the amount owed to University so that after the tax is withheld, the amount payable to University is the same amount as originally due. In that event, it shall furnish University with proof of payment of the tax together with official or other appropriate written evidence issued by the competent governmental authority sufficient to enable University to support a claim for tax exemption, credit, or refund with respect to any sum so withheld. Company shall cooperate with University if University elects to seek, at its own expense, administrative or judicial determination of tax exemption, credit, or refund.