It is a common market practice for loan contracts (also known as facilitated contracts), whether bilateral or syndicated, to: the prohibition of withholding is general and applies to any form of withholding. It would, for example, prevent the borrower from deducting an amount owed to the borrower by the lender. An exception to the prohibition is that any deduction imposed by law can be deducted from a payment. Since withholding tax on interest is generally the only type of statutory deduction for loan payments, the only withholding tax authorized under a loan is probably withholding tax, so the prohibition applies to any other type of withholding that is not required by law. Similarly, the borrower`s gross income requires: if the tax is legally required to withhold a payment (for example. B, withholding interest), a borrower (subject to limited exceptions) for the payment of an additional amount that, after deducting tax, leaves the lender the same amount he would have received if he had not been withheld from a payment tax – what is called tax on a borrower as a result of a borrower`s prohibition (deduction or withholding) of a payment , unless this deduction is prescribed by law, and this practice note takes into account the different categories of contractual damages that may be available for financial losses (loss of money), i.e. damages based on expectations, damages based on trust and damages based on profits. You will find indications of contractual damages in general under the practical reference: Requirements for collective injunctionsThe legal requirements are defined in the Criminal Law 2003 (CJA 2003) in the version amended by the Law on Legal Assistance, conviction and repression of offenders in 2012 (LASPO 2012) and the Offender Rehabilitation Act 2014 (ORA 2014). Criminal Justice Act 2003, s 152 (2).
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