Order for Enforcement of the Income Tax Act

The remuneration or fees specified by Cabinet Order prescribed in Article 204, paragraph (1), item (i) (Obligation to Withhold Taxes) of the Act are to be remuneration or fees for the recording onto tapes or wires, scripts, dramatization, translation, interpretation, proofreading, bookbinding design, shorthand, printing plates (including the retouching of photographic originals for photoengraving, but excluding phototypesetting) or photographs for publication in magazines, advertisements or other printed matter, royalties for rights relating to technology, production methods using special technology or things equivalent to these, remuneration or fees for teaching or instruction in artistic skills, sports or things similar to these or for the teaching of knowledge, or remuneration or fees relating to the investment advisory business prescribed in Article 28, paragraph (6) (General Provisions) of the Financial Instruments and Exchange Act.

The persons specified by Cabinet Order prescribed in Article 204, paragraph (1), item (ii) of the Act are to be licensed accountants, assistant certified public accountants, business consultants (including persons who give guidance for the improvement and enhancement of business management), assistant surveyors, architectural agents (including persons other than architectural agents who make a business of preparing documents of applications or notifications relating to construction or acting as agents in those procedures), assistant real estate appraisers, fire damage appraisers or automobile, etc. damage appraisers (meaning persons who make a business of calculating the amount of damage, or conducting investigations for calculating the amount of damage, with regard to an insured event or mutual aid event of a casualty insurance policy relating to automobiles or construction machinery (meaning an insurance policy concluded by a casualty insurance company prescribed in Article 2, paragraph (4) (Definitions) of the Insurance Business Act or a foreign casualty insurance company, etc. prescribed in paragraph (9) of that Article, or a similar insurance policy concluded by a small amount and short term insurer prescribed in paragraph (18) of that Article) or a contract relating to mutual aid similar to such a policy), or assistant professional engineers (including persons other than professional engineers or assistant professional engineers who perform the same work as that performed by professional engineers).

The persons specified by Cabinet Order prescribed in Article 204, paragraph (1), item (iv) of the Act are to be professional soccer players, professional tennis players, professional wrestlers, professional golfers, professional bowlers, automobile racers, bicycle racers, small automobile racers or motorboat racers, and the models prescribed in that item are to include persons who receive remuneration for having their appearance published in magazines, advertisements or other printed matter.

The performing arts specified by Cabinet Order prescribed in Article 204, paragraph (1), item (v) of the Act are to be music, ongyoku traditional songs, dance, kodan storytelling, rakugo comic storytelling, rokyoku narrative singing, comic monologue, comic dialogue, ventriloquism, singing, magic, acrobatics or impersonation, and those specified by Cabinet Order prescribed in that item are to be the production of motion pictures or plays, choreography (including sword-fight instruction and the like), stage setting, lighting, photography, musical performance, recording (including sound effects), editing, make-up or historical research.

The entertainers specified by Cabinet Order prescribed in Article 204, paragraph (1), item (v) of the Act are to be motion picture or theater actors, motion picture directors or stage directors (including producers), directors, broadcast performers, music conductors, musicians, dancers, kodan storytellers, rakugo comic storytellers, rokyoku narrative singers, comic monologists, comic dialogue performers, ventriloquists, singers, magicians, acrobats or impersonators.

The contract money specified by Cabinet Order prescribed in Article 204, paragraph (1), item (vii) of the Act is to be contract money received at one time by a person who provides services exclusively for a certain person, such as a professional baseball player, by agreeing to provide services for that certain person or not to provide services for any person other than that person.

The monetary awards for advertisement specified by Cabinet Order prescribed in Article 204, paragraph (1), item (viii) of the Act are to be money, goods or other economic benefits paid as an award for the purpose of business advertisement (excluding benefits given in the form of travel or other provision of services in lieu of which money or goods may not be chosen), and the horse racing monetary awards received by a horse owner specified by Cabinet Order prescribed in that item are to be the monetary awards prescribed in Article 298, paragraph (9) (Tax Base for a Domestic Corporation's Income Tax).

The amount calculated as specified by Cabinet Order prescribed in Article 205, item (ii) (Tax Amount Collected for Remuneration or Fees, etc.) of the Act is to be the amount equivalent to the value that would normally be received as consideration if the person who receives payment of the property other than money prescribed in that item were to transfer that property on the day on which that person came to receive it (where that person may choose between that property and money, the amount of that money).

The requirements specified by Cabinet Order prescribed in Article 206, paragraph (1) (Remuneration or Fees Exempt from Withholding) of the Act are to be that a Resident who receives payment of the remuneration or fees prescribed in that paragraph clearly records those remuneration or fees in the books that the Resident keeps, and in addition, that the Resident falls under any one of the following:

the Resident has the production of motion pictures or records (including recording tapes and wires) as the Resident's main business;

the Resident regularly gives theatrical performances, sponsored by the Resident, at a theater owned by the Resident;

the Resident has as the main business regularly giving theatrical performances, sponsored by the Resident, at an entertainment venue;

the Resident has as the main business producing plays, mainly with entertainers exclusively engaged by the Resident, and giving performances of the plays so produced.

A Resident who wishes to obtain a certificate set forth in Article 206, paragraph (1) (Remuneration or Fees Exempt from Withholding) of the Act must submit a written application stating the following matters to the competent district director with jurisdiction over the place for tax payment. However, where a person who has already obtained the certificate wishes to additionally obtain the certificate, the statement of the matters listed in items (ii) and (iii) may be omitted.

the person's name and domicile (or residence, where the person has no domicile in Japan);

the detailed statement of the fact that the remuneration or fees prescribed in Article 206, paragraph (1) of the Act are clearly recorded in the books kept by the person;

the outline of the business that the person is actually conducting and the detailed statement of the circumstances under which the person falls under any of the requirements in the items of the preceding Article;

the number of copies of the certificate that the person wishes to obtain and, where two or more copies of the certificate are required, the detailed statement of the reasons why they are required;

other matters useful for reference purposes.