Article 115Acquisition Price of Shares, etc. in the Case of an Entity Conversion

In the case where a Resident has acquired, through an entity conversion of the corporation that issued the shares held by the Resident (hereinafter in this Article referred to as "old shares") (limited to an entity conversion in which only shares of the corporation that underwent that entity conversion (hereinafter in this Article referred to as the "corporation changing its organization") have been delivered to the Shareholders, Members, or Other Investors of that corporation changing its organization), shares of the corporation changing its organization (hereinafter in this Article referred to as "new shares"), for the calculation of the assessed value of the new shares under Article 105, paragraph (1) (Valuation Methods for Securities) for each year on or after the year in which the day of that entity conversion falls, the acquisition price per unit of the acquired new shares that forms the basis for that calculation is to be the amount calculated by multiplying the previous acquisition price of one unit of old shares (if there are expenses required for the acquisition of those new shares, the amount obtained by adding the portion of the amount of those expenses that corresponds to one unit of old shares) by the number of old shares and dividing the result by the number of new shares acquired.