This Cabinet Order comes into effect as of April 1, 1988.

①The items specified by Cabinet Order prescribed in Article 3, paragraph (1) (Transitional Measures Concerning Taxation of Income Tax on Interest and Similar Income or Compensation for Periodic Deposits or Similar Amounts Received by a Domestic Corporation) of the Supplementary Provisions of the Act Partially Amending the Income Tax Act, etc. (Act No. 96 of 1987; hereinafter referred to as the "Income Tax Act Amendment Act") are ordinary savings deposits, tax payment reserve deposits prescribed in Article 5, paragraph (2) (Tax Exemption on Interest on Tax Payment Reserve Deposits) of the Act on Special Measures Concerning Taxation (Act No. 26 of 1957) (hereinafter referred to as "tax payment reserve deposits"), tax fund saving partnership deposits prescribed in Article 2, paragraph (2) (Definitions) of the Tax Fund Saving Partnership Act (Act No. 145 of 1951) (hereinafter referred to as "tax fund saving partnership deposits"), and other items similar to these that are specified by Ministry of Finance Order.

②The date specified by Cabinet Order prescribed in Article 3, paragraph (1) of the Supplementary Provisions of the Income Tax Act Amendment Act is the day following the last day of the calculation period, including April 1, 1988, of the interest and similar income prescribed in that paragraph pertaining to the ordinary deposits and similar deposits prescribed in that paragraph.

③The amount calculated as provided by Cabinet Order prescribed in Article 3, paragraph (2) of the Supplementary Provisions of the Income Tax Act Amendment Act (including as applied mutatis mutandis pursuant to Article 4, paragraph (2) (Transitional Measures Concerning Taxation of Income Tax on Interest and Similar Income or Compensation for Periodic Deposits or Similar Amounts Received by a Foreign Corporation) of the Supplementary Provisions of the Income Tax Act Amendment Act) is, for the interest and similar income prescribed in Article 3, paragraph (2) or Article 4, paragraph (2) of the Supplementary Provisions of the Income Tax Act Amendment Act, the amount specified in each of the following items for the category set forth in that item.

④The period specified by Cabinet Order prescribed in Article 3, paragraph (3) of the Supplementary Provisions of the Income Tax Act Amendment Act is, for the compensation for periodic deposits or similar amounts prescribed in paragraph (1) of that Article, the period specified in each of the following items for the category set forth in that item.

⑤The amount calculated as provided by Cabinet Order prescribed in Article 3, paragraph (3) of the Supplementary Provisions of the Income Tax Act Amendment Act (including as applied mutatis mutandis pursuant to Article 4, paragraph (3) of the Supplementary Provisions of the Income Tax Act Amendment Act) is the amount calculated by dividing the amount obtained by multiplying the amount of the compensation for periodic deposits or similar amounts prescribed in Article 3, paragraph (1) or Article 4, paragraph (1) of the Supplementary Provisions of the Income Tax Act Amendment Act that corresponds to the period of that compensation for periodic deposits or similar amounts, prescribed in the preceding paragraph, that includes April 1, 1988 (hereinafter referred to as the "calculation period" in this paragraph) by the number of days in the period from the first day of that calculation period to March 31 of the same year, by the number of days in that calculation period.

The provisions of paragraph (1) of the preceding Article apply mutatis mutandis to the items specified by Cabinet Order prescribed in Article 4, paragraph (1) (Transitional Measures Concerning Taxation of Income Tax on Interest and Similar Income or Compensation for Periodic Deposits or Similar Amounts Received by a Foreign Corporation) of the Supplementary Provisions of the Income Tax Act Amendment Act, the provisions of paragraph (2) of the preceding Article apply mutatis mutandis to the date specified by Cabinet Order prescribed in Article 4, paragraph (1) of the Supplementary Provisions of the Income Tax Act Amendment Act, and the provisions of paragraph (4) of the preceding Article apply mutatis mutandis to the period specified by Cabinet Order prescribed in Article 4, paragraph (3) of the Supplementary Provisions of the Income Tax Act Amendment Act, respectively.

①With regard to the retention of the application forms for deposit, etc. and the copies of documents prescribed in Article 30-13, paragraph (1) (Organization and Retention of Documents by Persons Accepting Postal Savings) of the Order for Enforcement of the Income Tax Act prior to amendment (hereinafter referred to as the "Former Order"), and of the books, written applications and written documents prescribed in paragraph (2) of that Article, that were received or prepared before the date of enforcement of this Cabinet Order (hereinafter referred to as the "Effective Date"), the provisions then in force continue to govern.

②The amount calculated as provided by Cabinet Order prescribed in Article 6, paragraph (2), item (ii) (Transitional Measures Concerning Nontaxability, etc. of Interest Income from Postal Savings of Elderly Persons or Similar Persons) of the Supplementary Provisions of the Income Tax Act Amendment Act is the amount calculated by dividing the amount obtained by multiplying the amount of interest on postal savings that corresponds to the interest calculation period that includes April 1, 1988 by the number of months from the month that includes the day of deposit of the postal savings pertaining to that interest to March of the same year, by the number of months from the month that includes that day of deposit to the month preceding the month that includes the day of withdrawal.

③Where an individual who has a domicile in Japan and who, as of April 1, 1988, falls under an elderly person or similar person prescribed in Article 9-2, paragraph (1) (Nontaxability of Interest Income from Postal Savings of Elderly Persons or Similar Persons) of the New Act (referred to as "elderly person or similar person" in paragraph (6) of the following Article) holds ordinary postal savings prescribed in Article 7, paragraph (1), item (i) (Types of Postal Savings) of the Postal Savings Act (Act No. 144 of 1947) (hereinafter referred to as "ordinary postal savings") that were deposited before that date and that, on the day preceding that date, fall under the main clause of Article 9-2, paragraph (1) (Nontaxability of Interest Income from Postal Savings) of the Income Tax Act prior to amendment by the provisions of Article 2 (Partial Amendment of the Income Tax Act) of the Income Tax Act Amendment Act (hereinafter referred to as the "Former Act"), then if, during the period from April 1, 1988 until the day on which interest on that ordinary postal savings (limited to interest to be received on or after that date) is first received on or after that date (where that day is after March 31, 1989, that March 31, 1989; and where, on or after April 1, 1988 and before those days, a deposit is made at the handling post office prescribed in Article 9-2, paragraph (1) of the New Act of ordinary postal savings for which the individual seeks the application of the provisions of Article 9-2, paragraph (1) of the New Act (excluding a deposit by transfer of pensions and annuities to that ordinary postal savings and other deposits specified by Ministry of Finance Order, and a deposit through an automated teller machine installed at a post office and other deposits specified by Ministry of Finance Order), the day on which that deposit is first made), the individual submits the application to exempt postal savings from taxation prescribed in Article 9-2, paragraph (1) of the New Act to that handling post office and, upon submitting it, presents the documents prescribed in Article 9-2, paragraph (2) of the New Act, gives notice in accordance with the provisions of Article 9-2, paragraph (2) of the New Act and receives a seal, Article 9-2 of the New Act applies to that interest by treating that ordinary postal savings as having been deposited at that handling post office on April 1 of that year, and that application form as having been submitted on that day.

④The application to exempt postal savings from taxation prescribed in Article 6, paragraph (3) of the Supplementary Provisions of the Income Tax Act Amendment Act or in the preceding paragraph, which is submitted pursuant to the provisions of Article 6, paragraph (3) of the Supplementary Provisions of the Income Tax Act Amendment Act or the preceding paragraph, must state, in addition to the statement to the effect that the person seeks the application of Article 9-2, paragraph (1) of the New Act and the matters listed in the items of Article 30-4, paragraph (1) (Required Particulars of and Submission of Application to Exempt Postal Savings from Taxation) of the Order for Enforcement of the Income Tax Act after amendment (hereinafter referred to as the "New Order"), the fact that it is submitted pursuant to the provisions of Article 6, paragraph (3) of the Supplementary Provisions of the Income Tax Act Amendment Act or the preceding paragraph.