Article 214Domestic Source Income of Nonresidents Which Is Exempt from Withholding
第二百十四条（源泉徴収を要しない非居住者の国内源泉所得）
Notwithstanding the provisions of Article 212, paragraph (1) (Obligation to Withhold Taxes), if a Nonresident with a permanent establishment who satisfies the requirements prescribed by Cabinet Order and who is paid domestic source income as set forth in Article 161, paragraph (1), item (iv), (vi), (vii), (x), (xi), (xii), (a) (excluding the portion related to salary), or (xiv) (Domestic Source Income) (excluding what is prescribed by Cabinet Order) which is attributable to the Nonresident's permanent establishment (for domestic source income as set forth in item (iv) of that paragraph, this is limited to domestic source income attributable to a permanent establishment other than the permanent establishment related to the business prescribed in that item; hereinafter referred to as "covered domestic source income" in this paragraph) is issued a certificate, pursuant to Cabinet Order, by the competent district director for the locality in which the person pays taxes, certifying that the person being paid the domestic source income satisfies those requirements and that the domestic source income that the person is paid falls under the category of covered domestic source income, and the person presents that certificate to the person paying the domestic source income, the person paying that domestic source income is not required to withhold and pay over income taxes to the national government from the domestic source income that it pays to the person presenting that certificate, while the certificate remains valid.
恒久的施設を有する非居住者で政令で定める要件を備えているもののうち第百六十一条第一項第四号、第六号、第七号、第十号、第十一号、第十二号イ（給与に係る部分を除く。）又は第十四号（国内源泉所得）に掲げる国内源泉所得（政令で定めるものを除く。）でその非居住者の恒久的施設に帰せられるもの（同項第四号に掲げる国内源泉所得にあつては、同号に規定する事業に係る恒久的施設以外の恒久的施設に帰せられるものに限る。以下この項において「対象国内源泉所得」という。）の支払を受けるものが、政令で定めるところにより、当該支払を受けるものが当該要件を備えていること及びその支払を受けることとなる国内源泉所得が対象国内源泉所得に該当することにつき納税地の所轄税務署長の証明書の交付を受け、その証明書を当該国内源泉所得の支払をする者に提示した場合には、その支払をする者は、その証明書が効力を有している間にその証明書を提示した者に対して支払う当該国内源泉所得については、第二百十二条第一項（源泉徴収義務）の規定にかかわらず、所得税を徴収して納付することを要しない。
If, after being issued the certificate prescribed in the preceding paragraph, a Nonresident prescribed in that paragraph ceases to satisfy the requirements provided for in that paragraph or ceases to have a permanent establishment, the person must report this to the competent district director for the locality in which the person pays taxes and notify the person to which it has presented the certificate of the same without undue delay on or after the day that the person ceases to satisfy those requirements or ceases to have a permanent establishment, pursuant to Cabinet Order.
If the competent district director for the locality in which a person pays taxes finds that a Nonresident prescribed in paragraph (1) has ceased to satisfy the requirements provided for in that paragraph or ceased to have a permanent establishment after being issued a certificate as prescribed in that paragraph, the director is to notify the person that has been issued the certificate of this via a paper-based notice.
In a case as referred to in the preceding paragraph, the person notified as prescribed in that paragraph must notify the person to which it has presented the certificate prescribed in paragraph (1) that it has been so notified without undue delay on or after the day on which the person is notified.
Having received a report under paragraph (2) or having notified a person pursuant to paragraph (3), the competent district tax office director for the locality in which the person pays taxes is to issue public notice, pursuant to Ministry of Finance Order, giving the name of the person that has so reported or that has been so notified, and giving any other information prescribed by Ministry of Finance Order.
The certificate prescribed in paragraph (1) becomes invalid if:
第一項に規定する証明書は、次に掲げる場合には、その効力を失う。
the valid period of the certificate set by the competent district tax office director for the locality in which the person pays taxes expires;
当該証明書につき納税地の所轄税務署長が定めた有効期限を経過したとき。
public notice under the preceding paragraph is issued.
前項の規定による公示があつたとき。
Nonresident
「非居住者」
An individual who is not a resident.
Defined inArticle 2, paragraph (1), item (v)· applies throughout the law
permanent establishmentmachine translation
「恒久的施設」
A branch, factory or other fixed place of business in Japan of a nonresident or foreign corporation, a construction or installation site there, or an agent there with authority to conclude contracts for it, each as a Cabinet Order (政令) specifies; where a tax treaty Japan has concluded defines it differently, the treaty's definition applies.
Defined inArticle 2, paragraph (1), item (viii-4)· applies throughout the law
covered domestic source incomemachine translation
「対象国内源泉所得」
Domestic source income of the kinds listed that is attributable to the permanent establishment in Japan of a foreign corporation (Article 180) or nonresident (Article 214) meeting requirements set by Cabinet Order (政令), from which no tax is withheld while the recipient holds a certificate from the district tax office director (税務署長) and has shown it to the payer.
Short name set inArticle 214, paragraph (1)· applies only in this paragraph
district director
税務署長
The head of a tax office (税務署), the local office of the National Tax Agency that deals with taxpayers in its district (Act for Establishment of the Ministry of Finance, Article 24). It is the office a person usually deals with: an income tax return is filed with a district director (Income Tax Act, Article 120, paragraph (1)), and reassessments, determinations and the collection of national tax are done by the district director for the taxpayer's current place for tax payment (Act on General Rules for National Taxes, Articles 30 and 43). A person who objects to what a district director has decided can ask that director to look at it again (再調査の請求) or go straight to the National Tax Tribunal (Article 75, paragraph (1), item (i)) — unless the notice of the decision says officials of a Regional Taxation Bureau or of the National Tax Agency investigated, in which case it counts as the regional commissioner's decision, with the same choice, or as the Commissioner of the National Tax Agency's, which can only be challenged by a request for review to the Commissioner (Article 75, paragraph (2)).
Written by AI using Act for Establishment of the Ministry of Finance, Art. 24, Act on General Rules for National Taxes, Arts. 30, 43, 75 and Income Tax Act, Art. 120 as a reference.