This Act comes into effect on April 1, 2003; provided, however, that the provisions set forth in the following items come into effect on the dates specified in those items:

①The provisions of Article 11 of the Income Tax Act as amended by Article 1 (hereinafter referred to as "the new Income Tax Act") apply to interest and similar income from a public and corporate bond or similar interest prescribed in paragraph (1) of that Article which a Domestic Corporation or Foreign Corporation, or a charitable trust or participant protection trust, prescribed in paragraph (1) or (2), or paragraph (3), of that Article is to be paid on or after the date on which this Act comes into effect (hereinafter referred to as "the effective date"), and the provisions then in force continue to govern interest and similar income from a public and corporate bond or similar interest prescribed in Article 11, paragraph (1) of the Income Tax Act before amendment by Article 1 (hereinafter referred to as "the former Income Tax Act") which that Domestic Corporation or Foreign Corporation, or charitable trust or participant protection trust, was to be paid before the effective date.

②With regard to interest and similar income from a public and corporate bond or similar interest prescribed in Article 11, paragraph (1) of the former Income Tax Act which is to be paid during the period from the effective date to December 31, 2003, the provisions of Article 11 of the new Income Tax Act apply by deeming the phrase "又は貸付信託" (or Loan Trust) in paragraph (1) of that Article to be replaced with "若しくは貸付信託" (or Loan Trust, joining a smaller group of alternatives), the phrase "as provided by Cabinet Order" to be replaced with "as provided by Cabinet Order, or units of investment prescribed in Article 2, paragraph (21) (Definitions) of the Act on Investment Trusts and Investment Corporations which are provided by Cabinet Order", and the phrase "or distributions of proceeds" to be replaced with "or distributions of proceeds or dividends of profits".

The provisions of Article 83-2, paragraph (1) of the new Income Tax Act apply to income tax for 2004 and subsequent years, and the provisions then in force continue to govern income tax for 2003 and earlier years.

The provisions of Article 157, paragraph (1), item (ii), (c) of the new Income Tax Act apply to actions taken or calculations made by a corporation on or after the effective date, and the provisions then in force continue to govern actions taken or calculations made by a corporation before the effective date.

The provisions then in force continue to govern remuneration or fees set forth in Article 174, item (x) of the former Income Tax Act which a Domestic Corporation was to be paid before the effective date.

The provisions of Article 224-3 of the new Income Tax Act apply to transfers of shares or similar interests prescribed in paragraph (2) of that Article which are made on or after January 1, 2004, and the provisions then in force continue to govern transfers of shares or similar interests prescribed in Article 224-3, paragraph (2) of the former Income Tax Act which were made before that date.

The provisions then in force continue to govern the application of penal provisions to conduct engaged in before the provisions of Article 1 come into effect and to conduct engaged in after the provisions of that Article come into effect in relation to income tax that the provisions then in force continue to govern pursuant to the provisions of these Supplementary Provisions.

Beyond what is provided for in Article 2 through the preceding Article of the Supplementary Provisions, transitional measures necessary for the enforcement of this Act are specified by Cabinet Order.