With regard to the application of the provisions of Article 140, paragraph (1) or Article 141, paragraph (1) of the new Income Tax Act (including the cases where these provisions are applied mutatis mutandis pursuant to Article 166 of the new Income Tax Act) in the case where there is a Net Loss prescribed in Article 2, paragraph (1), item (xxv) of the new Income Tax Act (referred to as a "Net Loss" in the following paragraph) in 2007, the amount of income tax that forms the basis for calculating the refund under those provisions is the amount obtained by deducting an amount equivalent to 10 percent of that amount of income tax (or 125,000 yen, if that amount exceeds 125,000 yen) from the amount of income tax calculated by applying the provisions of Part II, Chapter III, Section 1 of the former Income Tax Act as read with the replacement of terms under Article 4 of the former law on income tax burden reduction measures and the provisions of Article 165 of the former Income Tax Act as read with the replacement of terms under Article 5 of the former law on income tax burden reduction measures.