Supplementary Provisions, Article 3Transitional Measures Concerning the Definition of Permanent Establishment for Nonresidents or Foreign Corporations
第三条（非居住者又は外国法人に係る恒久的施設の定義に関する経過措置）
The provisions of Article 2, paragraph (1), item (viii)-4 of the new Income Tax Act (limited to the part concerning Nonresidents) apply to income tax for tax year 2019 and subsequent tax years or to domestic source income as prescribed in Article 212, paragraph (1) of the new Income Tax Act to be received on or after January 1, 2019, and the provisions then in force continue to govern income tax for tax year 2018 and earlier tax years or domestic source income as prescribed in Article 212, paragraph (1) of the Income Tax Act before the amendment by Article 1 (hereinafter referred to as the "former Income Tax Act" up to Article 18 of the Supplementary Provisions) to be received before that date.
新所得税法第二条第一項第八号の四（非居住者に係る部分に限る。）の規定は、令和元年分以後の所得税又は平成三十一年一月一日以後に支払を受けるべき新所得税法第二百十二条第一項に規定する国内源泉所得について適用し、平成三十年分以前の所得税又は同日前に支払を受けるべき第一条の規定による改正前の所得税法（以下附則第十八条までにおいて「旧所得税法」という。）第二百十二条第一項に規定する国内源泉所得については、なお従前の例による。
The provisions of Article 2, paragraph (1), item (viii)-4 of the new Income Tax Act (limited to the part concerning Foreign Corporations) apply to taxable income of a Foreign Corporation as prescribed in Article 5, paragraph (2), item (ii) of the new Income Tax Act to be received in a business year beginning on or after January 1, 2019, and the provisions then in force continue to govern taxable income of a Foreign Corporation as prescribed in Article 5, paragraph (2), item (ii) of the former Income Tax Act to be received in a business year that began before that date.
新所得税法第二条第一項第八号の四（外国法人に係る部分に限る。）の規定は、平成三十一年一月一日以後に開始する事業年度において支払を受けるべき新所得税法第五条第二項第二号に規定する外国法人課税所得について適用し、同日前に開始した事業年度において支払を受けるべき旧所得税法第五条第二項第二号に規定する外国法人課税所得については、なお従前の例による。
With regard to the application of the provisions of the Income Tax Act and other laws and regulations concerning income tax to a Nonresident that had a former permanent establishment (meaning a Nonresident that had, as of December 31, 2018, a permanent establishment as prescribed in Article 2, paragraph (1), item (viii)-4 of the Former Income Tax Act (referred to as a "former permanent establishment" in item (i) of the following paragraph) but did not have anything falling under a permanent establishment as prescribed in Article 2, paragraph (1), item (viii)-4 of the New Income Tax Act (referred to as a "new permanent establishment" in the items of the following paragraph)) in the case where the provisions of Article 2, paragraph (1), item (viii)-4 of the New Income Tax Act apply pursuant to the provisions of paragraph (1), the phrase "a Nonresident that has a permanent establishment" in Article 2, paragraph (1), item (xlii) of that Act is deemed to be replaced with "a Nonresident that had a former permanent establishment as prescribed in Article 3, paragraph (3) (Transitional Measures Concerning the Definition of Permanent Establishment for Nonresidents or Foreign Corporations) of the Supplementary Provisions of the Act Partially Amending the Income Tax Act, etc. (Act No. 7 of 2018)".
第一項の規定により新所得税法第二条第一項第八号の四の規定の適用がある場合における旧恒久的施設を有していた非居住者（平成三十年十二月三十一日において旧所得税法第二条第一項第八号の四に規定する恒久的施設（次項第一号において「旧恒久的施設」という。）を有していた非居住者であって、新所得税法第二条第一項第八号の四に規定する恒久的施設（次項各号において「新恒久的施設」という。）に該当するものを有していなかったものをいう。）に係る所得税法その他所得税に関する法令の規定の適用については、同法第二条第一項第四十二号中「非居住者で恒久的施設を有するもの」とあるのは、「所得税法等の一部を改正する法律（平成三十年法律第七号）附則第三条第三項（非居住者又は外国法人に係る恒久的施設の定義に関する経過措置）に規定する旧恒久的施設を有していた非居住者」とする。
With regard to the application of the provisions of the Income Tax Act and the Act on Special Measures Concerning Taxation in the case where the provisions of Article 2, paragraph (1), item (viii)-4 of the New Income Tax Act apply pursuant to the provisions of paragraph (1) or paragraph (2), the following provisions apply:
第一項又は第二項の規定により新所得税法第二条第一項第八号の四の規定の適用がある場合における所得税法及び租税特別措置法の規定の適用については、次に定めるところによる。
in the case where a Foreign Corporation that did not have a former permanent establishment (meaning a Foreign Corporation that did not have a former permanent establishment as of December 31, 2018 but had something falling under a new permanent establishment; the same applies hereinafter in this paragraph) came to have a new permanent establishment on January 1, 2019, interest on bonds issued before that date by that Foreign Corporation that did not have a former permanent establishment which relates to business conducted through that new permanent establishment is deemed not to fall under domestic source income set forth in Article 161, paragraph (1), item (viii) of the Income Tax Act;
旧恒久的施設を有していなかった外国法人（平成三十年十二月三十一日において旧恒久的施設を有していなかった外国法人であって、新恒久的施設に該当するものを有していたものをいう。以下この項において同じ。）が平成三十一年一月一日において新恒久的施設を有することとなった場合における当該旧恒久的施設を有していなかった外国法人の同日前に発行した債券の利子のうち当該新恒久的施設を通じて行う事業に係るものについては、所得税法第百六十一条第一項第八号に掲げる国内源泉所得に該当しないものとみなす。
in the case where a Foreign Corporation that did not have a former permanent establishment came to have a new permanent establishment on January 1, 2019, the provisions of Article 6, paragraphs (1) through (3) of the Act on Special Measures Concerning Taxation do not apply to bonds issued outside Japan before that date by that Foreign Corporation that did not have a former permanent establishment (limited to those specified by Cabinet Order as relating to business conducted through that new permanent establishment), the interest on which is paid outside Japan;
the provisions of Article 41-12-2 of the Act on Special Measures Concerning Taxation do not apply to the amount of gain prescribed in paragraph (6), item (iii) of that Article relating to the redemption money of discount bonds (meaning discount bonds as prescribed in Article 41-12-2, paragraph (6), item (i) of the Act on Special Measures Concerning Taxation; the same applies hereinafter in this item) (limited to the amount of gain relating to the amount specified by Cabinet Order as relating to business conducted through the new permanent establishment, out of the amount of the redemption money of discount bonds issued before January 1, 2019 by a Foreign Corporation that did not have a former permanent establishment, in the case where that Foreign Corporation that did not have a former permanent establishment came to have a new permanent establishment on that date);
割引債（租税特別措置法第四十一条の十二の二第六項第一号に規定する割引債をいう。以下この号において同じ。）の償還金に係る同項第三号に規定する差益金額（旧恒久的施設を有していなかった外国法人が平成三十一年一月一日において新恒久的施設を有することとなった場合における当該旧恒久的施設を有していなかった外国法人の同日前に発行した割引債の償還金の額のうち当該新恒久的施設を通じて行う事業に係るものとして政令で定める金額に係るものに限る。）については、同条の規定は、適用しない。
in the case where a Foreign Corporation that did not have a former permanent establishment came to have a new permanent establishment on January 1, 2019, those of the redemption gains (meaning redemption gains as prescribed in Article 41-13-2, paragraph (1) of the Act on Special Measures Concerning Taxation; the same applies hereinafter in this item) on discount bonds (meaning discount bonds as prescribed in that paragraph; the same applies hereinafter in this item) issued before that date by that Foreign Corporation that did not have a former permanent establishment which are specified by Cabinet Order as relating to business conducted through that new permanent establishment are deemed not to fall under the redemption gains on discount bonds that are deemed to be domestic source income set forth in Article 161, paragraph (1), item (ii) of the Income Tax Act pursuant to the provisions of that paragraph.
旧恒久的施設を有していなかった外国法人が平成三十一年一月一日において新恒久的施設を有することとなった場合における当該旧恒久的施設を有していなかった外国法人の同日前に発行した割引債（租税特別措置法第四十一条の十三の二第一項に規定する割引債をいう。以下この号において同じ。）の償還差益（同項に規定する償還差益をいう。以下この号において同じ。）のうち当該新恒久的施設を通じて行う事業に係るものとして政令で定めるものについては、同項の規定により所得税法第百六十一条第一項第二号に掲げる国内源泉所得とみなされる割引債の償還差益に該当しないものとみなす。
Beyond what is provided for in the preceding two paragraphs, necessary particulars concerning the application of the provisions of laws and regulations concerning income tax in the case where the provisions of Article 2, paragraph (1), item (viii)-4 of the New Income Tax Act apply pursuant to the provisions of paragraph (1) or paragraph (2) are specified by Cabinet Order.
前二項に定めるもののほか、第一項又は第二項の規定により新所得税法第二条第一項第八号の四の規定の適用がある場合における所得税に関する法令の規定の適用に関し必要な事項は、政令で定める。