Local Tax Act

The prefectural governor must, on the basis of the summary reports under Article 418 or Article 421, paragraph (1) or the reports under paragraph (2) of the preceding Article, and within one month after receiving all the summary reports and the reports under paragraph (2) of the preceding Article, prepare a summary report on the price, etc. of fixed assets within the prefecture and send it to the Minister for Internal Affairs and Communications.

Where the Minister for Internal Affairs and Communications finds that the determination of the price of fixed assets in a municipality has not been carried out in accordance with the fixed asset valuation standards under Article 388, paragraph (1), the Minister is to instruct the prefectural governor to make the recommendation under Article 419, paragraph (1) to the mayor of that municipality.

When the Minister for Internal Affairs and Communications intends to give the instruction under the preceding paragraph, the Minister must hear the opinion of the Local Finance Council.

The prefectural governor who has received the instruction under paragraph (1) must, within 30 days from the date of receiving that instruction, report to the Minister for Internal Affairs and Communications on the measures taken pursuant to that instruction.

Where the mayor of a municipality has determined or revised the base-year price or comparison-based price of land and houses under Article 410, paragraph (1), Article 417, Article 419, paragraph (2) or Article 435, paragraph (2), the mayor must, without delay, notify the registry office having jurisdiction over the location of the land or house subject to that determination or revision of that base-year price or comparison-based price and other matters specified by Ministerial Order.

A fixed asset valuation review board is to be established in each municipality to review and decide on objections relating to prices registered in the fixed assets tax ledger.

The number of members of the fixed asset valuation review board is three or more, as provided for by the Municipal Ordinance of the municipality.

The members of the fixed asset valuation review board are selected by the mayor of the municipality, with the consent of the municipal assembly, from among residents of the municipality, persons with a tax liability for municipal tax, or persons with knowledge and experience in the valuation of fixed assets.

Where a seat of a member of the fixed asset valuation review board falls vacant, the mayor of a municipality must, without delay, select a substitute member for that member. In this case, if the municipal assembly is not in session, the mayor may, notwithstanding the preceding paragraph, select the substitute member without obtaining the consent of the assembly.

Where the mayor of a municipality has selected a substitute member, the mayor must obtain ex post approval of the selection at the first session of the assembly after the selection. In this case, if ex post approval cannot be obtained, the mayor must dismiss that member.

The term of office of a member of the fixed asset valuation review board is three years; provided, however, that the term of office of a substitute member is the remainder of the term of the predecessor.

A member of the fixed asset valuation review board may receive an allowance according to the number of days of attendance at meetings of the board, as provided for by the Municipal Ordinance of the municipality.

Where a municipality has been established, the person who performs the duties of the mayor of that municipality until the mayor is elected may, until the mayor is elected, fill the positions of members of the fixed asset valuation review board of that municipality with persons selected from among those who were members of the fixed asset valuation review boards of the relevant municipalities to which the area of that municipality previously belonged.

Where a municipality has been established, until members of the fixed asset valuation review board are selected with the consent of the assembly first convened after the establishment of that municipality, the mayor of that municipality may fill the positions of members of the fixed asset valuation review board of that municipality with persons selected from among those who were members of the fixed asset valuation review boards of the relevant municipalities to which the area of that municipality previously belonged.

A member of the fixed asset valuation review board must not concurrently hold any of the following offices:

a member of the National Diet or a member of the assembly of a local government;

the head of a local government;

a member of an agricultural committee;

a fixed asset valuer.

A member of the fixed asset valuation review board cannot be a person who undertakes contracts with the municipality or who undertakes contracts, in relation to a business whose expenses are borne by the municipality, with the mayor of the municipality or a person delegated by the mayor, or the manager of such a person, or an unlimited liability partner, director, executive officer or company auditor, or person equivalent thereto, manager or liquidator of a corporation that principally engages in the same acts.

A person who falls under any of the following items cannot be a member of the fixed asset valuation review board:

a bankrupt who has not had rights restored;

a person who has committed an offense in connection with the duties of a member of the fixed asset valuation review board and been sentenced.

a person, other than the person prescribed in the preceding item, who has been sentenced to imprisonment or a heavier punishment and for whom two years have not elapsed since the completion of its execution or since the person ceased to be subject to its execution;

a national public employee or an employee of a local government who has been subject to a disposition of disciplinary dismissal and for whom two years have not elapsed from the date of that disposition.

Where the mayor of a municipality finds that a member of the fixed asset valuation review board is unable to perform duties due to mental or physical disability, or finds that a member has committed misconduct unbecoming of a member, such as a breach of duty in the course of duties, the mayor may, with the consent of the municipal assembly, dismiss the member during the member's term of office.

The fixed asset valuation review board handles cases of applications for review through a panel composed of three persons designated by the board from among its members.

From among the persons composing the panel under the preceding paragraph, one person designated by the fixed asset valuation review board is the chief reviewer.

The panel under paragraph (1) cannot hold a meeting or adopt a resolution without the attendance of a majority of the members composing that panel.

Proceedings of the panel under paragraph (1) are decided by a majority of the members composing that panel.

A taxpayer of fixed assets tax who has an objection to the price registered in the fixed assets tax ledger for a fixed asset relating to the fixed assets tax for the relevant fiscal year that the taxpayer is to pay (excluding a price determined or revised by the prefectural governor or the Minister for Internal Affairs and Communications under Article 389, paragraph (1), Article 417, paragraph (2) or Article 743, paragraph (1) or (2) and notified to the mayor of the municipality) may make an application for review to the fixed asset valuation review board in writing, during the period from the date of the public notice under Article 411, paragraph (2) until the date on which three months have elapsed after the date of receiving delivery of the tax notice, or during the period from the date of the public notice under Article 419, paragraph (3) until the date on which three months have elapsed after that date (for a person who has received delivery of a tax notice based on the reassessment under Article 420, the date on which three months have elapsed after the date of receiving delivery of that tax notice), or within three months from the date of receiving the notice under Article 417, paragraph (1); provided, however, that no application for review may be made regarding the price of land or a house, among those fixed assets, that is deemed under Article 411, paragraph (3) to have been registered in the land tax ledgers, etc. or the house tax ledger, etc., except where it is asserted that, because of the circumstances listed in Article 349, paragraph (2), item (i), the land or house should be subject to the proviso to the same paragraph, the proviso to paragraph (3) of that Article or the proviso to paragraph (5) of that Article.

The provisions of Article 10 through Article 12, Article 15, Article 18, paragraph (1) proviso and paragraph (3), Article 19, paragraph (2) (excluding items (iii) and (v)) and paragraph (4), and Article 23 of the Administrative Complaint Review Act apply mutatis mutandis to the procedures for an application for review under the preceding paragraph. In this case, the phrase "a person who has been nominated pursuant to the provisions of Article 9, paragraph (1) (referred to as "review officer" below)" in Article 11, paragraph (2) of that Act is deemed to be replaced with "the fixed asset valuation review board that has received an application for review under Article 432, paragraph (1) of the Local Tax Act (referred to as "reviewing agency" below)", and the phrase "the following matters" in Article 19, paragraph (2) of that Act is deemed to be replaced with "the following matters and other matters specified by Prefectural or Municipal Ordinance".

In a request for review concerning the assessment of fixed assets tax, an objection concerning matters for which an application for review may be made under paragraph (1) cannot be made a ground of objection to the assessment of that fixed assets tax.