Article 72-3Enterprise Tax and Trust Property

①The provisions of this Section apply by deeming a beneficiary of a trust (limited to one who actually holds rights as a beneficiary) to hold the assets and liabilities belonging to the trust property of that trust, and by deeming the profits and expenses attributable to that trust property to be the profits and expenses of that beneficiary; provided, however, that this does not apply to the assets and liabilities belonging to the trust property of a group investment trust (meaning a group investment trust prescribed in Article 2, item (xxix) of the Corporation Tax Act; the same applies in paragraph (3)), a retirement pension trust, etc. (meaning a retirement pension trust, etc. prescribed in Article 12, paragraph (4), item (i) of that Act; the same applies in paragraph (3)), a public interest trust, etc. (meaning a public interest trust, etc. prescribed in Article 12, paragraph (4), item (ii) of that Act; the same applies in paragraph (3)) or a trust subject to corporate taxation, or to the profits and expenses attributable to that trust property.

②A person who actually has the authority to make changes to a trust (other than what Cabinet Order prescribes as the authority to make minor changes) and who is meant to benefit from the trust property (other than a beneficiary) is deemed to be a beneficiary as prescribed in the preceding paragraph, and the provisions of that paragraph apply.

③The assets and liabilities belonging to the trust property of a group investment trust, retirement pension trust, etc. or public interest trust, etc. for which a corporation is the trustee, and the profits and expenses attributable to that trust property, are deemed not to be the assets and liabilities and the profits and expenses of that corporation in calculating the amount of income of each business year of that corporation, and the provisions of this Section apply accordingly.

④Matters necessary for the application of the provisions of paragraph (1) where there are two or more beneficiaries, for determining whether a person falls under a person who is to receive the benefit of the trust property prescribed in paragraph (2), and otherwise for the application of the provisions of the preceding three paragraphs, are specified by Cabinet Order.