Act on Special Measures Concerning Taxation

In the case where an heir specified by Cabinet Order (referred to as a "farming heir" in this Article) of an individual specified by Cabinet Order as an individual who had been engaged in agriculture (referred to as the "decedent" in this Article) has acquired, by inheritance or bequest from that decedent, farmland that had been used for the decedent's agriculture (excluding farmland that falls under specified farmland, etc. in an urbanization promotion area, and farmland specified by Cabinet Order out of farmland relating to a survey of intention to use (meaning a survey of intention to use prescribed in Article 32, paragraph (1) of the Cropland Act under the provisions of Article 32, paragraph (1) or Article 33, paragraph (1) of that Act; the same applies in item (i)); the same applies hereinafter in this Article, except in item (i) of the following paragraph) and pasture land (excluding pasture land that falls under specified farmland, etc. in an urbanization promotion area; the same applies hereinafter in this Article, except in that item) (the acquisition includes acquisition in the case where the farmland or pasture land is deemed to have been acquired by inheritance or bequest pursuant to the provisions of the preceding Article; the same applies hereinafter in this Article, except in paragraphs (19) through (21)) (including the case where the farming heir has acquired, by inheritance or bequest from that decedent, together with that farmland and pasture land, land located within the area designated as an agricultural land area prescribed in Article 8, paragraph (2), item (i) of the Act on Establishment of Agricultural Promotion Regions that is specified by Cabinet Order as equivalent to farmland or pasture land (referred to as "quasi-farmland" in this Article)), a tax payment grace period is granted, notwithstanding the provisions of Article 33 of the Inheritance Tax Act and only if security equivalent to the inheritance tax subject to deferral is provided by the due date for filing the inheritance tax return, for the inheritance tax equivalent to the inheritance tax subject to deferral relating to that farmland, pasture land and quasi-farmland (excluding those specified by Cabinet Order) for which that inheritance tax return states that the application of the provisions of this paragraph is sought (limited, for farmland and pasture land, to those that the farming heir uses for agriculture (including, for a farming heir who falls under the provisions of paragraph (9), those used for the agriculture of the presumptive heir of the farming heir), and, for quasi-farmland, to that for which the application of the provisions of this paragraph is sought together with that farmland or pasture land; referred to as "special farmland, etc." in this Article), out of the amount of inheritance tax to be paid upon the filing of the return filed by the due date under the provisions of Article 27, paragraph (1) of that Act relating to that inheritance (referred to as the "inheritance tax return" in this Article), until the tax payment grace period deadline (or, in the case where, before that tax payment grace period deadline, a gift to which the provisions of Article 70-4 apply has been made of all of the special farmland, etc. held by the farming heir, the day on which that gift was made, and, in the case where that gift has been made of part of that special farmland, etc., for the inheritance tax specified in paragraph (39), item (iii) relating to the part of that special farmland, etc. of which the gift was made, the day on which that gift was made, and, for the inheritance tax equivalent to the amount calculated pursuant to the provisions of Cabinet Order prescribed in paragraph (40), item (v) relating to the part of that special farmland, etc. of which the gift was not made, the day on which two months have elapsed from the day on which that gift was made (or, in the case where that farming heir has died on or before that day, the day on which six months have elapsed from the day following the day on which the heir (including a universal legatee; the same applies hereinafter in this Article) of that farming heir came to know of the commencement of the succession due to the death of that farming heir; the same applies hereinafter in this paragraph)); provided, however, that in the case where that farming heir has come to fall under any of the cases listed in the following items before that tax payment grace period deadline or the day on which that gift was made, whichever is earlier (referred to as the "date of death, etc." in this Article), the tax payment grace period is granted until the day on which two months have elapsed from the day specified in the relevant item:

in the case where the farming heir has transferred, given by gift (excluding a gift to which the provisions of Article 70-4 apply) or converted (excluding conversion of pasture land into farmland, conversion of quasi-farmland into pasture land or farmland, and any other conversion specified by Cabinet Order) special farmland, etc. to which the provisions of the main clause of this paragraph apply that was acquired by that inheritance or bequest, has created a superficies right, farming right, right based on a loan for use or right of lease with regard to that special farmland, etc. (excluding that creation in the case where a superficies right under Article 269-2, paragraph (1) of the Civil Code has been created with regard to that special farmland, etc. and that farming heir is using that special farmland, etc. for cultivation (including the growing of crops deemed to fall under cultivation pursuant to the provisions of Article 43, paragraph (1) of the Cropland Act; the same applies hereinafter in this Article) or livestock raising), or has abandoned cultivation of that special farmland, etc. (meaning that a recommendation under the provisions of Article 36, paragraph (1) of the Cropland Act has been made with regard to farmland (or, in the case where that farmland is located outside an agricultural promotion region designated pursuant to the provisions of Article 6, paragraph (1) of the Act on Establishment of Agricultural Promotion Regions, that a notice has been given, pursuant to the provisions of Cabinet Order, by an agricultural committee or any other person specified by Cabinet Order to the district director with jurisdiction over the location of that farmland, to the effect that the farmland relates to a survey of intention to use and falls under any of the items of Article 36, paragraph (1) of the Cropland Act; the same applies in paragraph (12), item (ii)); the same applies in that item and paragraph (12), item (iii)), or in the case where those rights to which the provisions of the main clause of this paragraph apply relating to that acquisition have been extinguished (excluding extinction associated with the acquisition of ownership of the farmland or pasture land relating to those rights) (excluding the case where there has been a transfer by expropriation or exchange, etc. prescribed in Article 33-4, paragraph (1) or any other transfer or creation specified by Cabinet Order), if the area of the land relating to the special farmland, etc. for which that transfer, gift, conversion, creation, abandonment of cultivation or extinction (referred to as a "transfer, etc." in this Article) has taken place (or, in the case where a transfer, etc. (excluding a transfer by expropriation or exchange, etc. prescribed in Article 33-4, paragraph (1) and any other transfer or creation specified by Cabinet Order) of special farmland, etc. to which the provisions of the main clause of this paragraph apply took place before the time of that transfer, etc., the area obtained by adding the area of the land relating to that earlier transfer, etc.) exceeds 20 percent of the area of the land used for that farming heir's cultivation or livestock raising relating to the special farmland, etc. to which the provisions of the main clause of this paragraph apply, immediately before that time (including land relating to quasi-farmland, out of the special farmland, etc. that farming heir acquired by that inheritance or bequest, other than quasi-farmland that has been converted into farmland or pasture land) (or, in the case where a transfer, etc. of farmland or pasture land out of the special farmland, etc. to which the provisions of the main clause of this paragraph apply took place before that time, the area obtained by adding the area of the land relating to that transfer, etc.): the day on which that fact occurred;

in the case where the farming heir has discontinued the farming business relating to the special farmland, etc. acquired by that inheritance or bequest: the day of that discontinuance.

In the case where a farming heir to whom the provisions of the preceding paragraph apply is among the persons who have acquired property by inheritance or bequest from the same decedent, the amount of inheritance tax to be paid upon that acquisition of property is the amount specified in the following items according to the category of persons listed in those items (or, in the case where the person is a person to whom the provisions of Articles 18 through 20-2 of the Inheritance Tax Act apply, the amount calculated by applying those provisions with that amount deemed to be the amount calculated pursuant to the provisions of Article 17 of that Act). In this case, with regard to the application of the provisions of Article 19-2, paragraph (1) of that Act relating to a person listed in item (i), the phrase "taxable value for inheritance tax" in item (ii) of that paragraph is deemed to be replaced with "taxable value for inheritance tax calculated pursuant to the provisions of Article 70-6, paragraph (2), item (i) of the Act on Special Measures Concerning Taxation".

a person to whom the provisions of the preceding paragraph do not apply: the amount calculated pursuant to the provisions of Article 17 of the Inheritance Tax Act in the case where the provisions of Articles 11 through 17 of that Act are applied on the assumption that the value of the special farmland, etc. of a person to whom the provisions of that paragraph apply, to be included in the basis for calculating the taxable value for inheritance tax relating to all persons who have acquired property by that inheritance or bequest (or, in the case where the provisions of Article 19 or Articles 21-14 through 21-18 of that Act apply, the amount deemed to be that taxable value pursuant to those provisions), is the value calculated based on the agricultural investment price for that special farmland, etc. (meaning the price determined by the regional commissioner with jurisdiction over the region in which the farmland, pasture land or quasi-farmland falling under special farmland, etc. is located, as the price found to be normally established in a transaction on the assumption that it is freely traded as farmland or pasture land to be permanently used for cultivation or livestock raising in that region, or as land to be developed into farmland or pasture land, respectively; the same applies hereinafter in this Article);

a farming heir to whom the provisions of the preceding paragraph apply: the total of the following amounts:

the amount obtained by deducting, from the total amount of inheritance tax prescribed in Article 16 of the Inheritance Tax Act relating to all persons who have acquired property by that inheritance or bequest, the total of the amounts specified in the preceding item relating to all those persons as calculated on the assumption that all those persons fall under the persons listed in that item (or, in the case where there are two or more persons to whom the provisions of the preceding paragraph apply, the amount calculated pursuant to the provisions of Cabinet Order as the portion of that amount corresponding to the value after deduction of the agricultural investment price prescribed in paragraph (7) of the special farmland, etc. relating to that farming heir);

the amount specified in the preceding item relating to that farming heir as calculated on the assumption that the farming heir falls under the persons listed in that item.

When determining the agricultural investment price, the regional commissioner must hear the opinions of the Land Valuation Council.

The inheritance tax subject to deferral prescribed in paragraph (1) is the amount listed in paragraph (2), item (ii), (a) relating to the farming heir to whom the provisions of paragraph (1) apply (or, in the case where that farming heir is a person to whom the provisions of Article 18 of the Inheritance Tax Act apply, the amount obtained by adding the amount calculated pursuant to the provisions of Cabinet Order as the portion corresponding to the amount listed in (a) of that item, out of the amount added pursuant to the provisions of that Article as applied pursuant to the provisions of paragraph (2) in calculating the amount of inheritance tax to be paid prescribed in paragraph (1) relating to that farming heir, and, in the case where that farming heir is a person to whom the provisions of Articles 19 through 20-2 of that Act apply, if the total of the amounts deducted pursuant to those provisions as applied pursuant to the provisions of paragraph (2) in calculating that amount of inheritance tax relating to that farming heir exceeds the amount listed in (b) of that item relating to that farming heir, the balance remaining after deducting the amount of that excess).

With regard to the application of the provisions of the main clause of paragraph (1) in the case where all or part of the farmland, pasture land or quasi-farmland acquired by the inheritance or bequest referred to in that paragraph has not yet been divided by the co-heirs or universal legatees by the due date for filing the inheritance tax return relating to that inheritance or bequest, the statement that the application of the provisions of that paragraph is sought may not be made in that inheritance tax return for that undivided farmland, pasture land and quasi-farmland.

The term "tax payment grace period deadline" prescribed in paragraph (1) means the day specified in each of the following items according to the category of farming heirs listed in those items:

a farming heir who holds farmland, etc. for urban farming among the special farmland, etc. on the day on which the farming heir acquired the special farmland, etc. by inheritance or bequest: the day of the farming heir's death;

a farming heir who holds farmland or pasture land listed in Article 70-4, paragraph (2), item (iv), (a) (referred to as "productive green land, etc." in (a) and paragraph (39), item (iv)) among the special farmland, etc. on the day on which the farming heir acquired the special farmland, etc. by inheritance or bequest (excluding a farming heir listed in the preceding item): the day of the farming heir's death (or, in the case where, during the period from the day following the due date for filing the inheritance tax return until the day on which 20 years have elapsed on or after that day, the deadline of the tax payment grace period under the provisions of the following paragraph or paragraph (8) has arrived for all of the inheritance tax relating to the special farmland, etc. that, out of the special farmland, etc. the farming heir acquired by inheritance or bequest, was any of the following special farmland, etc. on the day of that acquisition, the day of the farming heir's death or the day on which those 20 years have elapsed, whichever is earlier):

productive green land, etc. (excluding that which falls under farmland, etc. for urban farming);

special farmland, etc. other than farmland or pasture land located within an urbanization promotion area prescribed in Article 7, paragraph (1) of the City Planning Act (referred to as "farmland, etc. within an urbanization promotion area" in this Article);

a farming heir who holds special farmland, etc. other than farmland, etc. within an urbanization promotion area among the special farmland, etc. on the day on which the farming heir acquired the special farmland, etc. by inheritance or bequest (excluding a farming heir listed in the preceding two items): the day of the farming heir's death (or, in the case where, during the period from the day following the due date for filing the inheritance tax return until the day on which 20 years have elapsed on or after that day, the deadline of the tax payment grace period under the provisions of the following paragraph or paragraph (8) has arrived for all of the inheritance tax relating to the special farmland, etc. that, out of the special farmland, etc. the farming heir acquired by inheritance or bequest, was special farmland, etc. other than farmland, etc. within an urbanization promotion area on the day of that acquisition, the day of the farming heir's death or the day on which those 20 years have elapsed, whichever is earlier);

a farming heir all of whose special farmland, etc. was farmland, etc. within an urbanization promotion area on the day on which the farming heir acquired the special farmland, etc. by inheritance or bequest (excluding a farming heir listed in items (i) and (ii)): the day of the farming heir's death or the day on which 20 years have elapsed from the day following the due date for filing the inheritance tax return, whichever is earlier.

In the case where, with regard to all or part of the special farmland, etc. to which the provisions of paragraph (1) apply, a transfer, etc. by the farming heir relating to that special farmland, etc. has taken place before the date of death, etc. relating to that farming heir (or, in the case where the farming heir has come to fall under any of the cases listed in the items of that paragraph before that date of death, etc., the day specified in the relevant item) (excluding the case where the farming heir comes to fall under the case listed in item (i) of that paragraph due to that transfer, etc.), or in the case where, on the day on which 10 years have elapsed after the due date for filing the inheritance tax return referred to in that paragraph before that date of death, etc., the quasi-farmland to which the provisions of that paragraph apply held by the farming heir (excluding quasi-farmland for which the creation of a right or conversion prescribed in that item has been made before that day) includes quasi-farmland that is not used as farmland or pasture land for the farming heir's agriculture (excluding quasi-farmland used for facilities specified by Cabinet Order as necessary for the conservation or use of farmland or pasture land), notwithstanding the provisions of paragraph (1), the deadline of the tax payment grace period under the provisions of that paragraph for the inheritance tax equivalent to the amount calculated pursuant to the provisions of Cabinet Order as the portion of the inheritance tax subject to deferral corresponding to the balance remaining after deducting, from the value of the special farmland, etc. for which that transfer, etc. has taken place or of the quasi-farmland not used for that agriculture (referred to as "transferred special farmland, etc." in this paragraph), the value calculated for that transferred special farmland, etc. based on the agricultural investment price prescribed in paragraph (2), item (i) relating to that transferred special farmland, etc. (that balance is referred to as the "value after deduction of the agricultural investment price" in this Article) (that inheritance tax is referred to as "inheritance tax on transferred special farmland, etc." in this Article) is the day on which two months have elapsed from the day on which that transfer, etc. took place or the day following the day on which those 10 years have elapsed (or, in the case where the farming heir has died after that transfer, etc. took place, or after the day on which those 10 years have elapsed, and on or before the day on which those two months elapse, the day on which six months have elapsed from the day following the day on which the heir of the farming heir came to know of the commencement of the succession due to the death of the farming heir).

In the case where, with regard to all or part of the farmland or pasture land to which the provisions of paragraph (1) apply, the farmland or pasture land has come to fall under any of the cases listed in the following items before the date of death, etc. of the farming heir relating to that farmland or pasture land (or, in the case where the farming heir has come to fall under any of the cases listed in the items of that paragraph before that date of death, etc., the day specified in the relevant item), notwithstanding the provisions of that paragraph, the deadline of the tax payment grace period under the provisions of that paragraph for the inheritance tax equivalent to the amount calculated pursuant to the provisions of Cabinet Order as the portion of the inheritance tax subject to deferral corresponding to the value after deduction of the agricultural investment price relating to the farmland or pasture land relating to the request for purchase or cancellation of designation, or the public notice or event, prescribed in the relevant item (referred to as a "request for purchase, etc." in this Article) (that inheritance tax is referred to as "inheritance tax on specified farmland, etc." in this Article) is the day on which two months have elapsed from the day following the day specified in the relevant item (or, in the case where the farming heir has died after that request for purchase, etc. and on or before that day, the day on which six months have elapsed from the day following the day on which the heir of the farming heir came to know of the commencement of the succession due to the death of the farming heir):

in the case where the farmland or pasture land is farmland, etc. for urban farming and that farmland, etc. for urban farming falls under either of the following cases: the day on which that request for purchase was made or the day on which that designation was cancelled;

the case where a request for purchase has been made under the provisions of Article 10 (including as applied by replacing terms pursuant to the provisions of Article 10-5 of that Act) or Article 15, paragraph (1) of the Productive Green Land Act;

the case where the designation has been cancelled under the provisions of Article 10-6, paragraph (1) of the Productive Green Land Act;

in the case where the farmland or pasture land has come to fall under specified farmland, etc. in an urbanization promotion area due to a decision on or change to a city plan based on the provisions of the City Planning Act or due to an event specified by Cabinet Order (excluding the case where it has ceased to be farmland listed in Article 70-4, paragraph (2), item (iv), (b) or (c) due to that change): the day on which the public notice under the provisions of Article 20, paragraph (1) of that Act (including as applied mutatis mutandis pursuant to Article 21, paragraph (2) of that Act) was given or the day on which that event occurred.

In the case where the donor referred to in Article 70-4, paragraph (1) relating to a donee prescribed in paragraph (6) of that Article to whom the provisions of that paragraph apply, who, after creating a right based on a loan for use with regard to the farmland, etc. referred to in that paragraph, continues to have the presumptive heir of the donee use that farmland, etc., has died, and that farmland, etc. is deemed to have been acquired by inheritance or bequest pursuant to the provisions of paragraph (1) of the preceding Article, if the donee, as a farming heir, is receiving the application of the provisions of paragraph (1) with regard to that farmland, etc. in relation to the inheritance tax relating to inheritance or bequest due to that death, the following provisions apply with regard to the application of the provisions of paragraph (1) and paragraph (7) relating to that farming heir.

in the case where the presumptive heir to whom a right based on a loan for use has been granted with regard to that farmland, etc. (referred to as the "grantee" in the following item) has carried out a transfer, etc. of that right held by the presumptive heir, or has discontinued the farming business relating to the farmland, etc. over which that right has been created, the farming heir is deemed to have carried out that transfer, etc. or discontinuance;

in the case where the grantee has ceased to fall under a presumptive heir of the farming heir, the farming heir is deemed to have discontinued the farming business relating to the farmland, etc. referred to in the preceding item on the day on which the grantee ceased to so fall.

In the case where the farming heir to whom the provisions of the main clause of paragraph (1) apply has, before the tax payment grace period deadline prescribed in that paragraph, lent all or part of the farmland or pasture land to which the provisions of that paragraph apply based on the creation of a right based on a loan for use or a right of lease under the promotion plan for agricultural land use consolidation, etc. prescribed in Article 18, paragraph (8) of the Act on the Promotion of Farmland Intermediary Management Services (referred to as a "right of lease, etc." in this Article), if the farming heir is borrowing, based on the creation of a right of lease, etc. under the promotion plan for agricultural land use consolidation, etc. prescribed in that paragraph, farmland or pasture land to be used for the farming heir's agriculture in place of the farmland or pasture land so lent that is specified by Cabinet Order (referred to as "farmland, etc. subject to the special lease provision" in this Article), and the ratio of the total area of the land relating to all of the farmland or pasture land being so borrowed (referred to as "borrowed substitute farmland, etc." in this Article) to the area of the land relating to that farmland, etc. subject to the special lease provision is 80 percent or more and other requirements specified by Cabinet Order are satisfied, then, with regard to the application of the provisions of the proviso to paragraph (1) and paragraph (7) relating to that farming heir, the creation of a right of lease, etc. relating to that farmland, etc. subject to the special lease provision is deemed not to have taken place.

The provisions of the preceding paragraph apply only if the farming heir prescribed in that paragraph seeking the application of the provisions of that paragraph has submitted to the district director with jurisdiction over the place for tax payment, pursuant to the provisions of Cabinet Order, a written notification stating that the farming heir is to receive the application of the provisions of that paragraph and satisfies the requirements prescribed in that paragraph, matters concerning the creation of a right of lease, etc. relating to the farmland, etc. subject to the special lease provision, and other matters specified by Order of the Ministry of Finance.

In the case where any of the cases listed in the following items has arisen with regard to farmland, etc. subject to the special lease provision to which the provisions of paragraph (10) apply, the provisions of the proviso to paragraph (1) and paragraph (7) apply on the assumption that a creation of a right of lease, etc. relating to that farmland, etc. subject to the special lease provision took place on the day on which two months have elapsed from the day specified in the relevant item:

in the case where the ratio of the total area of the land relating to all of the borrowed substitute farmland, etc. relating to that farmland, etc. subject to the special lease provision (or, in the case where any of that borrowed substitute farmland, etc. is not used for the farming heir's agriculture, the area excluding the area of the land relating to the borrowed substitute farmland, etc. not used for the farming heir's agriculture) to the area of the land relating to that farmland, etc. subject to the special lease provision has come to be less than 80 percent (excluding the case listed in the following item): the day on which that fact occurred;

in the case where abandonment of cultivation has occurred with regard to all or part of the borrowed substitute farmland, etc. relating to that farmland, etc. subject to the special lease provision: the day on which a recommendation under the provisions of Article 36, paragraph (1) of the Cropland Act was made with regard to that borrowed substitute farmland, etc.;

in the case where the person who borrowed that farmland, etc. subject to the special lease provision (or, in the case where the person who borrowed it is a farmland intermediary management organization prescribed in Article 2, paragraph (4) of the Act on the Promotion of Farmland Intermediary Management Services, the person who borrowed it from that farmland intermediary management organization) is not using all or part of that farmland, etc. subject to the special lease provision as farmland or pasture land for that person's agriculture (including the case where abandonment of cultivation has occurred with regard to that farmland, etc. subject to the special lease provision): the day on which the farming heir came to know that the fact occurred.

In the case where the case listed in item (i) or (iii) of the preceding paragraph has arisen with regard to farmland, etc. subject to the special lease provision to which the provisions of paragraph (10) apply, if the farming heir relating to that farmland, etc. subject to the special lease provision has, by the day on which two months have elapsed from the day specified in item (i) or (iii) of that paragraph, borrowed farmland or pasture land to be used for the farming heir's agriculture in place of that farmland, etc. subject to the special lease provision (limited to farmland or pasture land that has been borrowed based on the creation of a right of lease, etc. under the promotion plan for agricultural land use consolidation, etc. prescribed in paragraph (10) and satisfies other requirements specified by Cabinet Order; referred to as "re-borrowed substitute farmland, etc." in this Article) (limited to the case where the ratio of the area of the land relating to all of that re-borrowed substitute farmland, etc. and of the borrowed substitute farmland, etc. relating to that farmland, etc. subject to the special lease provision to the area of the land relating to that farmland, etc. subject to the special lease provision comes to be 80 percent or more), or the farming heir has extinguished the rights of lease, etc. relating to all of that farmland, etc. subject to the special lease provision by that day, the provisions of the preceding paragraph do not apply, but only if the farming heir has submitted to the district director with jurisdiction over the place for tax payment, pursuant to the provisions of Cabinet Order, a written notification of change to the written notification prescribed in paragraph (11). In this case, with regard to the application of the provisions of the preceding paragraph, that re-borrowed substitute farmland, etc. and that borrowed substitute farmland, etc. are deemed to be borrowed substitute farmland, etc. relating to farmland, etc. subject to the special lease provision to which the provisions of paragraph (10) apply.

A farming heir who has created a right of lease, etc. relating to farmland, etc. subject to the special lease provision to which the provisions of paragraph (10) apply must, by each day on which a period of one year elapses, counting from the day following the day on which the farming heir submitted the written notification prescribed in paragraph (11), submit to the district director with jurisdiction over the place for tax payment, pursuant to the provisions of Cabinet Order, a written notification stating matters concerning the creation of the right of lease, etc. relating to that farmland, etc. subject to the special lease provision and other matters specified by Order of the Ministry of Finance (referred to as a "written notification of continuation" in the following paragraph).

In the case where the written notification of continuation prescribed in the preceding paragraph has not been submitted to the district director with jurisdiction over the place for tax payment by its submission deadline, the provisions of the proviso to paragraph (1) and paragraph (7) apply on the assumption that a creation of a right of lease, etc. relating to the farmland, etc. subject to the special lease provision relating to that written notification of continuation took place on the day on which two months have elapsed from the day following that submission deadline; provided, however, that this does not apply if, even in the case where that written notification of continuation has not been submitted by that submission deadline, the district director finds that there were unavoidable circumstances for the failure to submit it within that submission deadline and that written notification of continuation has been submitted to the district director pursuant to the provisions of Cabinet Order.

In the case where a farming heir prescribed in paragraph (10) who is receiving the application of the provisions of that paragraph has died, if the right of lease, etc. relating to farmland, etc. subject to the special lease provision has been extinguished by the due date for filing the inheritance tax return under the provisions of Article 27, paragraph (1) of the Inheritance Tax Act relating to the inheritance in which that farming heir is the decedent, then, with regard to the application of the provisions of paragraph (1) relating to the heir of that farming heir, the provisions of that paragraph apply by deeming the farmland, etc. subject to the special lease provision for which that right of lease, etc. has been extinguished to have been used by that farming heir for agriculture until the day of the farming heir's death.

Beyond what is provided for in paragraph (11) through the preceding paragraph, necessary matters concerning the application of the provisions of paragraph (10) are specified by Cabinet Order.

The provisions of paragraph (16) apply mutatis mutandis to the case where a donee prescribed in Article 70-4, paragraph (8) who is receiving the application of the provisions of that paragraph has died, and to the case where the donor prescribed in paragraph (1) of that Article relating to a donee prescribed in paragraph (8) of that Article who is receiving the application of the provisions of that paragraph has died and the farmland, etc. subject to the special lease provision prescribed in paragraph (8) of that Article is deemed to have been acquired by inheritance or bequest pursuant to the provisions of paragraph (1) of the preceding Article.

The provisions of Article 70-4, paragraph (15) apply mutatis mutandis to the case referred to in paragraph (1), item (i) or paragraph (7) where approval has been obtained from the district director with jurisdiction over the place for tax payment, pursuant to the provisions of Cabinet Order, for the expectation that farmland or pasture land (or, in the case where the transfer, etc. is a transfer by expropriation or exchange, etc. prescribed in Article 33-4, paragraph (1) of special farmland, etc. located within the areas listed in paragraph (2), item (iii), (a) through (c) of that Article, farmland or pasture land, or land located within those areas that is expected to come to fall under farmland or pasture land within that one year) will be acquired with all or part of the amount of consideration for the transfer, etc. prescribed in those provisions within one year from the day on which that transfer, etc. took place. In this case, the phrase "paragraphs (1) and (4)" in Article 70-4, paragraph (15) is deemed to be replaced with "Article 70-6, paragraph (1) or (7)", the phrase "farmland, etc." in item (ii) of that paragraph is deemed to be replaced with "special farmland, etc. prescribed in Article 70-6, paragraph (1)", and, in item (iii) of that paragraph, the phrase "paragraph (1)" is deemed to be replaced with "Article 70-6, paragraph (1)" and the phrase "farmland, etc." is deemed to be replaced with "special farmland, etc. prescribed in that paragraph".

In the case referred to in paragraph (7), if approval has been obtained from the district director with jurisdiction over the place for tax payment, pursuant to the provisions of Cabinet Order, for the expectation that, within one year from the day on which the transfer, etc. prescribed in that paragraph (limited to a transfer by expropriation or exchange, etc. prescribed in Article 33-4, paragraph (1) of special farmland, etc. located within the areas listed in Article 70-4, paragraph (2), item (iii), (a) through (c), out of the special farmland, etc. to which the provisions of paragraph (1) apply) took place, farmland or pasture land located within the areas listed in (a) through (c) of that item other than the special farmland, etc. to which the provisions of paragraph (1) apply, or land located within those areas that is expected to come to fall under farmland or pasture land within that one year (limited to land held, on the day on which that transfer, etc. took place, by the farming heir to whom the provisions of the main clause of that paragraph apply, and excluding land acquired before the day of the commencement of the succession relating to the special farmland, etc. relating to that transfer, etc.; referred to as "replacement special farmland, etc." in items (ii) and (iii)), whose value at the time of that transfer, etc. is equivalent to all or part of the amount of consideration for that transfer, etc., will be used for the farming heir's agriculture in place of the special farmland, etc. relating to that transfer, etc., the following provisions apply with regard to the application of the provisions of paragraph (7).

the transfer, etc. relating to that approval is deemed not to have taken place;

if, on the day on which one year has elapsed from the day on which that transfer, etc. took place, replacement special farmland, etc. of a value equivalent to all or part of the amount of consideration for the transfer, etc. relating to that approval has not been made farmland or pasture land used for the farming heir's agriculture in place of the special farmland, etc. relating to that transfer, etc., the portion specified by Cabinet Order as corresponding to the part of the special farmland, etc. relating to that transfer, etc. that has not been used for that agriculture is deemed to have been subject to a transfer, etc. on that day;

if, by the day on which one year has elapsed from the day on which that transfer, etc. took place, replacement special farmland, etc. of a value equivalent to all or part of the amount of consideration for the transfer, etc. relating to that approval has been made farmland or pasture land used for the farming heir's agriculture in place of the special farmland, etc. relating to that transfer, etc., the replacement special farmland, etc. used for the farming heir's agriculture in place of the special farmland, etc. relating to that transfer, etc. is deemed to be special farmland, etc. to which the provisions of paragraph (1) apply.

The provisions of Article 70-4, paragraph (17) apply mutatis mutandis to the case referred to in paragraph (8) where the farming heir to whom the provisions of paragraph (1) apply has obtained approval from the district director with jurisdiction over the place for tax payment, pursuant to the provisions of Cabinet Order, for the expectation that, within one year from the day on which the request for purchase, etc. referred to in paragraph (8) took place, the farming heir will carry out a transfer, etc. of all or part of the farmland or pasture land relating to the farmland, etc. for urban farming or the specified farmland, etc. in an urbanization promotion area relating to that request for purchase, etc. and that, within one year from the day on which that transfer, etc. took place, the farming heir will acquire farmland or pasture land with all or part of the amount of consideration for that transfer, etc., or for the expectation that, within one year from the day on which the public notice prescribed in that paragraph was given or the day on which the event prescribed in that paragraph occurred, all or part of the farmland or pasture land relating to the specified farmland, etc. in an urbanization promotion area relating to that public notice or event will come to fall under farmland, etc. for urban farming. In this case, the phrase "paragraphs (1), (4) and (5)" in paragraph (17) of that Article is deemed to be replaced with "Article 70-6, paragraphs (1), (7) and (8)"; in item (i) of that paragraph, the phrase "the proviso to paragraph (1) and paragraph (4)" is deemed to be replaced with "the proviso to Article 70-6, paragraph (1) and paragraph (7) of that Article", and the phrase "specified farmland, etc." is deemed to be replaced with "farmland or pasture land relating to farmland, etc. for urban farming or specified farmland, etc. in an urbanization promotion area (referred to as 'specified farmland, etc.' in this paragraph)"; the phrase "paragraph (5)" in item (ii) of that paragraph is deemed to be replaced with "Article 70-6, paragraph (8)"; and the phrase "paragraph (1)" in item (iii) of that paragraph is deemed to be replaced with "Article 70-6, paragraph (1)".

In the case where the farming heir to whom the provisions of the main clause of paragraph (1) apply has, before the tax payment grace period deadline prescribed in that paragraph, lent all or part of the special farmland, etc. to which the provisions of that paragraph apply based on the creation of a superficies right, a right of lease or a right based on a loan for use (excluding the creation of a superficies right under Article 269-2, paragraph (1) of the Civil Code; referred to as the "creation of a superficies right, etc." hereinafter through paragraph (24)) for use as land temporarily used for roads, etc. prescribed in Article 70-4, paragraph (18) (referred to as "land temporarily used for roads, etc." in this Article), if the farming heir has obtained approval from the district director with jurisdiction over the place for tax payment, pursuant to the provisions of Cabinet Order, for the expectation that the farming heir will use the special farmland, etc. that had been used as that land temporarily used for roads, etc. for the farming heir's agriculture without delay after the arrival of the term relating to that lending (referred to as the "lease term" in this paragraph), the following provisions apply with regard to the application of the provisions of paragraphs (1) and (7).

the creation of a superficies right, etc. relating to that approval is deemed not to have taken place;

in the case where the farming heir has not used all or part of the special farmland, etc. that had been used as that land temporarily used for roads, etc. for the farming heir's agriculture by the day on which two months have elapsed from that lease term, a creation of a superficies right, etc. is deemed to have taken place on that day with regard to the part of that special farmland, etc. that the farming heir has not used for the farming heir's agriculture;

with regard to the application of the provisions of paragraph (7) in the case where all or part of the special farmland, etc. used as that land temporarily used for roads, etc. includes quasi-farmland, the phrase "held by the farming heir on the day on which 10 years have elapsed, to which the provisions of that paragraph" in that paragraph is deemed to be replaced with "held by the farming heir on the day on which 10 years have elapsed (or, for quasi-farmland held by the farming heir in the case where that quasi-farmland is subject to the provisions of paragraph (22), that day or the day on which two months have elapsed from the lease term prescribed in that paragraph, whichever is later; the same applies hereinafter in this paragraph), to which the provisions of paragraph (1)", and the phrase "that day" is deemed to be replaced with "that day on which 10 years have elapsed".

The farming heir to whom the provisions of the preceding paragraph apply must, by each day on which a period of one year elapses, counting from the day following the day on which the farming heir obtained the approval referred to in that paragraph, submit to the district director with jurisdiction over the place for tax payment, pursuant to the provisions of Cabinet Order, a written notification stating matters concerning the creation of a superficies right, etc. relating to the special farmland, etc. used as that land temporarily used for roads, etc. and other matters specified by Order of the Ministry of Finance (referred to as a "written notification of continued lending" in the following paragraph).

In the case where the written notification of continued lending prescribed in the preceding paragraph has not been submitted to the district director with jurisdiction over the place for tax payment by its submission deadline, the provisions of the proviso to paragraph (1) and paragraph (7) apply on the assumption that a creation of a superficies right, etc. relating to the special farmland, etc. used as the land temporarily used for roads, etc. relating to that written notification of continued lending took place on the day on which two months have elapsed from the day following that submission deadline; provided, however, that this does not apply if, even in the case where that written notification of continued lending has not been submitted by that submission deadline, the district director finds that there were unavoidable circumstances for the failure to submit it within that submission deadline and that written notification of continued lending has been submitted to the district director pursuant to the provisions of Cabinet Order.

In the case where a farming heir who is receiving the application of the provisions of paragraph (22) has died, with regard to the application of the provisions of paragraph (1) relating to the heir of that farming heir, the provisions of this Article apply by deeming the special farmland, etc. used as that land temporarily used for roads, etc. (excluding that specified by Cabinet Order) to have been used by that farming heir for agriculture until the day of the farming heir's death, and deeming that special farmland, etc. to be special farmland, etc. for which the approval referred to in paragraph (22) has been obtained. In this case, the value of that special farmland, etc. to be included in the basis for calculating the taxable value for inheritance tax relating to inheritance or bequest due to that death is its value as that special farmland, etc. on the assumption that it is not used as that land temporarily used for roads, etc.

Beyond what is provided for in the preceding three paragraphs, matters concerning the application of the provisions of paragraph (8) in the case where the special farmland, etc. used as land temporarily used for roads, etc. to which the provisions of paragraph (22) apply is farmland, etc. for urban farming, and other necessary matters concerning the application of the provisions of paragraph (22), are specified by Cabinet Order.

The provisions of paragraph (25) apply mutatis mutandis to the case where a donee prescribed in Article 70-4, paragraph (18) who is receiving the application of the provisions of that paragraph has died, and to the case where the donor prescribed in paragraph (1) of that Article relating to a donee prescribed in paragraph (18) of that Article who is receiving the application of the provisions of that paragraph has died and the farmland, etc. prescribed in paragraph (1) of that Article used as land temporarily used for roads, etc. prescribed in paragraph (18) of that Article is deemed to have been acquired by inheritance or bequest pursuant to the provisions of paragraph (1) of the preceding Article.

The provisions of Article 70-4, paragraphs (22) through (25) apply mutatis mutandis to the case where the farming heir to whom the provisions of the main clause of paragraph (1) apply has come to be in a state specified by Cabinet Order as a state in which it is difficult for the farming heir to use the special farmland, etc. to which the provisions of the main clause of that paragraph apply for the farming heir's agriculture due to disability, illness or any other reason (limited to the case specified by Cabinet Order as a case where a specified loan prescribed in paragraph (1) of the following Article cannot be made), and the farming heir has lent that special farmland, etc. based on the creation of a superficies right, a farming right, a right based on a loan for use or a right of lease (excluding the creation of a superficies right under Article 269-2, paragraph (1) of the Civil Code) (that lending is referred to as a "loan due to difficulty in farming" in the following paragraph). In this case, in Article 70-4, paragraph (22), the phrase "the proviso to paragraph (1) and paragraph (4)" is deemed to be replaced with "the proviso to Article 70-6, paragraph (1) and paragraph (7) of that Article", the phrase "farmland, etc. (" is deemed to be replaced with "special farmland, etc. (", and the phrase "farmland, etc. loaned due to difficulty in farming" is deemed to be replaced with "special farmland, etc. loaned due to difficulty in farming"; in paragraph (23) of that Article, the phrase "farmland, etc. loaned due to difficulty in farming" is deemed to be replaced with "special farmland, etc. loaned due to difficulty in farming", the phrase "the proviso to paragraph (1) and paragraph (4)" is deemed to be replaced with "the proviso to Article 70-6, paragraph (1) and paragraph (7) of that Article", and the phrase "donee" is deemed to be replaced with "farming heir"; and in paragraph (25) of that Article, the phrase "donee" is deemed to be replaced with "farming heir" and the phrase "paragraph (27)" is deemed to be replaced with "Article 70-6, paragraph (32)".

With regard to the application of the provisions of paragraph (1) relating to the heir of a farming heir in the case where the farming heir to whom the provisions of Article 70-4, paragraph (22) as applied mutatis mutandis pursuant to the preceding paragraph apply has died, the special farmland, etc. for which a loan due to difficulty in farming has been made is deemed to have been used by that farming heir for agriculture until the day of the farming heir's death.

The provisions of the preceding paragraph apply mutatis mutandis to the case where a donee prescribed in Article 70-4, paragraph (22) to whom the provisions of that paragraph apply has died, and to the case where the donor prescribed in paragraph (1) of that Article relating to a donee prescribed in paragraph (22) of that Article to whom the provisions of that paragraph apply has died and the farmland, etc. loaned due to difficulty in farming prescribed in paragraph (22) of that Article is deemed to have been acquired by inheritance or bequest pursuant to the provisions of paragraph (1) of the preceding Article.

The provisions of paragraph (1) do not apply in the case where the inheritance tax return relating to the farmland, pasture land and quasi-farmland acquired by inheritance or bequest from the decedent by the farming heir seeking the application of the provisions of that paragraph does not contain a statement that the application of the provisions of that paragraph is sought for that farmland, pasture land and quasi-farmland, or in the case where a document stating details of that farmland, pasture land and quasi-farmland, details concerning the calculation of the inheritance tax subject to deferral relating to that farmland, pasture land and quasi-farmland, and other matters specified by Order of the Ministry of Finance is not attached to that return.

The farming heir to whom the provisions of paragraph (1) apply must, until the deadline of the tax payment grace period under the provisions of that paragraph, paragraph (8), paragraph (35) or paragraph (36) is fixed for all of the inheritance tax prescribed in paragraph (1), submit to the district director with jurisdiction over the place for tax payment, pursuant to the provisions of Cabinet Order, by each day on which a period of three years elapses, counting from the day following the due date for filing the inheritance tax return referred to in paragraph (1), a written notification stating that the farming heir wishes to continue to receive the application of the provisions of that paragraph and matters concerning the farming business relating to the special farmland, etc. to which the provisions of that paragraph apply.

Even in the case where the written notification referred to in the preceding paragraph has not been submitted by the time limit prescribed in that paragraph, if the district director referred to in that paragraph finds that there were unavoidable circumstances for the failure to submit it within that time limit and that written notification has been submitted to that district director pursuant to the provisions of Cabinet Order, that written notification is deemed to have been submitted within that time limit with regard to the application of the provisions of paragraph (35).

With regard to the prescription of the national government's right to collect the inheritance tax prescribed in paragraph (1) (excluding, in the case where the provisions of paragraph (7), paragraph (8) or paragraph (39) (limited to the part relating to item (iv)) have already been applied, inheritance tax on transferred special farmland, etc., inheritance tax on specified farmland, etc. and the inheritance tax specified in that item; the same applies in the following paragraph, paragraph (39), items (i) through (iii) and paragraph (40), items (i) and (v)) and the interest tax and delinquent tax relating to that inheritance tax, except in the case where the provisions of Article 73, paragraph (4) of the Act on General Rules for National Taxes as applied by replacing terms pursuant to the provisions of Article 70-4, paragraph (32), item (iii) as applied mutatis mutandis pursuant to paragraph (37) apply, the prescription is not completed during the period from the time of submission of the written notification referred to in paragraph (32) until the submission deadline of that written notification, and is to begin to run anew from the day following that submission deadline.

In the case where the written notification referred to in paragraph (32) is not submitted by the time limit prescribed in that paragraph, notwithstanding the provisions of paragraph (1), the deadline of the tax payment grace period under the provisions of that paragraph for the inheritance tax prescribed in that paragraph is the day on which two months have elapsed from the day following that time limit (or, in the case where the farming heir to whom the provisions of that paragraph apply has died after that time limit and on or before that day, the day on which six months have elapsed from the day following the day on which the heir of the farming heir came to know of the commencement of the succession due to the death of the farming heir).

In the case referred to in paragraph (1), if the farming heir to whom the provisions of that paragraph apply does not comply with an order under the provisions of Article 51, paragraph (1) of the Act on General Rules for National Taxes with regard to the security prescribed in paragraph (1), the district director may accelerate the deadline of the tax payment grace period under the provisions of paragraph (1) relating to the inheritance tax prescribed in paragraph (1) (excluding, in the case where the provisions of paragraph (7), paragraph (8) or paragraph (39) (limited to the part relating to item (iv)) have already been applied, the inheritance tax for which the deadline of the tax payment grace period under those provisions has arrived). In this case, the provisions of Article 49, paragraphs (2) and (3) of that Act apply mutatis mutandis.

The provisions of Article 70-4, paragraph (32) apply mutatis mutandis to the application of the provisions of the Act on General Rules for National Taxes and the National Tax Collection Act in the case where a tax payment grace period has been granted under the provisions of paragraph (1). In this case, in item (i) of paragraph (32) of that Article, the phrase "paragraph (1)" is deemed to be replaced with "Article 70-6, paragraph (1)", and the phrase "paragraph (4), paragraph (5) or the preceding two paragraphs" is deemed to be replaced with "paragraph (7), paragraph (8), paragraph (35) or paragraph (36) of that Article"; in item (ii) of that paragraph, the phrase "paragraph (1)" is deemed to be replaced with "Article 70-6, paragraph (1)", the phrase "on gift tax" is deemed to be replaced with "on inheritance tax", the phrase "of that gift tax" is deemed to be replaced with "of that inheritance tax", the phrase "the gift tax subject to deferral and" is deemed to be replaced with "the inheritance tax subject to deferral prescribed in that paragraph and", and the phrase "that gift tax subject to deferral" is deemed to be replaced with "that inheritance tax subject to deferral"; and in item (iii) of that paragraph, the phrase "gift tax for which a tax payment grace period has been granted under the provisions of paragraph (1)" is deemed to be replaced with "inheritance tax for which a tax payment grace period has been granted under the provisions of Article 70-6, paragraph (1)", and the phrase "Article 70-4, paragraph (1)" is deemed to be replaced with "Article 70-6, paragraph (1)".

With regard to the application of the provisions of Article 38, Article 41, Article 47, Article 48-2, Article 52 or Article 53 of the Inheritance Tax Act in the case where a tax payment grace period has been granted under the provisions of paragraph (1), the following provisions apply.

the provisions of Article 38, paragraph (1) and Article 41, paragraph (1) of the Inheritance Tax Act do not apply to inheritance tax that falls under the provisions of the proviso to paragraph (1), paragraph (7), paragraph (8) (limited to the part relating to item (i), (a)), paragraph (35) or paragraph (36), or to inheritance tax equivalent to the amount calculated pursuant to the provisions of Cabinet Order prescribed in paragraph (40), item (v);

with regard to inheritance tax, other than the inheritance tax prescribed in paragraph (1), relating to the property of a person whose property acquired by inheritance or bequest includes property that falls under special farmland, etc., the provisions of Article 38, paragraph (1) (including as applied mutatis mutandis pursuant to Article 44, paragraph (2) of that Act), Article 47, paragraph (5), Article 52, paragraph (1) or Article 53, paragraph (4), item (ii), (b) of the Inheritance Tax Act apply on the assumption that the value of that special farmland, etc. is the value calculated for that special farmland, etc. based on the agricultural investment price prescribed in paragraph (2), item (i);

with regard to inheritance tax on specified farmland, etc. that falls under the provisions of paragraph (8), item (i), (b) and item (ii), the provisions of Article 38, paragraph (1) and Article 52, paragraph (1) of the Inheritance Tax Act apply with the period of deferred payment under Article 38, paragraph (1) of that Act being within five years and the rate of interest tax under Article 52, paragraph (1) of that Act being 6.6 percent per annum, and the provisions of Article 41, paragraph (1) and Article 48-2, paragraph (1) of that Act do not apply.

In the case referred to in paragraph (1), when the farming heir to whom the provisions of that paragraph apply has come to fall under any of the cases listed in the following items (or, for a farming heir who holds farmland, etc. for urban farming among that special farmland, etc., items (i) through (iii); the same applies hereinafter in this paragraph) (excluding the case where the provisions of the proviso to paragraph (1) or paragraph (35) have been applied before the day on which the farming heir came to so fall, and the case where the deadline of the tax payment grace period has been accelerated under the provisions of paragraph (36) before that day), the inheritance tax specified in the relevant item is exempted pursuant to the provisions of Cabinet Order:

in the case where the farming heir has died: the inheritance tax prescribed in paragraph (1);

in the case where the farming heir has made a gift to which the provisions of Article 70-4 apply of all of the special farmland, etc. to which the provisions of paragraph (1) apply: the inheritance tax prescribed in that paragraph;

in the case where the farming heir has made a gift to which the provisions of Article 70-4 apply of part of the special farmland, etc. to which the provisions of paragraph (1) apply: out of the inheritance tax prescribed in that paragraph, the inheritance tax equivalent to the amount calculated pursuant to the provisions of Cabinet Order as the portion corresponding to the value after deduction of the agricultural investment price relating to the part of that special farmland, etc. of which the gift was made;

in the case where 20 years have elapsed from the day following the due date for filing the inheritance tax return relating to the acquisition of the special farmland, etc. to which the provisions of paragraph (1) apply that the farming heir acquired by inheritance or bequest from the decedent: out of the inheritance tax prescribed in that paragraph, the inheritance tax equivalent to the amount calculated pursuant to the provisions of Cabinet Order as the portion corresponding to the value after deduction of the agricultural investment price relating to farmland, etc. within an urbanization promotion area (excluding farmland listed in Article 70-4, paragraph (2), item (iv), (b) or (c) that is located within the areas listed in item (iii), (a) through (c) of that paragraph, and productive green land, etc.) out of that special farmland, etc.

In the case where a farming heir who has received the application of the provisions of paragraph (1) falls under any of the cases listed in the following items, the farming heir must pay, together with the inheritance tax prescribed in the relevant item, interest tax equivalent to the amount calculated by multiplying the amount equivalent to the inheritance tax prescribed in that item, as the base, by a rate of 3.6 percent per annum (or, for a farming heir who does not hold, among the special farmland, etc., any farmland, etc. for urban farming as of the day on which the farming heir acquired it by inheritance or bequest, 6.6 percent per annum for the portion whose base is the amount calculated pursuant to the provisions of Cabinet Order as the portion, out of the amount equivalent to the inheritance tax prescribed in the relevant item, corresponding to the value after deduction of the agricultural investment price relating to farmland, etc. within an urbanization promotion area specified by Cabinet Order) according to the period from the day following the due date for filing the inheritance tax return relating to that inheritance tax until the deadline of the tax payment grace period specified in that item:

in the case where the provisions of the proviso to paragraph (1) have been applied (excluding the case falling under the case listed in item (vi)): the deadline of the tax payment grace period under the provisions of the proviso to that paragraph relating to the inheritance tax prescribed in that paragraph;

in the case where the provisions of paragraph (7) have been applied (excluding the case falling under the case listed in item (vi)): the deadline of the tax payment grace period under the provisions of that paragraph relating to inheritance tax on transferred special farmland, etc.;

in the case where the provisions of paragraph (8) have been applied (excluding the case falling under the case listed in item (vi)): the deadline of the tax payment grace period under the provisions of that paragraph relating to inheritance tax on specified farmland, etc.;

in the case where the provisions of paragraph (35) have been applied (excluding the case falling under the case listed in item (vi)): the deadline of the tax payment grace period under the provisions of that paragraph relating to the inheritance tax prescribed in that paragraph;

in the case where a gift to which the provisions of Article 70-4 apply has been made of part of the special farmland, etc. to which the provisions of paragraph (1) apply (excluding the case falling under the case listed in the following item): the deadline of the tax payment grace period under the provisions of the main clause of that paragraph relating to the inheritance tax equivalent to the amount calculated pursuant to the provisions of Cabinet Order as the portion, out of the inheritance tax prescribed in that paragraph, corresponding to the value after deduction of the agricultural investment price relating to the part of that special farmland, etc. of which the gift was not made;

in the case where the provisions of paragraph (36) have been applied: the deadline of the tax payment grace period under the provisions of that paragraph relating to the inheritance tax prescribed in that paragraph.

The provisions of Article 70-4, paragraph (36) apply mutatis mutandis to the case where the Minister of Agriculture, Forestry and Fisheries, or a prefectural governor, mayor of a municipality or agricultural committee, has come to know, with regard to special farmland, etc. to which the provisions of paragraph (1) apply, that a fact prescribed in paragraph (36) of that Article has taken place as a result of having taken an action prescribed in that paragraph. In this case, the phrase "that farmland, etc." in that paragraph is deemed to be replaced with "special farmland, etc. prescribed in Article 70-6, paragraph (1)".

The provisions of Article 70-4, paragraph (37) apply mutatis mutandis to notification by an agricultural committee (or, in a municipality that does not establish an agricultural committee pursuant to the provisions of the proviso to Article 3, paragraph (1) or paragraph (5) of the Act on Agricultural Commission, etc., the mayor of the municipality) relating to the quasi-farmland prescribed in paragraph (7). In this case, in Article 70-4, paragraph (37), the phrase "paragraph (1)" in "the donee to whom the provisions of paragraph (1) apply" is deemed to be replaced with "Article 70-6, paragraph (1)", the phrase "donee" is deemed to be replaced with "farming heir", the phrase "paragraph (4)" is deemed to be replaced with "paragraph (7) of that Article", and the phrase "paragraph (1)" in "to which the provisions of paragraph (1) have been applied and which is held" is deemed to be replaced with "paragraph (1) of that Article".

The provisions of Article 70-4, paragraph (38) apply mutatis mutandis to the case where the district director finds it necessary in relation to the affairs of notification by the Minister of Agriculture, Forestry and Fisheries, or a prefectural governor, mayor of a municipality or agricultural committee, under the provisions of paragraph (36) of that Article as applied mutatis mutandis pursuant to paragraph (41), and of notification by an agricultural committee under the provisions of paragraph (37) of that Article as applied mutatis mutandis pursuant to the preceding paragraph. In this case, in paragraph (38) of that Article, the phrase "paragraph (1)" is deemed to be replaced with "Article 70-6, paragraph (1)", the phrase "donee" is deemed to be replaced with "farming heir", and the phrase "farmland, etc." is deemed to be replaced with "special farmland, etc.".

Beyond what is provided for in paragraph (3) through the preceding paragraph, the method of calculating the amount to be deducted pursuant to the provisions of Article 20 of the Inheritance Tax Act in the case where a person to whom the provisions of paragraph (1) apply is among the persons who have acquired property by inheritance or bequest from the same decedent, the filing of the inheritance tax return under the provisions of Article 27 of that Act, and other necessary matters concerning the application of the provisions of paragraphs (1) and (2) are specified by Cabinet Order.