Act on Special Measures Concerning Taxation

From the perspective of promoting the use of over-the-counter drugs, etc. (meaning drugs requiring guidance prescribed in Article 4, paragraph (59), item (iii) of the Act on Securing Quality, Efficacy and Safety of Products Including Pharmaceuticals and Medical Devices (Act No. 145 of 1960), over-the-counter drugs prescribed in item (iv) of that paragraph and pharmacy-manufactured drugs (meaning the drugs listed in Article 2, paragraph (17), item (iii) of that Act; the same applies in item (i)); hereinafter the same applies in this paragraph and the following paragraph) that are particularly highly substitutable for drugs provided as medical treatment benefits pursuant to the provisions of the medical insurance Acts, etc. (meaning the medical insurance Acts prescribed in Article 7, paragraph (1) of the Act on Assurance of Medical Care for Elderly People and the Act on Assurance of Medical Care for Elderly People; hereinafter the same applies in this paragraph) (referred to as "drugs for medical care" in item (i) of the following paragraph), and of over-the-counter drugs, etc. whose use is found to be remarkably highly effective in rationalizing the cost of medical care benefits under medical insurance (meaning the costs required for medical treatment benefits under the provisions of the medical insurance Acts, etc.; the same applies in the items of the following paragraph), where a resident has paid, within the period specified in each of the following items according to the category of the cost of purchasing specified over-the-counter drugs, etc. listed in those items, the cost of purchasing specified over-the-counter drugs, etc. for the resident or for the resident's spouse or other relative whose living expenses are paid from the same resources as the resident, and the resident has undertaken during that year an initiative specified by Cabinet Order as an initiative for the maintenance and promotion of health and the prevention of disease, the resident may, at the resident's option, with regard to the medical expense deduction prescribed in Article 73, paragraph (3) of the Income Tax Act for that year, apply the provisions of paragraph (1) of that Article, deeming the phrase "each year" in that paragraph to be replaced with "each year within the period specified in each item of Article 41-17, paragraph (1) (Special Provisions on Medical Expense Deduction Where the Cost of Purchasing Specified Over-the-Counter Drugs, etc. Is Paid) of the Act on Special Measures Concerning Taxation according to the category of the cost of purchasing specified over-the-counter drugs, etc. prescribed in that paragraph listed in those items", the phrase "medical expenses for" to be replaced with "the cost of purchasing specified over-the-counter drugs, etc. prescribed in that paragraph for", the phrase "those medical expenses" to be replaced with "that cost of purchasing specified over-the-counter drugs, etc.", the phrase "the amount equivalent to 5 percent of the sum of the amount of gross income, the amount of retirement income and the amount of timber income of the resident for that year (or 100,000 yen, if that amount exceeds 100,000 yen)" to be replaced with "12,000 yen", and the phrase "2,000,000 yen" to be replaced with "88,000 yen". In this case, the phrase "paragraph (1)" in paragraph (3) of that Article is deemed to be replaced with "paragraph (1) (including as applied pursuant to the provisions of Article 41-17, paragraph (1) of the Act on Special Measures Concerning Taxation)".