Where, in each business year of a corporation beginning on or after April 1, 2013, the remaining amount obtained by deducting the deductible total of interest received, etc. for that business year from the total of the amount of covered interest payments, etc. of the corporation for that business year (referred to as the "total amount of covered interest payments, etc." in this paragraph, item (vi) of the following paragraph and paragraph (3), item (i)) (referred to as the "amount of covered net interest payments, etc." in this paragraph and paragraph (3)) exceeds the amount equivalent to 20 percent of the adjusted income amount of the corporation for that business year (meaning the amount specified by Cabinet Order as the amount of income that is to serve as the standard for comparison with that amount of covered net interest payments, etc.), the amount equivalent to the amount of that excess out of the total amount of covered interest payments, etc. of the corporation for that business year is not included in deductible expenses in calculating the amount of income of the corporation for that business year.
法人の平成二十五年四月一日以後に開始する各事業年度において、当該法人の当該事業年度の対象支払利子等の額の合計額（以下この項、次項第六号及び第三項第一号において「対象支払利子等合計額」という。）から当該事業年度の控除対象受取利子等合計額を控除した残額（以下この項及び第三項において「対象純支払利子等の額」という。）が当該法人の当該事業年度の調整所得金額（当該対象純支払利子等の額と比較するための基準とすべき所得の金額として政令で定める金額をいう。）の百分の二十に相当する金額を超える場合には、当該法人の当該事業年度の対象支払利子等合計額のうちその超える部分の金額に相当する金額は、当該法人の当該事業年度の所得の金額の計算上、損金の額に算入しない。
In this Article, the meanings of the terms listed in the following items are as prescribed respectively in those items:
この条において、次の各号に掲げる用語の意義は、当該各号に定めるところによる。
amount of covered interest payments, etc.: the amount of interest paid, etc. other than the amount of excluded interest payments, etc.;
対象支払利子等の額 支払利子等の額のうち対象外支払利子等の額以外の金額をいう。
interest paid, etc.: interest on liabilities paid by a corporation (including anything specified by Cabinet Order as being equivalent thereto) and any other expense or loss specified by Cabinet Order;
支払利子等 法人が支払う負債の利子（これに準ずるものとして政令で定めるものを含む。）その他政令で定める費用又は損失をいう。
amount of excluded interest payments, etc.: the amount specified in the following for each category of interest paid, etc. listed therein (excluding interest paid, etc. to a non-affiliate in the case specified by Cabinet Order as a case where a related party of a corporation is found to have provided funds to that corporation through that non-affiliate, and other interest paid, etc. specified by Cabinet Order):
interest paid, etc. that is included in the income subject to taxation of the person receiving the interest paid, etc. (meaning the income specified by Cabinet Order as the income that is to be the tax base of income tax or corporation tax of that person, according to whether that person is an individual or a corporation; the same applies in (a) and (e), 1.) (excluding interest paid, etc. listed in (d) and (e); the same applies in (a)): the amount of interest paid, etc. included in that income subject to taxation;
支払利子等を受ける者の課税対象所得（当該者が個人又は法人のいずれに該当するかに応じ、それぞれ当該者の所得税又は法人税の課税標準となるべき所得として政令で定めるものをいう。イ及びホ（１）において同じ。）に含まれる支払利子等（ニ及びホに掲げる支払利子等を除く。イにおいて同じ。） 当該課税対象所得に含まれる支払利子等の額
interest paid, etc. to public corporations specified by Cabinet Order (excluding interest paid, etc. listed in (d) and (e); the same applies in (b)): the amount of interest paid, etc. to the public corporations specified by that Cabinet Order;
公共法人のうち政令で定めるものに対する支払利子等（ニ及びホに掲げる支払利子等を除く。ロにおいて同じ。） 当該政令で定める公共法人に対する支払利子等の額
interest paid, etc. specified by Cabinet Order as pertaining to specified bond transactions with a repurchase/resale agreement, etc. (meaning the specified bond transactions with a repurchase/resale agreement, etc. prescribed in paragraph (5), item (viii) of the preceding Article) (excluding interest paid, etc. listed in (b) and (e); the same applies in (c)): the amount specified by Cabinet Order out of the amount of the interest paid, etc. specified by that Cabinet Order;
interest paid, etc. pertaining to insurance policies concluded by a life insurance company prescribed in Article 2, paragraph (3) of the Insurance Business Act and insurance policies concluded by a casualty insurance company prescribed in paragraph (4) of that Article, which is specified by Cabinet Order: the amount specified by Cabinet Order out of the amount of that interest paid, etc.;
保険業法第二条第三項に規定する生命保険会社の締結した保険契約及び同条第四項に規定する損害保険会社の締結した保険契約に係る支払利子等のうち政令で定めるもの 当該支払利子等の額のうち政令で定める金額
interest paid, etc. on bonds issued by a corporation (excluding bonds specified by Cabinet Order as bonds whose acquirers are not substantially numerous) that is paid to a non-affiliate (referred to as "specified bond interest, etc." in 1.): either of the following amounts for each issue of bonds:
the total of the amount of specified bond interest, etc. for which income tax is collected under the provisions of the Income Tax Act or other laws and regulations concerning income tax upon its payment or delivery, or which is included in the income subject to taxation of the person receiving the specified bond interest, etc., and the amount of specified bond interest, etc. paid to the public corporations specified by Cabinet Order prescribed in (b) (excluding specified bond interest, etc. for which income tax is collected under the provisions of the Income Tax Act or other laws and regulations concerning income tax upon its payment or delivery); or
the amount calculated pursuant to the provisions of Cabinet Order as the amount equivalent to the amount listed in 1.;
（１）に掲げる金額に相当する金額として政令で定めるところにより計算した金額
related party: a person that has a relationship with a corporation whereby either corporation holds, directly or indirectly, shares or capital contributions that account for 50 percent or more of the total number or the total amount of the issued shares of or capital contributions to the other corporation (excluding its own shares or capital contributions held by itself; referred to as "issued shares, etc." in this item and item (ii) of the following paragraph) or any other special relationship specified by Cabinet Order, or a relationship whereby an individual holds, directly or indirectly, shares or capital contributions that account for 50 percent or more of the total number or the total amount of the issued shares, etc. of the corporation or any other special relationship specified by Cabinet Order;
関連者 法人との間にいずれか一方の法人が他方の法人の発行済株式若しくは出資（自己が有する自己の株式又は出資を除く。以下この号及び次項第二号において「発行済株式等」という。）の総数若しくは総額の百分の五十以上の数若しくは金額の株式若しくは出資を直接若しくは間接に保有する関係その他の政令で定める特殊の関係又は個人が法人の発行済株式等の総数若しくは総額の百分の五十以上の数若しくは金額の株式若しくは出資を直接若しくは間接に保有する関係その他の政令で定める特殊の関係のあるものをいう。
non-affiliate: a person other than a related party of a corporation;
非関連者 法人に係る関連者以外の者をいう。
deductible total of interest received, etc.: the amount specified by Cabinet Order as the amount obtained by apportioning the total amount of interest received, etc. for the relevant business year by the ratio of the total amount of covered interest payments, etc. for that business year to the total amount of interest paid, etc. for that business year;
控除対象受取利子等合計額 当該事業年度の受取利子等の額の合計額を当該事業年度の対象支払利子等合計額の当該事業年度の支払利子等の額の合計額に対する割合で按分した金額として政令で定める金額をいう。
interest received, etc.: interest received by a corporation (including anything specified by Cabinet Order as being equivalent thereto).
受取利子等 法人が支払を受ける利子（これに準ずるものとして政令で定めるものを含む。）をいう。
The provisions of paragraph (1) do not apply in any of the following cases:
第一項の規定は、次のいずれかに該当する場合には、適用しない。
where the amount of covered net interest payments, etc. of the corporation for the relevant business year (where the corporation is a group tax sharing corporation, the remaining amount obtained by deducting the total of the amount of covered net interest receipts, etc. (meaning the remaining amount obtained by deducting the total amount of covered interest payments, etc. from the deductible total of interest received, etc.; the same applies in (a) of the following item) from the total of the amount of covered net interest payments, etc. for the relevant business year of that group tax sharing corporation and of the other group tax sharing corporations that have a group tax sharing full controlling interest with that group tax sharing corporation as of the last day of the relevant business year of that group tax sharing corporation (limited to a business year ending on the last day of the business year of the group tax sharing parent corporation pertaining to that group tax sharing corporation), for the relevant business year and for the business years ending on that last day) is 20 million yen or less;
法人の当該事業年度の対象純支払利子等の額（当該法人が通算法人である場合には、当該通算法人及び当該通算法人の当該事業年度（当該通算法人に係る通算親法人の事業年度終了の日に終了するものに限る。）終了の日において当該通算法人との間に通算完全支配関係がある他の通算法人の当該事業年度及び当該終了の日に終了する事業年度に係る対象純支払利子等の額の合計額から対象純受取利子等の額（控除対象受取利子等合計額から対象支払利子等合計額を控除した残額をいう。次号イにおいて同じ。）の合計額を控除した残額）が二千万円以下であるとき。
where the amount listed in (a) for the relevant business year of a domestic corporation and the other domestic corporations that have a specified capital relationship with that domestic corporation (meaning a relationship specified by Cabinet Order as a relationship whereby one domestic corporation holds, directly or indirectly, shares or capital contributions that account for more than 50 percent of the total number or the total amount of the issued shares, etc. of another domestic corporation (referred to as a "specified capital relationship between the parties" in this item), or a relationship between domestic corporations each of which has a specified capital relationship between the parties with one domestic corporation) (limited to those whose first day and last day of the business year are respectively the first day and last day of the business year of that domestic corporation that includes that first day) does not exceed the amount equivalent to 20 percent of the amount listed in (b) for the relevant business year of that domestic corporation and those other domestic corporations:
内国法人及び当該内国法人との間に特定資本関係（一の内国法人が他の内国法人の発行済株式等の総数若しくは総額の百分の五十を超える数若しくは金額の株式若しくは出資を直接若しくは間接に保有する関係として政令で定める関係（以下この号において「当事者間の特定資本関係」という。）又は一の内国法人との間に当事者間の特定資本関係がある内国法人相互の関係をいう。）のある他の内国法人（その事業年度開始の日及び終了の日がそれぞれ当該開始の日を含む当該内国法人の事業年度開始の日及び終了の日であるものに限る。）の当該事業年度に係るイに掲げる金額が当該内国法人及び当該他の内国法人の当該事業年度に係るロに掲げる金額の百分の二十に相当する金額を超えないとき。
the remaining amount obtained by deducting the total of the amount of covered net interest receipts, etc. from the total of the amount of covered net interest payments, etc.;
対象純支払利子等の額の合計額から対象純受取利子等の額の合計額を控除した残額
the amount specified by Cabinet Order as the amount of income that is to serve as the standard for comparison with the amount listed in (a).
イに掲げる金額と比較するための基準とすべき所得の金額として政令で定める金額
The provisions of the preceding paragraph apply only where the final return, etc. has attached thereto a document stating that the provisions of that paragraph apply and a written statement concerning the calculation thereof, and the documents on that calculation have been preserved.
Even where a corporation has filed a final return, etc. without the document or written statement set forth in the preceding paragraph attached thereto or failed to preserve the documents on the calculation set forth in the paragraph, the district director may, when they find any unavoidable reason for the corporation's failure to attach a necessary document or written statement or preserve the necessary documents on the calculation, apply the provisions of paragraph (3), only if the document and written statement as well as the documents on the calculation are submitted.
Where the amount of the excess prescribed in paragraph (1) for the relevant business year of a domestic corporation is the amount calculated pursuant to the method specified by Cabinet Order as corresponding to the excess prescribed in paragraph (1) of the preceding Article (including as applied with the terms replaced pursuant to the provisions of paragraph (2) of that Article) for the relevant business year of that domestic corporation or less, the provisions of paragraph (1) do not apply.
Where the amount of the excess prescribed in paragraph (1) for the relevant business year of a domestic corporation includes an amount specified by Cabinet Order as pertaining to a foreign affiliated company prescribed in Article 66-6, paragraph (2), item (i) or a foreign affiliated corporation prescribed in Article 66-9-2, paragraph (1) of that domestic corporation (referred to as the "amount for adjustment" in this paragraph), if, for the relevant business year of that domestic corporation, there is a taxable amount prescribed in paragraph (1) of Article 66-6, a partially taxable amount prescribed in paragraph (8) of that Article or a partially taxable amount for a financial subsidiary, etc. prescribed in paragraph (10) of that Article pertaining to that foreign affiliated company (limited to one where the amount of covered interest payments, etc. pertaining to that amount for adjustment is included in calculating the amount of applicable income prescribed in paragraph (1) of that Article pertaining to that taxable amount, the partially applicable amount prescribed in paragraph (8) of that Article pertaining to that partially taxable amount, or the partially applicable amount for a financial subsidiary, etc. prescribed in paragraph (10) of that Article pertaining to that partially taxable amount for a financial subsidiary, etc.), or if there is a taxable amount prescribed in Article 66-9-2, paragraph (1), a partially taxable amount prescribed in paragraph (8) of that Article or a partially taxable amount for a financial affiliated corporation prescribed in paragraph (10) of that Article pertaining to that foreign affiliated corporation (limited to one where the amount of covered interest payments, etc. pertaining to that amount for adjustment is included in calculating the amount of applicable income prescribed in paragraph (1) of that Article pertaining to that taxable amount, the partially applicable amount prescribed in paragraph (8) of that Article pertaining to that partially taxable amount, or the partially applicable amount for a financial affiliated corporation prescribed in paragraph (10) of that Article pertaining to that partially taxable amount for a financial affiliated corporation), with regard to the application of the provisions of paragraph (1) to that domestic corporation for that business year, the phrase "amount of that excess" in that paragraph is deemed to be replaced with "remaining amount obtained by deducting, from the amount of that excess, the amount specified by Cabinet Order out of the amount for adjustment prescribed in paragraph (7)".
内国法人の当該事業年度の第一項に規定する超える部分の金額のうちに当該内国法人に係る第六十六条の六第二項第一号に規定する外国関係会社又は第六十六条の九の二第一項に規定する外国関係法人に係るものとして政令で定める金額（以下この項において「調整対象金額」という。）がある場合において、当該内国法人の当該事業年度に当該外国関係会社に係る第六十六条の六第一項に規定する課税対象金額、同条第八項に規定する部分課税対象金額若しくは同条第十項に規定する金融子会社等部分課税対象金額（当該課税対象金額に係る同条第一項に規定する適用対象金額、当該部分課税対象金額に係る同条第八項に規定する部分適用対象金額又は当該金融子会社等部分課税対象金額に係る同条第十項に規定する金融子会社等部分適用対象金額の計算上、当該調整対象金額に係る対象支払利子等の額が含まれるものに限る。）があるとき、又は当該外国関係法人に係る第六十六条の九の二第一項に規定する課税対象金額、同条第八項に規定する部分課税対象金額若しくは同条第十項に規定する金融関係法人部分課税対象金額（当該課税対象金額に係る同条第一項に規定する適用対象金額、当該部分課税対象金額に係る同条第八項に規定する部分適用対象金額又は当該金融関係法人部分課税対象金額に係る同条第十項に規定する金融関係法人部分適用対象金額の計算上、当該調整対象金額に係る対象支払利子等の額が含まれるものに限る。）があるときの当該内国法人の当該事業年度における第一項の規定の適用については、同項中「部分の金額」とあるのは、「部分の金額から第七項に規定する調整対象金額のうち政令で定める金額を控除した残額」とする。
With regard to the application of the provisions of paragraph (1), paragraph (2) and paragraph (3) (limited to the part pertaining to item (i)) to a foreign corporation, the following provisions apply:
the amount of covered interest payments, etc. referred to in paragraph (1) pertaining to the business conducted by that foreign corporation through its permanent establishment is to include the amount listed in (a) and exclude the amount listed in (b):
the amount that is to fall under interest paid, etc. from that permanent establishment of that foreign corporation to the head office, etc. of that foreign corporation prescribed in Article 138, paragraph (1), item (i) of the Corporation Tax Act in an internal dealing prescribed in that item;
法人税法第百三十八条第一項第一号に規定する内部取引において当該外国法人の当該恒久的施設から当該外国法人の同号に規定する本店等に対する支払利子等に該当することとなる金額
out of the amounts included in deductible expenses, pursuant to the provisions of Article 142-5, paragraph (1) of the Corporation Tax Act, in calculating the amount of income pertaining to the domestic source income listed in Article 141, item (i), (a) of that Act of that foreign corporation for the relevant business year, the amount specified by Cabinet Order as being equivalent to the amount of covered interest payments, etc. of that foreign corporation;
法人税法第百四十二条の五第一項の規定により当該外国法人の当該事業年度の同法第百四十一条第一号イに掲げる国内源泉所得に係る所得の金額の計算上損金の額に算入されるもののうち、当該外国法人の対象支払利子等の額に相当するものとして政令で定める金額
the phrase "Article 2, paragraph (3)" in paragraph (2), item (iii), (d) is deemed to be replaced with "Article 2, paragraph (8)", the phrase "life insurance company" with "foreign life insurance company, etc.", the phrase "paragraph (4) of that Article" with "paragraph (9) of that Article", and the phrase "casualty insurance company" with "foreign casualty insurance company, etc.".
Where the amount of the excess prescribed in paragraph (1) pertaining to the business conducted through the permanent establishment of a foreign corporation for the relevant business year of that foreign corporation is the amount calculated pursuant to the method specified by Cabinet Order as the amount of the portion corresponding to the shortfall prescribed in Article 142-4, paragraph (1) of the Corporation Tax Act for the relevant business year of that foreign corporation or less, the provisions of paragraph (1) do not apply with regard to the calculation of the amount of income pertaining to the domestic source income listed in Article 141, item (i), (a) of that Act.
外国法人の当該事業年度に係る当該外国法人の恒久的施設を通じて行う事業に係る第一項に規定する超える部分の金額が当該外国法人の当該事業年度に係る法人税法第百四十二条の四第一項に規定する満たない金額に対応する部分の金額として政令で定めるところにより計算した金額以下となる場合には、同法第百四十一条第一号イに掲げる国内源泉所得に係る所得の金額の計算については、第一項の規定は、適用しない。
Where the amount of the excess prescribed in paragraph (1) pertaining to the business conducted through the permanent establishment of a foreign corporation for the relevant business year of that foreign corporation exceeds the amount calculated pursuant to the method specified by Cabinet Order as the amount of the portion corresponding to the shortfall prescribed in Article 142-4, paragraph (1) of the Corporation Tax Act for the relevant business year of that foreign corporation (excluding the case where the provisions of paragraph (3) (limited to the part pertaining to item (i)) apply), the provisions of Article 142-4, paragraph (1) of that Act do not apply with regard to the calculation of the amount of income pertaining to the domestic source income listed in Article 141, item (i), (a) of that Act.
外国法人の当該事業年度に係る当該外国法人の恒久的施設を通じて行う事業に係る第一項に規定する超える部分の金額が当該外国法人の当該事業年度に係る法人税法第百四十二条の四第一項に規定する満たない金額に対応する部分の金額として政令で定めるところにより計算した金額を超える場合（第三項（第一号に係る部分に限る。）の規定の適用がある場合を除く。）には、同法第百四十一条第一号イに掲げる国内源泉所得に係る所得の金額の計算については、同法第百四十二条の四第一項の規定は、適用しない。
The application of the provisions of the Corporation Tax Act with respect to the amount not included in deductible expenses pursuant to the provisions of paragraph (1), and other necessary matters concerning the application of the provisions of paragraphs (1) through (3) and paragraph (6) through the preceding paragraph are specified by Cabinet Order.