This Act comes into effect as of April 1, 1974; provided, however, that the provisions listed in the following items come into effect as of the dates set forth in the respective items:

Unless otherwise provided, the provisions of Chapter II of the Act on Special Measures Concerning Taxation as Amended (hereinafter referred to as the "New Act") apply to income tax for 1974 and subsequent years, and with regard to income tax for 1973 and earlier years, the provisions then in force continue to govern.

①The provisions of Article 4 of the New Act apply to government bonds prescribed in paragraph (1) of that Article that are purchased on or after the date of enforcement of this Act (hereinafter referred to as the "Effective Date").

②In the case where an individual prescribed in Article 4, paragraph (1) of the New Act holds government bonds prescribed in Article 4, paragraph (1) of the Act on Special Measures Concerning Taxation prior to the amendment (hereinafter referred to as the "Former Act") that were purchased before the Effective Date and that satisfy the requirements prescribed in that Article as of that date, the provisions of Article 4 of the New Act apply to those government bonds, deeming them to have been purchased by the individual on that date in accordance with the requirements of that Article.

③In the case where an individual prescribed in the preceding paragraph holds, as of the Effective Date, government bonds prescribed in Article 4, paragraph (1) of the New Act that were purchased at a business office, etc. of a selling institution prescribed in that paragraph during the period from December 1, 1973 to the day before the Effective Date (excluding those to which the provisions of the preceding paragraph apply; hereinafter referred to as "old government bonds" in this Article), if, by the date on which interest on the old government bonds (limited to interest to be received on or after the Effective Date) is first received on or after that date (or, if that date is after December 31, 1974, December 31, 1974; and if, on or after the Effective Date and before either of those dates, the individual purchases at the business office, etc. of the selling institution government bonds prescribed in Article 4, paragraph (1) of the New Act to which the individual seeks to have the provisions of that paragraph applied, the date of the first such purchase), the individual has submitted the statement of special tax-exempt savings prescribed in Article 10, paragraph (3) of the Income Tax Act as applied mutatis mutandis pursuant to paragraph (2) of that Article or the return prescribed in paragraph (4) of that Article to the district director prescribed in those provisions via the business office, etc. of the selling institution, and the application for special tax-exempt savings prescribed in Article 4, paragraph (1) of the New Act for the old government bonds to the business office, etc. of the selling institution, and the custody or registration prescribed in item (i) of that paragraph is effected at the time of that submission, then with regard to that interest, the provisions of that Article apply by deeming that the old government bonds were purchased at the business office, etc. of the selling institution on the Effective Date, that the statement or return and the application were submitted on that date, and that the custody or registration was effected on that date.

④Beyond what is provided for in the preceding paragraph, necessary matters concerning the application of the provisions of Article 4 of the New Act to old government bonds are specified by Cabinet Order.

①The provisions of Article 4-2 of the New Act apply to asset-building savings prescribed in paragraph (1) of that Article that are deposited, entrusted or purchased on or after the Effective Date.

②In the case where a worker prescribed in Article 4-2, paragraph (1) of the New Act holds asset-building savings prescribed in Article 4-2, paragraph (1) of the Former Act that were deposited, entrusted or purchased before the Effective Date and that satisfy the requirements prescribed in that Article as of that date, the provisions of Article 4-2 of the New Act apply to those asset-building savings, deeming them to have been deposited, entrusted or purchased by the worker on that date in accordance with the requirements of that Article.

③In the case where a worker prescribed in the preceding paragraph holds, as of the Effective Date, asset-building savings prescribed in Article 4-2, paragraph (1) of the New Act that were deposited, entrusted or purchased at the business office of a financial institution or other such place prescribed in that paragraph during the period from December 1, 1973 to the day before the Effective Date (excluding those to which the provisions of the preceding paragraph apply; hereinafter referred to as "former asset-building savings" in this Article), if, by the date on which interest or a distribution of proceeds on the former asset-building savings (limited to that to be received on or after the Effective Date) is first received on or after that date (or, if that date is after December 31, 1974, December 31, 1974; and if, on or after the Effective Date and before either of those dates, the worker deposits, entrusts or purchases at the business office of the financial institution or other such place asset-building savings prescribed in Article 4-2, paragraph (1) of the New Act to which the worker seeks to have the provisions of that paragraph applied, the date of the first such deposit, entrustment or purchase), the worker has submitted the statement of tax-exempt asset-building savings prescribed in Article 10, paragraph (3) of the Income Tax Act as applied mutatis mutandis pursuant to paragraph (2) of that Article (limited to one to which the certifying document prescribed in that paragraph is attached) or the return prescribed in paragraph (4) of that Article to the district director prescribed in those provisions via the place of employment prescribed in those provisions and the business office of the financial institution or other such place, and the application for tax-exempt asset-building savings prescribed in Article 4-2, paragraph (1) of the New Act for the former asset-building savings to the business office of the financial institution or other such place via the place of employment prescribed in that paragraph (where the former asset-building savings are a loan trust pertaining to bearer beneficiary certificates prescribed in item (ii) of that paragraph or securities prescribed in item (iii) of that paragraph, limited to the case where the custody or registration prescribed in those provisions is effected at the time of that submission), then with regard to that interest or distribution of proceeds, the provisions of that Article apply by deeming that the former asset-building savings were deposited, entrusted or purchased at the business office of the financial institution or other such place on the Effective Date, that the statement or return and the application were submitted on that date, and that the custody or registration was effected on that date.

④Beyond what is provided for in the preceding paragraph, necessary matters concerning the application of the provisions of Article 4-2 of the New Act to former asset-building savings are specified by Cabinet Order.

With regard to interest prescribed in Article 7 of the Former Act that a domestic corporation pays on foreign currency denominated bonds prescribed in that Article that it issued on or before March 31, 1974, the provisions then in force continue to govern.

①The provisions of items (iv) and (v) of the table in Article 11, paragraph (1) of the New Act apply to specified equipment, etc. prescribed in that paragraph that an individual acquires, manufactures or constructs on or after the Effective Date and uses for the individual's business, and in the case where an individual has used for the individual's business the equipment referred to in item (iv) of the table in Article 11, paragraph (1) of the Former Act that the individual acquired, manufactured or constructed before that date, the provisions then in force continue to govern.

②The provisions of Article 13-2, paragraph (1), item (i) of the New Act apply to income tax for 1975 and subsequent years, and with regard to income tax for 1974 and earlier years, the provisions then in force continue to govern. In this case, the determination of persons who implement a small and medium sized enterprise structural improvement plan prescribed in Article 13-2, paragraph (1), item (i) of the Former Act with regard to income tax for 1974, and other necessary matters concerning the application of the provisions of that item, are specified by Cabinet Order.

③The provisions of Article 13-2, paragraph (1), item (ii) of the New Act do not apply to income tax for 1974 of a person who may receive the application of the provisions of Article 13-2, paragraph (1), item (i) of the Former Act with regard to income tax for that year.

④With regard to the calculation of the amount of depreciation allowance to be included in necessary expenses in the case where an individual has used for the business referred to in Article 15, paragraph (1) of the Former Act fire-resistant buildings, etc. prescribed in that paragraph that the individual acquired or constructed during the period from April 1, 1966 to March 31, 1974, the provisions then in force continue to govern.

⑤In the case where an individual uses for the business referred to in Article 15, paragraph (1) of the Former Act fire-resistant buildings, etc. prescribed in that paragraph that are specified by Cabinet Order and that the individual acquires or constructs during the period from April 1, 1974 to March 31, 1976, the provisions of that Article are to govern, with the phrase "March 31, 1974" in that paragraph deemed to be replaced with "March 31, 1976", and the phrase "buildings with a fire-resistant structure prescribed in Article 2, item (vii) of the Building Standards Act (Act No. 201 of 1950) and other buildings specified by Cabinet Order" deemed to be replaced with "fire-resistant buildings, etc. prescribed in Article 6, paragraph (5) of the Supplementary Provisions of the Act Partially Amending the Act on Special Measures Concerning Taxation (Act No. 17 of 1974; hereinafter referred to as the '1974 Amendment Act') that are specified by Cabinet Order".

⑥With regard to the application of the provisions of Articles 13, 13-2, 16-2, 28-3, 33-6 and 37-3 of the New Act in the case where the provisions of the preceding paragraph apply, the phrase "Articles 14 to 16" in Article 13, paragraph (1), Article 13-2, paragraph (1), Article 28-3, paragraph (11), Article 33-6, paragraph (2) and Article 37-3, paragraph (2) of the New Act is deemed to be replaced with "Articles 14 to 16 (including Article 6, paragraph (5) of the Supplementary Provisions of the 1974 Amendment Act)", and the phrase "Article 11 to the preceding Article" in Article 16-2, paragraph (2) of the New Act is deemed to be replaced with "Article 11 to the preceding Article (including Article 6, paragraph (5) of the Supplementary Provisions of the 1974 Amendment Act)".

⑦In the case where an individual prescribed in Article 28 or Article 28-2 of the Former Act has made the payment prescribed in those provisions (including the payment prescribed in Article 56-2, paragraph (1) or Article 56-3, paragraph (1) of the Former Act which is to be governed by the provisions then in force pursuant to the provisions of Article 14, paragraph (1) or (2) of the Supplementary Provisions), the provisions then in force continue to govern.

②The provisions of Article 25-2, paragraph (4) of the New Act (limited to the part pertaining to the case where the business referred to in that paragraph has been commenced) apply in the case where that business is commenced on or after the Effective Date, and in the case where that business was commenced before that date, the provisions then in force continue to govern.