②If a consolidated parent corporation prescribed in Article 68-50, paragraph (1) of the Former Act on Special Measures Concerning Taxation or a consolidated subsidiary corporation having a consolidated full controlling interest with that consolidated parent corporation has an amount of the reserve for losses on computer buybacks prescribed in paragraph (4) of that Article as of the first day of the first consolidated business year beginning on or after the Effective Date (where the first business year beginning on or after the Effective Date does not fall under a consolidated business year, the first day of that business year), an amount equivalent to the amount calculated by multiplying the amount of that reserve for losses on computer buybacks by the number of months in each consolidated business year and dividing the product by 60 (referred to as the "amount drawn down in equal parts over five years" in the following paragraph) is included in gross profit in calculating the amount of consolidated income for each consolidated business year that includes any day within five years from that first day.

③In the case referred to in the preceding paragraph, if the amount drawn down in equal parts over five years exceeds the amount of the reserve for losses on computer buybacks as of the end of the consolidated business year (where, by that date, there is an amount that has been included, or has come to be included, in gross profit pursuant to the provisions of the following paragraph out of the amount of the reserve for losses on computer buybacks prescribed in that paragraph (including an amount included in gross profit pursuant to the provisions of Article 41, paragraph (4) of the Supplementary Provisions), or an amount that has been included in gross profit pursuant to the provisions of the preceding paragraph by the end of the preceding consolidated business year (where the business year that includes the day preceding the first day of that consolidated business year does not fall under a consolidated business year, the business year that includes that preceding day) (including an amount included in gross profit pursuant to the provisions of paragraph (2) of that Article), the amount remaining after deducting those amounts; the same applies hereinafter in this Article), the amount drawn down in equal parts over five years is to be the amount of that reserve for losses on computer buybacks.

④If a consolidated parent corporation or its consolidated subsidiary corporation to which the provisions of paragraph (2) apply comes to fall under any of the cases listed in the following items (excluding the case where, through a qualified merger or qualified company split by split-off, it has come not to carry out all of the buybacks of computers subject to the buyback referred to in paragraph (3) of Article 68-50 of the Former Act on Special Measures Concerning Taxation that it sold, before that qualified merger or qualified company split by split-off, to a specified computer leasing company prescribed in paragraph (2) of that Article (hereinafter referred to as "specified computers" in this paragraph and paragraph (9))), an amount equivalent to the amount specified in the relevant item is included in gross profit in calculating the amount of consolidated income for the consolidated business year that includes the date on which it came to fall under that case (in the case listed in item (ii), the consolidated business year that includes the day preceding the date of the merger).

⑤The number of months referred to in paragraph (2) is calculated according to the calendar, and a fraction of less than one month is counted as one month.

⑥If a qualified merger in which a consolidated parent corporation or its consolidated subsidiary corporation to which the provisions of paragraph (2) apply is the merged corporation (for a qualified merger in which a consolidated subsidiary corporation is the merged corporation, limited to that qualified merger in the case where the date of the qualified merger is the first day of a consolidated parent corporation business year) is carried out, the amount of the reserve for losses on computer buybacks immediately before the qualified merger is to be taken over by that merging corporation. In this case, the amount of the reserve for losses on computer buybacks taken over by the merging corporation is deemed to be the amount of the reserve for losses on computer buybacks referred to in that paragraph that the merging corporation holds as of the date of the qualified merger (where the business year of the merging corporation that includes the date of the qualified merger does not fall under a consolidated business year, the amount of the reserve for losses on computer buybacks referred to in Article 41, paragraph (2) of the Supplementary Provisions).

⑦In the case referred to in the preceding paragraph or Article 41, paragraph (8) of the Supplementary Provisions, if the merging corporation referred to in those provisions (limited to one that falls under a consolidated corporation after the qualified merger) is not a person that has the special agreement specified by Cabinet Order as prescribed in Article 68-50, paragraph (3) of the Former Act on Special Measures Concerning Taxation, the amount of the reserve for losses on computer buybacks as of the end of the consolidated business year that includes the date of the qualified merger is included in gross profit in calculating the amount of consolidated income for that consolidated business year.

⑧With regard to the application of the provisions of paragraph (2) to each consolidated business year on or after the consolidated business year that includes the date of the qualified merger (where the business year that includes the date of the qualified merger does not fall under a consolidated business year, each consolidated business year after that business year) of the merging corporation referred to in paragraph (6) or Article 41, paragraph (8) of the Supplementary Provisions (limited to one that falls under a consolidated corporation after the qualified merger), the amount of the reserve for losses on computer buybacks prescribed in paragraph (2) is to include the amount of the reserve for losses on computer buybacks deemed to be held by the merging corporation pursuant to the provisions of paragraph (6) or paragraph (8) of that Article. In this case, with regard to the amount of the reserve for losses on computer buybacks deemed to be held by the merging corporation, the phrase "by the number of months in each consolidated business year and dividing the product by 60" in paragraph (2) is deemed to be replaced with "by the number of months in each consolidated business year (for the consolidated business year that includes the date of the qualified merger, the number of months in the period from that date to the end of the consolidated business year that includes that date) and dividing the product by the number of months obtained by deducting from 60 months the number of months in the elapsed period (meaning the period from the first day of the first consolidated business year beginning on or after the Effective Date (where the first business year beginning on or after the Effective Date does not fall under a consolidated business year, the first day of that business year) to the day preceding the date of the qualified merger)".

⑨If a qualified company split by split-off in which a consolidated parent corporation or its consolidated subsidiary corporation to which the provisions of paragraph (2) apply is the splitting corporation is carried out and the successor corporation in a company split pertaining to that qualified company split by split-off has come to carry out all of the buybacks of specified computers, the amount of the reserve for losses on computer buybacks immediately before the qualified company split by split-off is to be taken over by that successor corporation in a company split. In this case, the amount of the reserve for losses on computer buybacks taken over by the successor corporation in a company split is deemed to be the amount of the reserve for losses on computer buybacks referred to in that paragraph that the successor corporation in a company split holds as of the date of the qualified company split by split-off (where the business year of the successor corporation in a company split that includes the date of the qualified company split by split-off does not fall under a consolidated business year, the amount of the reserve for losses on computer buybacks referred to in Article 41, paragraph (2) of the Supplementary Provisions).

⑩In the case referred to in the preceding paragraph or Article 41, paragraph (11) of the Supplementary Provisions, if the successor corporation in a company split referred to in those provisions (limited to one that falls under a consolidated corporation after the qualified company split by split-off) is not a person that has the special agreement specified by Cabinet Order as prescribed in Article 68-50, paragraph (3) of the Former Act on Special Measures Concerning Taxation, the amount of the reserve for losses on computer buybacks as of the end of the consolidated business year that includes the date of the qualified company split by split-off is included in gross profit in calculating the amount of consolidated income for that consolidated business year.

⑪With regard to the application of the provisions of paragraph (2) to each consolidated business year on or after the consolidated business year that includes the date of the qualified company split by split-off (where the business year that includes the date of the qualified company split by split-off does not fall under a consolidated business year, each consolidated business year after that business year) of the successor corporation in a company split referred to in paragraph (9) or Article 41, paragraph (11) of the Supplementary Provisions (limited to one that falls under a consolidated corporation after the qualified company split by split-off), the amount of the reserve for losses on computer buybacks prescribed in paragraph (2) is to include the amount of the reserve for losses on computer buybacks deemed to be held by the successor corporation in a company split pursuant to the provisions of paragraph (9) or paragraph (11) of that Article. In this case, with regard to the amount of the reserve for losses on computer buybacks deemed to be held by the successor corporation in a company split, the phrase "by the number of months in each consolidated business year and dividing the product by 60" in paragraph (2) is deemed to be replaced with "by the number of months in each consolidated business year (for the consolidated business year that includes the date of the qualified company split by split-off, the number of months in the period from that date to the end of the consolidated business year that includes that date) and dividing the product by the number of months obtained by deducting from 60 months the number of months in the elapsed period (meaning the period from the first day of the first consolidated business year beginning on or after the Effective Date (where the first business year beginning on or after the Effective Date does not fall under a consolidated business year, the first day of that business year) to the day preceding the date of the qualified company split by split-off)".