Article 144-3Deemed Taxation of the Light Oil Delivery Tax

①In addition to the cases prescribed in the preceding Article, the light oil delivery tax is imposed on the consumption, transfer or importation set forth in each of the following items by the persons set forth in those items, by deeming that consumption, transfer or importation to be the taking of delivery prescribed in paragraph (1) of that Article and the person engaging in that consumption, transfer or importation to be the person taking delivery prescribed in that paragraph, with the quantity thereof (in the case of item (i) or (ii), if the light oil subject to that consumption includes light oil on which light oil delivery tax has already been or is to be imposed, the quantity obtained by deducting from the quantity of the light oil subject to that consumption the quantity of the portion equivalent to that included light oil; and in the case of item (v), if the light oil subject to that consumption or transfer, the manufacture of which has been approved under Article 144-32, paragraph (1), item (i) or (ii), includes light oil or gasoline on which light oil delivery tax or gasoline tax has already been or is to be imposed, the quantity obtained by deducting from the quantity of the light oil subject to that consumption or transfer the quantity of light oil in the portion equivalent to that included light oil or gasoline) as its tax base, in the prefecture in which the office or place of business (for a person with no office or place of business, the domicile; the same applies hereinafter in this Section) that has a direct relationship to that consumption by the person engaging in the consumption is located in the case of item (i) or (ii), in the prefecture that issued the tax exemption certificate prescribed in Article 144-21, paragraph (1) for that light oil in the case of item (iii) or (iv), in the prefecture in which the office or place of business that has a direct relationship to that consumption or transfer by the person engaging in the consumption or transfer is located in the case of item (v), and in the prefecture in which the office or place of business that has a direct relationship to that importation by the person engaging in the importation (where an import permit under Article 67 of the Customs Act is obtained, the person obtaining that permit; the same applies hereinafter in this paragraph) is located in the case of item (vi), respectively, on the person engaging in that consumption, transfer or importation:

②Where a contracted dealer or primary distributor uses light oil to manufacture hydrocarbon oil other than light oil (excluding hydrocarbon oil specified by Cabinet Order that is found to be usable for the internal combustion engine of a motor vehicle), that use of the light oil is not included in the consumption of light oil set forth in item (i) or (ii) of the preceding paragraph.

③A person who intends to transfer light oil set forth in paragraph (1), item (iii) must, as provided by Cabinet Order, give prior notification to the prefectural governor who issued the tax exemption certificate prescribed in Article 144-21, paragraph (1) for that light oil, and obtain the governor's approval.

④No person may receive a transfer of light oil for which the approval under the preceding paragraph was not obtained for the transfer.

⑤A prefecture is not to impose the light oil delivery tax, notwithstanding the provisions of paragraph (1) (limited to the part relating to item (vi)), on the importation of light oil in the case where the armed forces of a contracting state (meaning the armed forces of that contracting state located within Japan (meaning the territory in which this Act is in force) in connection with activities that Japan and that contracting state mutually decide on and carry out with the consent of Japan under a facilitation agreement; the same applies in Article 144-6-2 and Article 144-32, paragraph (9)) import light oil for official use under a facilitation agreement (meaning, of the treaties and other international agreements between Japan and a contracting state, other than Japan, concerning the facilitation of mutual access and cooperation between the Self-Defense Forces of Japan and the armed forces of that contracting state that provide for matters concerning exemption from Japanese taxes, those specified by Cabinet Order).