Article 72-48Filing and Payment, etc. by Corporations with Offices in Two or More Prefectures

①A corporation that conducts business with offices or places of business established in two or more prefectures (hereinafter in this Article referred to as a "corporation with offices in two or more prefectures"), when it files and pays enterprise tax under Article 72-25, Article 72-26 (excluding paragraph (5)), Article 72-28 or Article 72-29, or files and pays enterprise tax by an amended return under Article 72-31, paragraph (2) or (3), must apportion the total tax base amount pertaining to that business (for a corporation listed in Article 72-24-7, paragraph (1), item (iii) whose total income for each business year exceeds 4,000,000 yen per year (or, where the business year of that corporation is less than one year, the amount calculated by applying paragraph (6) of that Article; the same applies hereinafter in this paragraph) and is 8,000,000 yen or less per year (or, where the business year of that corporation is less than one year, the amount calculated by applying paragraph (6) of that Article; the same applies hereinafter in this paragraph), or for a corporation listed in item (ii) of that paragraph whose total income for each business year exceeds 4,000,000 yen per year, the amount obtained by dividing the total income for each business year into the portion of 4,000,000 yen or less per year and the portion exceeding 4,000,000 yen per year, and for a corporation listed in item (iii) of that paragraph whose total income for each business year exceeds 8,000,000 yen per year, the amount obtained by dividing the total income for each business year into the portion of 4,000,000 yen or less per year, the portion exceeding 4,000,000 yen and 8,000,000 yen or less per year, and the portion exceeding 8,000,000 yen per year; the same applies hereinafter with respect to enterprise tax on a business conducted by a corporation) among the relevant prefectures on the basis of the apportionment basis, calculate the amount of enterprise tax for each relevant prefecture taking the apportioned amount as the tax base, and file and pay it, or file and pay it by amended return, to the relevant prefectures. In this case, a detailed statement on the apportionment of the total tax base amount, as specified by Order of the Ministry of Internal Affairs and Communications, must be attached to the return or amended return to be submitted to the relevant prefectural governor.

②Where the period of the business year of a corporation with offices in two or more prefectures exceeds six months (where that corporation is a group tax sharing subsidiary corporation, where the business year of the group tax sharing parent corporation containing the start date of that business year exceeds six months and, on the day on which six months have elapsed from the start date of that business year of the group tax sharing parent corporation, there is a group tax sharing full controlling interest between that corporation and the group tax sharing parent corporation pertaining to it), notwithstanding the preceding paragraph, the amount of enterprise tax that the corporation is to file and pay to the relevant prefectures under the main clause of Article 72-26, paragraph (1), or the amount of enterprise tax that it is to file and pay by amended return in connection with that filing and payment, is the amount calculated by dividing the total of the amount of tax paid and the amount of tax that has become finalized as payable as enterprise tax for the previous business year, for each relevant prefecture, by the number of months of the previous business year and multiplying the result by the number of months of the interim period. However, where the offices or places of business located in a relevant prefecture as of the day preceding the day on which six months have elapsed differ, owing to relocation or other reason, from the offices or places of business located in that relevant prefecture in the previous business year, or where it is found that the figures of the apportionment basis for each relevant prefecture as of the day preceding the day on which six months have elapsed differ significantly from the figures of the apportionment basis for each relevant prefecture in the previous business year, the amount of enterprise tax that the corporation with offices in two or more prefectures is to file and pay to the relevant prefectures under the main clause of Article 72-26, paragraph (1), or the amount of enterprise tax that it is to file and pay by amended return in connection with that filing and payment, may be the amount of tax calculated by taking as the tax base the amount obtained by dividing the total tax base amount that formed the basis for calculating the total of the amount of tax paid and the amount of tax that has become finalized as payable as enterprise tax for the previous business year by the number of months of the previous business year and multiplying the result by the number of months of the interim period, apportioned among the relevant prefectures under the preceding paragraph in the same manner as for a corporation that files and pays under the proviso to Article 72-26, paragraph (1).

③The "apportionment basis" in the preceding two paragraphs means the basis for apportioning the total tax base amount among the relevant prefectures, as provided in each of the following items according to the category of business set forth in that item.

④The numerical value of the apportionment basis prescribed in the preceding paragraph (hereinafter referred to as the "apportionment basis" in this Subsection) is to be calculated, in accordance with the categories set out in the following items, as provided for in the relevant item.

⑤For the offices or places of business set out in the following items, the number specified in the relevant item (where a fraction of less than one person arises in that number, it is to be counted as one person) is deemed to be the number of workers set out in item (i) of the preceding paragraph.

⑥The number of months set forth in the preceding paragraph is calculated according to the calendar; a division of less than one month is counted as one month.

⑦Where paragraph (4) is applied to the apportionment basis relating to the interim payment of a corporation that is to file and pay under the proviso to Article 72-26, paragraph (1) or the proviso to paragraph (2) of that Article, the interim period of that corporation is deemed to be one business year.

⑧As for the apportionment of the total tax base amount relating to the business of a corporation with offices in two or more prefectures in the case where that corporation concurrently conducts businesses to which two or more apportionment bases are to be applied, it is to be based on the apportionment basis prescribed for the principal business among those businesses.

⑨As for the apportionment of the total tax base amount relating to the business of a corporation with offices in two or more prefectures in the case where that corporation conducts an electricity supply business and there are two or more apportionment bases relating to that electricity supply business, notwithstanding the preceding paragraph, it is to be based on the apportionment basis specified in the relevant item, in accordance with the categories of cases set out in the following items.

⑩In the case referred to in the preceding paragraph, as for the apportionment of the total tax base amount relating to the business of a corporation with offices in two or more prefectures in the case where that corporation concurrently conducts an electricity supply business and a business other than an electricity supply business, notwithstanding the preceding two paragraphs, it is first to be determined which of the electricity supply business and the business other than the electricity supply business is its principal business, and, according to that determination, where the electricity supply business is the principal business, the apportionment is to be based on the apportionment basis specified in the relevant item in accordance with the categories of cases set out in the items of the preceding paragraph, and where the business other than the electricity supply business is the principal business, it is to be based on the apportionment basis prescribed for that business.

⑪Where a corporation with offices in two or more prefectures concurrently conducts a railway business or track business and a business other than those businesses, notwithstanding the preceding three paragraphs, the total tax base amount relating to the business of that corporation is to be apportioned for each relevant prefecture, as provided by Cabinet Order, by the apportionment basis prescribed for those businesses with respect to the portion relating to the railway business or track business, and by the apportionment basis prescribed for the principal business among the businesses other than those businesses with respect to the portion relating to the businesses other than those businesses.

⑫In addition to what is provided for in the preceding paragraphs, matters necessary for the apportionment of the total tax base amount are specified by Order of the Ministry of Internal Affairs and Communications.