①In the case where a remittance return has been submitted by the deadline for filing it (including the case where a remittance return was submitted after the deadline for filing it and the proviso to paragraph (3) or paragraph (9) applies; the same applies in the following paragraph), if a reassessment under the provisions of Article 733-16, paragraph (1) or (3) has been made or an amended return has been submitted, the head of a local government must, where the head finds that there are no justifiable grounds for there having been an error in the amount of the tax base or the amount of tax relating to the remittance return or amended return preceding that reassessment or amended return, collect an amount of additional charge for understatement equal to the amount calculated by multiplying the shortfall amount due to that reassessment or the amount of tax increased by that amended return (referred to as the "covered shortfall, etc." in the following paragraph) by a rate of 10 percent.

②In the case falling under the provisions of the preceding paragraph, where the covered shortfall, etc. (where, before the reassessment or amended return concerned, a reassessment was made or an amended return was submitted with respect to the non-statutory earmarked tax relating to that reassessment or amended return, the amount obtained by adding to it the total of the shortfall amount due to that reassessment or the amount of tax increased by that amended return (which, where it has been found that there were justifiable grounds for there having been an error in the amount of the tax base or the amount of tax relating to the remittance return or amended return preceding that reassessment or amended return, is the amount after deducting the shortfall amount due to that reassessment or the amount of tax increased by that amended return, and which, where there has been a reassessment that reduces the amount to be remitted or the amount of tax to be paid for that non-statutory earmarked tax, or a change in the original disposition by a ruling or judgment on a request for review or an action relating to a reassessment, is the amount after deducting the amount equivalent to the portion reduced thereby)) exceeds the greater of the amount equivalent to the amount of tax relating to the remittance return in the case where it was submitted by the deadline for filing it and 500,000 yen, the amount of additional charge for understatement prescribed in that paragraph is, notwithstanding the provisions of that paragraph, the amount obtained by adding to the amount calculated under the provisions of that paragraph the amount calculated by multiplying the amount equivalent to the portion in excess (where the covered shortfall, etc. is less than the amount equivalent to the portion in excess, the covered shortfall, etc.) by a rate of 5 percent.

③In the case falling under any of the following items, the head of a local government must collect an amount of additional charge for failure to file equal to the amount calculated by multiplying the amount of tax to be paid or remitted by the remittance return, amended return, determination or reassessment prescribed in that item by a rate of 15 percent; provided, however, that this does not apply where it is found that there were justifiable grounds for the remittance return not having been submitted by the deadline for filing it:

④In the case falling under the provisions of the preceding paragraph (excluding the case where the proviso to that paragraph or paragraph (9) applies; the same applies in the following paragraph and paragraph (6)), where the amount of tax to be paid or remitted prescribed in the preceding paragraph (in the case falling under item (ii) or (iii) of that paragraph, the amount obtained by adding the total of the amounts of tax to be paid or remitted by a remittance return filed after the deadline for filing it, or by a reassessment or determination under the provisions of Article 733-16, paragraphs (1) through (3), relating to that non-statutory earmarked tax, made before the amended return or reassessment prescribed in those items (where there has been a reassessment that reduces the amount of tax to be paid or remitted, or a change in the original disposition by a ruling or judgment on a request for review or an action relating to a reassessment, the amount obtained by deducting the amount of tax equivalent to the portion reduced thereby; referred to as the "cumulative tax amount" in the following paragraph); referred to as the "cumulative tax amount after addition" in the following paragraph) exceeds 500,000 yen, the amount of additional charge for failure to file prescribed in the preceding paragraph is, notwithstanding the provisions of that paragraph, the amount obtained by adding to the amount calculated under the provisions of that paragraph the amount calculated by multiplying the amount equivalent to the portion in excess (where the amount of tax to be paid or remitted prescribed in that paragraph is less than the amount equivalent to the portion in excess, that amount of tax to be paid or remitted) by a rate of 5 percent.

⑤In the case falling under the provisions of paragraph (3), where the cumulative tax amount after addition (where, among the facts forming the basis of calculating that cumulative tax amount after addition, there are any for which it is found that there are no grounds attributable to the taxpayer or special collection agent concerned for their not having been taken as the basis of calculating the amount of tax preceding the remittance return, amended return, determination or reassessment prescribed in the items of that paragraph, the amount of tax after deducting the amount calculated, as provided by Cabinet Order, as the amount of tax based on those facts) exceeds 3,000,000 yen, the amount of additional charge for failure to file prescribed in that paragraph is, notwithstanding the provisions of the preceding two paragraphs, the amount obtained by deducting from the total of the amounts calculated by dividing the cumulative tax amount after addition into the amounts set out in the following items and multiplying each amount by the rate specified in the relevant item, the total of the amounts calculated by dividing the cumulative tax amount into the amounts set out in those items and multiplying each amount by the rate specified in the relevant item:

⑥In the case falling under the provisions of paragraph (3), where any of the following items applies, the amount of additional charge for failure to file prescribed in that paragraph is, notwithstanding the provisions of the preceding three paragraphs, the amount obtained by adding to the amount calculated under those provisions the amount calculated by multiplying the amount of tax to be paid or remitted prescribed in paragraph (3) by a rate of 10 percent:

⑦In the case where a remittance return has been submitted after the deadline for filing it or an amended return has been submitted, if the submission was not made with the foreknowledge that a reassessment or determination by an investigation by the head of a local government would be made concerning the non-statutory earmarked tax relating to that remittance return or amended return, the amount of additional charge for failure to file prescribed in paragraph (3) relating to the amount of tax relating to that remittance return or amended return is, notwithstanding the provisions of paragraphs (3) through (5), the amount equivalent to the amount calculated by multiplying that amount of tax by a rate of 5 percent.

⑧Where the head of a local government has determined the amount of additional charge for understatement to be collected under the provisions of paragraph (1) or the amount of additional charge for failure to file to be collected under the provisions of paragraph (3), the head must notify the taxpayer or special collection agent of it without delay.

⑨The provisions of paragraph (3) do not apply where a remittance return falling under the provisions of paragraph (7) has been submitted, if the submission was made in a case specified by Cabinet Order as a case in which it is found that there was an intention to submit it by the deadline for filing the remittance return, and was made by the day on which one month has passed from the deadline for filing the remittance return.

①In the case falling under the provisions of paragraph (1) of the preceding Article, where a taxpayer or special collection agent has concealed or disguised the whole or part of the facts that should form the basis of calculating the amount of the tax base, and has submitted a remittance return, an amended return or a written request for reassessment prescribed in Article 20-9-3, paragraph (3) (referred to as a "written request for reassessment" in the following paragraph) based on the facts so concealed or disguised, the head of a local government must, as provided by Cabinet Order, in lieu of the amount of additional charge for understatement prescribed in paragraph (1) of the preceding Article (where paragraph (2) of that Article applies, the amount after the addition under that paragraph), collect an amount of substantial additional charge equal to the amount calculated by multiplying the shortfall amount due to the reassessment or the amount of tax increased by the amended return, which should form the basis of calculating it, by a rate of 35 percent.

②In the case falling under the provisions of paragraph (3) of the preceding Article (excluding the case where the proviso to that paragraph applies), where a taxpayer or special collection agent has concealed or disguised the whole or part of the facts that should form the basis of calculating the amount of the tax base, and, based on the facts so concealed or disguised, has failed to submit a remittance return by the deadline for filing it, or has submitted a remittance return after the deadline for filing it, submitted an amended return or submitted a written request for reassessment, the head of a local government must, in lieu of the amount of additional charge for failure to file prescribed in that paragraph, collect an amount of substantial additional charge equal to the amount calculated by multiplying the amount of tax that should form the basis of calculating it by a rate of 40 percent.

③In the case falling under the preceding two paragraphs, when any of the following items applies (item (i) only, in the case falling under paragraph (1)), the amount of substantial additional charge prescribed in the preceding two paragraphs is, notwithstanding those provisions, the amount calculated under those provisions plus the amount calculated by multiplying, at a rate of 10 percent in each case, the shortfall resulting from the reassessment or the amount of tax increased by the amended return that is to form the basis of the calculation prescribed in paragraph (1), when the case falls under paragraph (1), or the amount of tax that is to form the basis of the calculation prescribed in the preceding paragraph, when the case falls under the preceding paragraph.

④In a case falling under the preceding two paragraphs, if there are grounds prescribed in paragraph (7) of the preceding Article in relation to the filing of the remittance return or amended return, the head of the local government is not to collect the substantial additional charge amount calculated on the basis of the amount of tax relating to that remittance return or the amount of tax increased by the amended return.

⑤When the head of a local government has determined the substantial additional charge amount to be collected under paragraph (1) or (2), the head must notify the taxpayer or special collection agent of it without delay.