Supplementary Provisions, Article 7Transitional Measures Concerning Municipal Inhabitant Tax

①The provisions of Article 314-2 of the New Act apply to individual municipal inhabitant tax for fiscal year 2002 and thereafter, and the provisions then in force continue to govern individual municipal inhabitant tax up to fiscal year 2001.

②With regard to the application of the provisions of Article 314-2 of the New Act, for individual municipal inhabitant tax for fiscal year 2002 only, "that is paid" in Article 314-2, paragraph (1), item (v), (d) of the New Act is deemed to be replaced with "that is paid (limited, in the case of one concluded by that casualty insurance company or foreign casualty insurance company, etc., to one for which the start of the insurance period of the insurance policy (where no insurance period is specified, the date on which it takes effect; the same applies in paragraph (8)) is on or after July 1, 2001)"; in item (v)-3 of that paragraph, "as a result of which mutual aid benefits" is deemed to be replaced with "as a result of which insurance benefits or mutual aid benefits"; in Article 314-2, paragraph (8), item (i) of the New Act, "among casualty insurance policies" is deemed to be replaced with "among casualty insurance policies (excluding those concluded by that foreign casualty insurance company, etc. outside the area where this Act is enforced),"; "those (excluding those set forth in item (iii) or paragraph (1), item (v), (d) and those concluded by that foreign casualty insurance company, etc. outside the area where this Act is enforced)" is deemed to be replaced with "those, and casualty insurance policies concluded by that casualty insurance company or foreign casualty insurance company, etc. under which insurance benefits are paid for bodily injury or illness, under which insurance benefits are paid as a result of having been admitted to a hospital or clinic and having paid the medical expenses prescribed in paragraph (1), item (ii) or for other reasons specified by Cabinet Order (limited to those for which the start of the insurance period of the casualty insurance policy is on or before June 30, 2001, and excluding those set forth in item (iii))"; and in item (iii) of that paragraph, "excluding" is deemed to be replaced with "excluding, and, in the case of one concluded by that life insurance company or foreign life insurance company, etc., limited to one for which the start of the insurance period of the insurance policy is on or after July 1, 2001".

③The provisions of Article 5, paragraph (2) of the Supplementary Provisions of the New Act apply to individual municipal inhabitant tax for fiscal year 2003 and thereafter, and the provisions then in force continue to govern individual municipal inhabitant tax up to fiscal year 2002.

④The provisions of Article 35-4 of the Supplementary Provisions of the New Act apply to individual municipal inhabitant tax for fiscal year 2002 and thereafter, and the provisions then in force continue to govern individual municipal inhabitant tax up to fiscal year 2001.

⑤With regard to the application of the provisions of Article 35-4 of the Supplementary Provisions of the New Act between the Effective Date and March 31, 2002, "paragraph (10)" in paragraph (2), item (i) and paragraph (4) of that Article is deemed to be replaced with "paragraph (9)".

⑥The provisions of the New Act concerning corporate municipal inhabitant tax apply to corporate municipal inhabitant tax for each business year, and corporate municipal inhabitant tax on the corporation tax amount for each calculation period, where a merger or division takes place on or after the Effective Date, and to corporate municipal inhabitant tax on the corporation tax amount on liquidation income arising from dissolution where a dissolution takes place on or after the Effective Date (including corporate municipal inhabitant tax on the corporation tax amount for the business year in liquidation of a corporation on which corporation tax on liquidation income is imposed and on the corporation tax amount to be paid upon a partial distribution of residual assets; the same applies hereinafter in this paragraph), and the provisions then in force continue to govern corporate municipal inhabitant tax for each business year where a merger took place before the Effective Date, corporate municipal inhabitant tax on the corporation tax amount on liquidation income arising from dissolution where a dissolution took place before the Effective Date, and corporate municipal inhabitant tax on the corporation tax amount on liquidation income arising from merger where a merger took place before the Effective Date.