Except as otherwise provided, the provisions of Chapter II of the Act on Special Measures Concerning Taxation as amended by Article 18 (hereinafter referred to as the "New Act on Special Measures Concerning Taxation") apply to income tax for 2010 and subsequent years, and the provisions then in force continue to govern income tax for 2009 and prior years.

With regard to the application of the provisions of the October Former Corporation Tax Act, as applied with the relevant terms and phrases replaced pursuant to the provisions of Article 3-3, paragraph (5), Article 6, paragraph (3) (including as applied mutatis mutandis pursuant to paragraph (13) of that Article), Article 8-3, paragraph (5), Article 9-2, paragraph (4), Article 41-9, paragraph (4) and Article 41-12, paragraph (4) of the Act on Special Measures Concerning Taxation before the amendment by Article 18 (hereinafter referred to as the "Former Act on Special Measures Concerning Taxation" through Article 130 of the Supplementary Provisions), to a domestic corporation prescribed in those provisions that dissolved (excluding dissolution due to a merger and a specified trust dissolution prescribed in Article 92, paragraph (2) of the October Former Corporation Tax Act) on or before September 30, 2010, the provisions then in force continue to govern.

The provisions of Article 4-4, paragraph (3) of the New Act on Special Measures Concerning Taxation apply to the termination or partial cancellation of a securities investment trust prescribed in that paragraph on or after January 1, 2010, and the provisions then in force continue to govern the termination or partial cancellation of a securities investment trust prescribed in Article 4-4, paragraph (3) of the Former Act on Special Measures Concerning Taxation before that date.

①A written application for a tax exemption for book-entry government bonds prescribed in Article 5-2, paragraph (1), item (i), (a) of the Former Act on Special Measures Concerning Taxation or a written application for a tax exemption for book-entry municipal bonds prescribed in item (ii), (a) of that paragraph that was submitted before the Effective Date (limited to one where, after the submission of that written application for a tax exemption for book-entry government bonds or written application for a tax exemption for book-entry municipal bonds or of a return prescribed in paragraph (10) or (11) of that Article that was submitted with regard to it (referred to as a "statement of change" in this paragraph), there has been no change in the name, or in the address prescribed in paragraph (1), item (i), (a) of that Article, stated in that written application for a tax exemption for book-entry government bonds, written application for a tax exemption for book-entry municipal bonds or statement of change) is deemed to be the written application for a tax exemption referred to in Article 5-2, paragraph (1), item (i) of the New Act on Special Measures Concerning Taxation that was submitted on the Effective Date pursuant to the provisions of that item.

②The provisions of Article 5-2, paragraph (2) of the New Act on Special Measures Concerning Taxation apply to the portion corresponding to the period on or after the Effective Date of the interest on book-entry government bonds prescribed in paragraph (1) of that Article (hereinafter referred to as "book-entry government bonds" in this Article) or book-entry municipal bonds prescribed in that paragraph (hereinafter referred to as "book-entry municipal bonds" in this Article) that a nonresident or foreign corporation that is the trustee of a qualified foreign securities investment trust prescribed in paragraph (2) of that Article receives, and the provisions then in force continue to govern the portion corresponding to the period before the Effective Date of the interest on book-entry government bonds or book-entry municipal bonds that a nonresident or foreign corporation that is the trustee of a qualified foreign securities investment trust prescribed in Article 5-2, paragraph (2) of the Former Act on Special Measures Concerning Taxation receives.

③The approval of the district director obtained before the Effective Date pursuant to the provisions of Article 5-2, paragraph (5), item (iv) of the Former Act on Special Measures Concerning Taxation is deemed, on the Effective Date, to be the approval of the Commissioner of the National Tax Agency obtained pursuant to the provisions of Article 5-2, paragraph (5), item (iv) of the New Act on Special Measures Concerning Taxation.

④The provisions of Article 5-2, paragraphs (9) and (10) of the New Act on Special Measures Concerning Taxation apply to interest received on book-entry government bonds or book-entry municipal bonds for which entries or records under the book-entry transfer system prescribed in paragraph (5), item (vi) of that Article are made in the tax-exempt segregated account prescribed in those provisions, if the first day of the calculation period of that interest is on or after June 1, 2010.

⑤The provisions of Article 5-2, paragraph (15) and paragraphs (19) through (22) of the New Act on Special Measures Concerning Taxation apply to book-entry government bonds or book-entry municipal bonds the first day of the calculation period of whose interest is on or after June 1, 2010, and the provisions then in force continue to govern book-entry government bonds or book-entry municipal bonds the first day of the calculation period of whose interest is before June 1, 2010.

①The provisions of Article 5-3 of the New Act on Special Measures Concerning Taxation apply to interest on specified book-entry corporate bonds, etc. prescribed in paragraph (1) of that Article, the first day of the calculation period of which is on or after June 1, 2010.

②With regard to the application of the provisions of Article 5-3, paragraph (4), items (v) and (vi) of the New Act on Special Measures Concerning Taxation during the period from the Effective Date to May 31, 2010, the phrase "a treaty or any other international agreement concluded by Japan" in item (v) of that paragraph is deemed to be replaced with "a treaty", the phrase "contracting state or contracting party" with "contracting state", and the phrase "treaty partner state, etc." with "treaty partner state", and the phrase "treaty partner state, etc." in item (vi) of that paragraph is deemed to be replaced with "treaty partner state".

①The provisions of Article 6, paragraphs (1) through (3) of the New Act on Special Measures Concerning Taxation apply to interest received on private foreign bonds prescribed in paragraph (1) of that Article that are issued on or after the Effective Date, and the provisions then in force continue to govern interest received on general private foreign bonds prescribed in Article 6, paragraph (1) of the Former Act on Special Measures Concerning Taxation that were issued before the Effective Date.

②The provisions of Article 6, paragraphs (4) through (10) of the New Act on Special Measures Concerning Taxation apply to interest received on foreign private bonds prescribed in paragraph (4) of that Article that are issued on or after the Effective Date, and the provisions then in force continue to govern interest received on general foreign private bonds prescribed in Article 6, paragraph (4) of the Former Act on Special Measures Concerning Taxation that were issued before the Effective Date.

③With regard to interest received on designated private foreign bonds prescribed in Article 6, paragraph (10) of the Former Act on Special Measures Concerning Taxation (referred to as "designated private foreign bonds" in the following paragraph) that were issued before the Effective Date, the provisions then in force continue to govern.

④With regard to interest received on designated private foreign bonds issued during the period from the Effective Date to March 31, 2012, the provisions of Article 6 of the Former Act on Special Measures Concerning Taxation (limited to the part concerning paragraphs (10) through (12)) remain in force. In this case, the phrase "issued by a foreign corporation specified by Cabinet Order as prescribed in paragraph (4)" in paragraph (10) of that Article is deemed to be replaced with "the amount of interest on which is calculated on the basis of an indicator specified by Cabinet Order as prescribed in Article 6, paragraph (4) of the Act on Special Measures Concerning Taxation as amended by Article 18 of the Act Partially Amending the Income Tax Act, etc. (Act No. 6 of 2010) concerning the person issuing those designated private foreign bonds or that issuing person's specially related person (meaning a specially-related person prescribed in that paragraph; the same applies hereinafter in this paragraph)", and the phrase "to interest" is deemed to be replaced with "to interest received by a person other than the issuing person's specially related person".

①The provisions of Article 8-4, paragraph (4) of the New Act on Special Measures Concerning Taxation apply to listed share dividends, etc. prescribed in that paragraph for which the date on which payment was confirmed prescribed in that paragraph falls on or after the Effective Date, and the provisions then in force continue to govern listed share dividends, etc. prescribed in Article 8-4, paragraph (4) of the Former Act on Special Measures Concerning Taxation for which the date on which payment was confirmed prescribed in that paragraph falls before the Effective Date.

②The provisions of Article 8-4, paragraph (5) of the New Act on Special Measures Concerning Taxation apply to listed share dividends, etc. prescribed in paragraph (4) of that Article, or dividends and similar income prescribed in Article 24, paragraph (1) of the New Income Tax Act pertaining to distributions of proceeds from open-end securities investment trusts prescribed in Article 225, paragraph (2), item (i) of the New Income Tax Act, for which the date on which payment was confirmed prescribed in paragraph (5) of that Article falls on or after January 1, 2010, and the provisions then in force continue to govern listed share dividends, etc. prescribed in paragraph (4) of Article 8-4 of the Former Act on Special Measures Concerning Taxation, or dividends and similar income prescribed in Article 24, paragraph (1) of the Former Income Tax Act pertaining to distributions of proceeds from open-end securities investment trusts prescribed in Article 225, paragraph (2), item (i) of the Former Income Tax Act, for which the date on which payment was confirmed prescribed in Article 8-4, paragraph (5) of the Former Act on Special Measures Concerning Taxation falls before January 1 of that year.

The provisions of Article 9-4-2 of the New Act on Special Measures Concerning Taxation apply to the termination or partial cancellation, on or after June 1, 2010, of listed securities investment trusts, etc. prescribed in paragraph (1) of that Article, and the provisions then in force continue to govern the termination or partial cancellation, before that date, of listed securities investment trusts prescribed in Article 9-4-2, paragraph (1) of the Former Act on Special Measures Concerning Taxation.

①With regard to income from the transfer of shares by an individual who, before the Effective Date, transferred shares of a listed company, etc. prescribed in Article 9-6, paragraph (1) of the Former Act on Special Measures Concerning Taxation in response to a takeover bid prescribed in that paragraph, the provisions then in force continue to govern.

②Where an individual prescribed in Article 9-6, paragraph (1) of the Former Act on Special Measures Concerning Taxation has, during the period from the Effective Date to December 31, 2010, transferred shares of a listed company, etc. prescribed in that paragraph in response to a takeover bid prescribed in that paragraph, the provisions of that Article remain in force with regard to income from the transfer of those shares. In this case, the phrase "March 31, 2010" in that paragraph is deemed to be replaced with "December 31, 2010", and in paragraph (2) of that Article, the phrase "とあるのは、" (is deemed to be replaced with) is deemed to be replaced with "とあるのは" (is deemed to be replaced with, the reading comma dropped), the phrase "Article 9-6, paragraph (1)" is deemed to be replaced with "Article 9-6, paragraph (1) of the Act on Special Measures Concerning Taxation prior to the amendment by Article 18 of the Act Partially Amending the Income Tax Act, etc. (Act No. 6 of 2010), which remains in force pursuant to the provisions of Article 51, paragraph (2) of the Supplementary Provisions of that Act", and that paragraph is deemed to further provide that the phrase "that Act" is deemed to be replaced with "the Income Tax Act".

The provisions of Article 9-8 of the New Act on Special Measures Concerning Taxation apply to dividends and similar income on listed shares, etc. in a tax-exempt account prescribed in that Article that are to be received on or after January 1, 2014.

The provisions of Article 10-2-2 of the New Act on Special Measures Concerning Taxation (limited to the part concerning paragraph (1), item (ii)) apply to equipment for promoting reform of the energy supply and demand structure prescribed in that paragraph that an individual acquires, manufactures or constructs on or after the date specified in Article 1, item (ix) of the Supplementary Provisions, and the provisions then in force continue to govern equipment for promoting reform of the energy supply and demand structure prescribed in Article 10-2-2, paragraph (1) of the Former Act on Special Measures Concerning Taxation that an individual acquired, manufactured or constructed before that date.

①The provisions of Article 10-4 of the New Act on Special Measures Concerning Taxation (limited to the part concerning paragraph (1), item (iv)) apply to machinery and equipment and tools, furniture and fixtures specified in that item that an individual acquires or manufactures on or after the Effective Date, and the provisions then in force continue to govern machinery and equipment and tools, furniture and fixtures specified in Article 10-4, paragraph (1), item (iv) of the Former Act on Special Measures Concerning Taxation that an individual acquired or manufactured before the Effective Date.

②The provisions of Article 10-4 of the New Act on Special Measures Concerning Taxation (limited to the part concerning paragraph (1), item (v)) apply to depreciable assets specified in that item that an individual acquires or manufactures on or after the Effective Date.

With regard to income tax in the case where an individual has provided information infrastructure enhancement equipment, etc. prescribed in Article 10-6, paragraph (1) of the Former Act on Special Measures Concerning Taxation that the individual acquired or manufactured before the Effective Date for use in a business conducted by the individual prescribed in that paragraph, the provisions of that Article remain in force. In this case, the phrase ", the balance remaining after deducting that amount" in paragraph (4) of that Article is deemed to be replaced with ", the balance remaining after deducting that amount, and in the case where there is an amount to be deducted from the amount of income tax on the amount of gross income for that year pursuant to the provisions of Article 10-4, paragraph (3) (limited to the part concerning paragraph (1), item (v) of that Article) of the Act on Special Measures Concerning Taxation as amended by Article 18 of the Act Partially Amending the Income Tax Act, etc. (Act No. 6 of 2010), the balance remaining after deducting the amount calculated by multiplying the maximum tax credit prescribed in paragraph (3) of that Article under the provisions of that paragraph by the ratio of the total acquisition cost of the information infrastructure enhancement equipment, etc. prescribed in paragraph (1) of that Article provided for use in that business in that year to the total acquisition cost of the applicable business base strengthening equipment, etc. prescribed in paragraph (4) of that Article provided for use in that business in that year.", and the phrase "and Article 10-6, paragraph (3) of the Act on Special Measures Concerning Taxation" in paragraph (10) of that Article is deemed to be replaced with "and Article 10-6, paragraph (3) of the Act on Special Measures Concerning Taxation prior to the amendment by Article 18 of the Act Partially Amending the Income Tax Act, etc. (Act No. 6 of 2010), which remains in force pursuant to the provisions of Article 55 of the Supplementary Provisions of that Act".