①The provisions of Article 41-19 of the New Act on Special Measures Concerning Taxation (excluding the part concerning paragraph (1), item (ii)) apply to income tax for 2021 and subsequent years, and the provisions then in force continue to govern income tax for 2020 and prior years.

②The provisions of Article 41-19 of the New Act on Special Measures Concerning Taxation (limited to the part concerning paragraph (1), item (ii)) apply to specified new shares specified in that item that an individual acquires by payment on or after the Effective Date.

③Notwithstanding the provisions of paragraph (1), with regard to the application of the provisions of Article 41-19 of the New Act on Special Measures Concerning Taxation in the case where a resident or a nonresident who has a permanent establishment acquires by payment, on or after January 1, 2021, shares issued by a domestic corporation that is a designated company prescribed in Article 57-2, paragraph (1) of the Act on Special Measures for the Promotion and Development of Okinawa (Act No. 14 of 2002) and that received the designation under that paragraph during the period from April 1, 2014 to March 31, 2021, and holds those shares on December 31 of that year (or, if the person dies or makes a departure from Japan prescribed in Article 2, paragraph (1), item (xlii) of the Income Tax Act during the year, at the time of that death or departure), the phrase "8,000,000 yen" in paragraph (1) of that Article is deemed to be replaced with "10,000,000 yen".

The provisions of Article 41-19-4, paragraphs (13) and (14) of the New Act on Special Measures Concerning Taxation apply to transfers of assets prescribed in paragraph (13) of that Article that an individual makes on or after the Effective Date, and the provisions then in force continue to govern transfers of assets prescribed in Article 41-19-4, paragraph (13) of the Former Act on Special Measures Concerning Taxation that an individual made before the Effective Date.

The provisions of Article 40-3-3, paragraphs (16) and (19) of the New Act on Special Measures Concerning Taxation as applied mutatis mutandis pursuant to Article 41-19-5, paragraph (13) of the New Act on Special Measures Concerning Taxation apply to income tax for which the time limit or date specified in the items of paragraph (16) of that Article arrives on or after the Effective Date, and the provisions then in force continue to govern income tax for which the time limit or date specified in the items of Article 40-3-3, paragraph (16) of the Former Act on Special Measures Concerning Taxation as applied mutatis mutandis pursuant to Article 41-19-5, paragraph (13) of the Former Act on Special Measures Concerning Taxation arrived before the Effective Date.

The provisions of Article 42 of the New Act on Special Measures Concerning Taxation apply to interest prescribed in paragraph (1) of that Article on margin prescribed in Article 42, paragraph (1) or (2) of the New Act on Special Measures Concerning Taxation that a foreign financial institution, etc. (meaning a foreign financial institution, etc. prescribed in Article 42, paragraph (4), item (i) of the Act on Special Measures Concerning Taxation; hereinafter the same applies in this Article) or a foreign financial instruments clearing organization (meaning a foreign financial instruments clearing organization prescribed in item (v) of that paragraph; hereinafter the same applies in this Article) is to receive on or after the date specified in Article 1, item (x) of the Supplementary Provisions, and the provisions then in force continue to govern interest prescribed in paragraph (1) of that Article on margin prescribed in Article 42, paragraph (1) or (2) of the Former Act on Special Measures Concerning Taxation that a foreign financial institution, etc. or a foreign financial instruments clearing organization was to receive before that date.

Except as otherwise provided, the provisions of Chapter III of the New Act on Special Measures Concerning Taxation apply to corporation tax for business years of a corporation (including an association or foundation without juridical personality prescribed in Article 2, paragraph (2), item (ii) of the Act on Special Measures Concerning Taxation; hereinafter the same applies up to Article 91 of the Supplementary Provisions) beginning on or after the Effective Date, and to corporation tax for consolidated business years (meaning the consolidated business years prescribed in Article 2, paragraph (2), item (xix) of the Former Act on Special Measures Concerning Taxation; hereinafter the same applies up to Article 107 of the Supplementary Provisions) for which the consolidated parent corporation business year (meaning the consolidated parent corporation business year prescribed in Article 15-2, paragraph (1) of the Former Corporation Tax Act; hereinafter the same applies in this Article) of a consolidated parent corporation (meaning a consolidated parent corporation prescribed in Article 2, paragraph (2), item (x)-4 of the Former Act on Special Measures Concerning Taxation; hereinafter the same applies up to Article 105 of the Supplementary Provisions) or of a consolidated subsidiary corporation (meaning a consolidated subsidiary corporation prescribed in item (x)-5 of that paragraph; hereinafter the same applies up to Article 105 of the Supplementary Provisions) that has a consolidated full controlling interest (meaning a consolidated full controlling interest prescribed in item (x)-7 of that paragraph; hereinafter the same applies up to Article 105 of the Supplementary Provisions) with that consolidated parent corporation begins on or after the Effective Date, and the provisions then in force continue to govern corporation tax for business years of a corporation that began before the Effective Date and corporation tax for consolidated business years for which the consolidated parent corporation business year of a consolidated parent corporation or of a consolidated subsidiary corporation that has a consolidated full controlling interest with that consolidated parent corporation began before the Effective Date.

With regard to the application of the provisions of Article 42-4, paragraph (8) of the New Act on Special Measures Concerning Taxation during the period from the Effective Date to the day before the date specified in Article 1, item (ix) of the Supplementary Provisions, the phrase ", Article 42-12-5 and Article 42-12-5-2, paragraph (2)" in item (ii), (a) of that paragraph is deemed to be replaced with "and Article 42-12-5".

The provisions of Article 42-5 of the New Act on Special Measures Concerning Taxation apply to advanced energy conservation promotion equipment, etc. prescribed in paragraph (1) of that Article that a corporation acquires, manufactures or constructs on or after the Effective Date, and the provisions then in force continue to govern advanced energy conservation promotion equipment, etc. prescribed in Article 42-5, paragraph (1) of the Former Act on Special Measures Concerning Taxation that a corporation acquired, manufactured or constructed before the Effective Date.

With regard to the application of the provisions of Article 42-10, paragraph (3) of the Former Act on Special Measures Concerning Taxation to assets for development research prescribed in that paragraph that a corporation acquired or manufactured before the Effective Date, the provisions then in force continue to govern.

①The provisions of Article 42-12 of the New Act on Special Measures Concerning Taxation apply to corporation tax for business years of a corporation ending on or after the Effective Date (excluding business years subject to the special provision), and the provisions then in force continue to govern corporation tax for business years of a corporation that ended before the Effective Date (including business years subject to the special provision).

②The term "business years subject to the special provision" referred to in the preceding paragraph means the business years ending on or after the Effective Date of a corporation that obtained the certification referred to in Article 17-2, paragraph (3) of the Local Revitalization Act before the Effective Date (excluding, in the case where that corporation obtains the certification under that paragraph or the certification of a change under paragraph (4) of that Article on or after the Effective Date, the business years ending on or after the day on which it obtains that certification).

③With regard to the application of the provisions of Article 42-12, paragraph (5), item (vii), (b) of the New Act on Special Measures Concerning Taxation during the period from the Effective Date to March 31, 2021 to a corporation that is a small and medium sized business owner prescribed in Article 3, paragraph (1) of the Supplementary Provisions of the Act on the Arrangement of Related Acts to Promote Work Style Reform, the phrase "Article 2, paragraph (1) of the Act on Improvement of Personnel Management and Conversion of Employment Status for Part-Time Workers and Fixed-Term Workers" in (b) of that item is deemed to be replaced with "Article 2 of the Act on Improvement, etc. of Employment Management for Part-Time Workers prior to the amendment by the provisions of Article 7 of the Act on the Arrangement of Related Acts to Promote Work Style Reform, which remains in force pursuant to the provisions of Article 11, paragraph (1) of the Supplementary Provisions of that Act".

The provisions of Article 42-12-2, paragraph (1) of the New Act on Special Measures Concerning Taxation (limited to the part concerning specified donations prescribed in that paragraph) apply to specified donations prescribed in that paragraph that a corporation expends on or after the Effective Date, and the provisions then in force continue to govern specified donations prescribed in Article 42-12-2, paragraph (1) of the Former Act on Special Measures Concerning Taxation that a corporation expended before the Effective Date.

The provisions then in force continue to govern innovative information industry utilization equipment prescribed in Article 42-12-6, paragraph (1) of the Former Act on Special Measures Concerning Taxation that a corporation acquired or manufactured before the Effective Date, and innovative information industry utilization equipment prescribed in that paragraph that a corporation that obtained the certification referred to in Article 22, paragraph (1) of the Act on Special Measures for Productivity Improvement before the Effective Date acquires or manufactures during the period from the Effective Date to March 31, 2021 in order to use it for innovative data industry utilization prescribed in Article 42-12-6, paragraph (1) of the Former Act on Special Measures Concerning Taxation carried out in accordance with the certified innovative data industry utilization plan prescribed in Article 23, paragraph (2) of that Act pertaining to that certification.

①The provisions of Article 43, paragraph (1) of the New Act on Special Measures Concerning Taxation (limited to the part concerning item (i) of the table in that paragraph) apply to specified equipment, etc. prescribed in that paragraph for which a corporation makes an acquisition, etc. (meaning acquisition, manufacture or construction; hereinafter the same applies in this Article) on or after the Effective Date, and the provisions then in force continue to govern specified equipment, etc. prescribed in Article 43, paragraph (1) of the Former Act on Special Measures Concerning Taxation for which a corporation made an acquisition, etc. before the Effective Date.

②The provisions then in force continue to govern buildings, etc. conforming to earthquake-resistance standards prescribed in Article 43-2, paragraph (1) of the Former Act on Special Measures Concerning Taxation that a corporation acquired or constructed on or before the day on which the five years prescribed in that paragraph elapse.

③The provisions then in force continue to govern information distribution facilitation equipment prescribed in Article 44-5, paragraph (1) of the Former Act on Special Measures Concerning Taxation for which a corporation made an acquisition, etc. before the Effective Date.

④With regard to assets for company-led childcare facilities prescribed in Article 47, paragraph (1) of the Former Act on Special Measures Concerning Taxation for which a corporation made an acquisition, etc. before the Effective Date, the provisions of that Article remain in force. In this case, the phrase "consolidated business year" in paragraph (2) of that Article is deemed to be replaced with "consolidated business year prescribed in Article 2, paragraph (2), item (xix) of the Act on Special Measures Concerning Taxation prior to the amendment by the provisions of Article 15 of the Act Partially Amending the Income Tax Act, etc. (Act No. 8 of 2020; hereinafter referred to as the "Amending Act" in this paragraph) (hereinafter referred to as "the Former Act on Special Measures Concerning Taxation" in this paragraph)", and the phrase "Article 68-34, paragraph (1)" with "Article 68-34, paragraph (1) of the Former Act on Special Measures Concerning Taxation, which remains in force pursuant to the provisions of Article 100, paragraph (5) of the Supplementary Provisions of the Amending Act".

⑤With regard to the application of the provisions of Article 52-2 of the New Act on Special Measures Concerning Taxation during the period from the Effective Date to the day before the date specified in Article 1, item (ix) of the Supplementary Provisions, the phrase ", Article 42-12-5-2, paragraph (1) or" in paragraph (1) of that Article is deemed to be replaced with "or".

⑥With regard to the application of the provisions of Article 53 of the New Act on Special Measures Concerning Taxation during the period from the Effective Date to the day before the date specified in Article 1, item (ix) of the Supplementary Provisions, the phrase ", Article 42-12-5-2 or" in paragraph (1), item (ii) of that Article is deemed to be replaced with "or".