Expenses for the procedures under the provisions of Article 120, paragraph (2) (Subrogation for Indorsement of Securities, etc.), and the registration and license tax and other expenses for the registration pertaining to the commission under the provisions of Article 121 (Commission of Registration of Transfer of Rights) are to be borne by the purchaser.

①A pledge, mortgage, statutory lien, or right of retention on property put up for realization, a right pertaining to a provisional registration for security, and a right pertaining to a final registration (including definitive registration) that is based on a provisional registration for security and was made after the seizure of that property are extinguished when the purchaser pays the purchase price. The same applies, in the case where delinquent tax collection procedures have been executed against property transferred as security pursuant to the provisions of Article 24 (Liability in Rem for Tax of a Holder of Property Transferred as Security), and there is a provisional registration of a reservation of repurchase made by the delinquent taxpayer, to the claim preserved by that provisional registration.

②If, when realizing real property, a ship, an aircraft, a motor vehicle, or construction machinery, all of the following items apply, the district director may have the purchaser assume the burden relating to a pledge, mortgage, or statutory lien on that property (limited to those that have been registered; the same applies hereinafter in this Article). In this case, the provisions of the preceding paragraph do not apply to the pledge, mortgage, or statutory lien so assumed.

When commissioning the registration of transfer of a right pursuant to the provisions of Article 121 (Commission of Registration of Transfer of Rights), if there is a registration pertaining to a right that is extinguished upon realization, the district director must also commission the relevant authority to cancel it.

The provisions of Article 568 (Warranty in Cases of Auctions) of the Civil Code apply mutatis mutandis to the case of realization of seized property, etc.

①If land and a building or standing trees on it (hereinafter in this Article referred to as "buildings, etc.") are owned by a delinquent taxpayer, and the land or the buildings, etc. are seized and, as a result of their realization, they come to have different owners, it is deemed that a superficies right has been established with respect to those buildings, etc.

②The provisions of the preceding paragraph apply mutatis mutandis where a superficies right and the buildings, etc. on the land that is the subject of that right belong to a delinquent taxpayer. In this case, the phrase "a superficies right has been established" in that paragraph is deemed to be replaced with "a lease of the land has been made within the duration of the superficies right".

③In the cases referred to in the preceding two paragraphs, the duration and the ground rent of the right are to be determined by the court at the request of the parties.

①The district director must distribute the following money as provided for in this Section:

②If seized property, etc. (meaning the seized property, etc. prescribed in Article 89, paragraph (1); the same applies hereinafter in this paragraph) is put up for public sale or sold by private contract in a lump pursuant to the provisions of Article 89, paragraph (3) (Scope of Property to Be Realized, etc.), and it is necessary to determine the amount of the proceeds of the sale set out in item (i) of the preceding paragraph for each item of seized property, etc., that amount is to be the amount obtained by apportioning the total proceeds of the sale in accordance with the estimated value of each item of seized property, etc. The same applies to the bearing of the expenses for the delinquent tax collection procedure for each item of seized property, etc.

①The money set out in paragraph (1), item (i) or (ii) of the preceding Article (hereinafter referred to as "proceeds of realization, etc.") is to be distributed to the following national taxes and other claims:

②The money set out in paragraph (1), item (iii) or (iv) of the preceding Article is to be applied, respectively, to the national tax relating to the seizure or the request for share distribution.

③If there is a remainder of the money distributed pursuant to the provisions of the preceding two paragraphs, the remainder is to be delivered to the delinquent taxpayer.

④With respect to the distribution to a claim secured by a provisional registration for security where there is such a provisional registration on the property put up for realization, the provisions of Article 13 (Right to Claim Preferential Payment) of the Act on Contract for Establishment of Security Interests by Use of Provisional Registration (including as applied mutatis mutandis pursuant to Article 20 of that Act (Application Mutatis Mutandis to Contracts Whose Object Is a Right Other Than Ownership of Land, etc.)) apply mutatis mutandis.

⑤If the proceeds of realization, etc. are insufficient for the total amount of the national taxes and other claims set out in the items of paragraph (1), the district director must determine the order and amounts of distribution in accordance with the provisions of Chapter II (Coordination between National Tax and Other Claims), Article 59, paragraph (1), second sentence, and paragraphs (3) and (4) (including as applied mutatis mutandis pursuant to Article 71, paragraph (4)), the preceding paragraph, and the Civil Code and other Acts, and make the distribution.

⑥If money distributed to national tax pursuant to the provisions of paragraph (1) or (2) is to be applied to national tax (excluding accessory tax; the same applies hereinafter in this paragraph) and to the delinquent tax or interest tax on it, that money must first be applied to that national tax.

①A person who collects the national tax, local tax or public charge set out in paragraph (1), item (ii) of the preceding Article and a person who holds a claim set out in item (iii) or (iv) of that paragraph must submit a written statement of the current amount of claims to the district director by the day before the day of the decision to sell.

②The district director is to investigate the written statement of the current amount of claims under the preceding paragraph and confirm the national taxes and other claims set out in the items of paragraph (1) of the preceding Article. In this case, if a person who holds a claim set out in the following items does not submit a written statement of the current amount of claims, the district director is to confirm the amount through the district director's own investigation.

③If a person who holds a claim set out in paragraph (1), item (iii) of the preceding Article, other than the claims set out in items (i) and (ii) of the preceding paragraph, does not submit a written statement of the current amount of claims by the time of the decision to sell, that person cannot receive distribution.

When the district director intends to make a distribution pursuant to the provisions of Article 129 (Principles of Distribution), the district director must prepare, as provided by Cabinet Order, a statement of distribution stating the claims to receive distribution, the amount confirmed by the district director pursuant to the provisions of paragraph (2) of the preceding Article, and other necessary matters, and within three days from the date of payment of the purchase price for the property put up for realization, send a certified copy of it for delivery to the following persons:

①When delivering a certified copy of the statement of distribution pursuant to the provisions of the preceding Article, the district director must give notice by appending the date of delivery of the proceeds of realization, etc. to that certified copy.

②The date of delivery of the proceeds of realization, etc. under the preceding paragraph must be the day on which seven days have elapsed counting from the day on which the certified copy of the statement of distribution was sent for delivery; however, if none of the persons who hold the claims set out in Article 129, paragraph (1), item (iii) or (iv) (Claims Receiving Distribution) falls under the persons set out in item (i) or (ii) of the preceding Article, that period may be shortened.