Article 61-3Inclusion of Valuation Gains or Losses on Securities for Buying and Selling in Gross Profits or Deductible Expenses
第六十一条の三（売買目的有価証券の評価益又は評価損の益金又は損金算入等）
With regard to securities held by a domestic corporation as of the end of a business year, the amounts prescribed in the following items, in accordance with the category of the securities listed as follows, are to be their fair value at that time:
Securities for Buying and Selling (meaning the securities specified by Cabinet Order as those acquired for the purpose of profit from short-term price fluctuations; hereinafter the same applies through paragraph (3)): the amount evaluated by the fair value method (meaning the method by categorizing securities held as of the end of a business year by issue and calculating the current value of securities of the same issue as specified by Cabinet Order, and thereby deeming the calculated amount to be their fair value at that time) with regard to the securities for Buying and Selling (referred to as the "fair value" in the following paragraph); or
securities not for buying and selling (meaning securities other than securities for buying and selling):The amount evaluated by the cost method (meaning the method deeming that the book value of the securities held as of the end of a business year (hereinafter referred to as "securities held at the end of the period" in this item) at that time (with regard to securities with provisions concerning the redemption date and redemption price, the amount adding or subtracting the portion of the difference between the book value and the redemption price that is to be allotted to the business year, as specified by Cabinet Order) to be the fair value at that time of the securities held at the end of the period).
In the case where a domestic corporation holds securities for Buying and Selling as of the end of a business year, the valuation gain therefrom (meaning, in the case where the fair value of the securities for Buying and Selling exceeds their book value at that time (hereinafter referred to as the "book value at the end of the period" in this paragraph), the amount of the excess; the same applies in the following paragraph) or a valuation loss therefrom (meaning, in the case where the book value at the end of the period of the securities for Buying and Selling exceeds their fair value, the amount of the excess; the same applies in the following paragraph) is included in gross profits or deductible expenses, when calculating the amount of income for the business year, notwithstanding the provisions of Article 25, paragraph (1) (Exclusion of Asset Valuation Gains from Gross Profits) or Article 33, paragraph (1) (Exclusion of Valuation Loss on Assets from Deductible Expenses).
内国法人が事業年度終了の時において売買目的有価証券を有する場合には、当該売買目的有価証券に係る評価益（当該売買目的有価証券の時価評価金額が当該売買目的有価証券のその時における帳簿価額（以下この項において「期末帳簿価額」という。）を超える場合におけるその超える部分の金額をいう。次項において同じ。）又は評価損（当該売買目的有価証券の期末帳簿価額が当該売買目的有価証券の時価評価金額を超える場合におけるその超える部分の金額をいう。次項において同じ。）は、第二十五条第一項（資産の評価益の益金不算入）又は第三十三条第一項（資産の評価損の損金不算入）の規定にかかわらず、当該事業年度の所得の金額の計算上、益金の額又は損金の額に算入する。
In the case where a domestic corporation transfers securities for Buying and Selling to a succeeding corporation in a company split, corporation receiving a capital contribution in kind or corporation receiving a distribution in kind as a result of a qualified company split, qualified capital contribution in kind or qualified in-kind distribution (for a qualified in-kind distribution, excluding a distribution of all residual assets; hereinafter referred to as a "qualified company split, etc." in this paragraph), the amount equivalent to the valuation gain or valuation loss on the securities for Buying and Selling that would be calculated under the provisions of the preceding paragraph if the day preceding the date of the qualified company split, etc. were the last day of the business year is included in gross profits or deductible expenses, when calculating the amount of income for the business year containing the date of the qualified company split, etc., notwithstanding the provisions of Article 25, paragraph (1) or Article 33, paragraph (1).
Disposition of valuation gain or loss prescribed in paragraph (2) in the following business year, and other necessary matters concerning the application of the provisions of the preceding three paragraphs are specified by Cabinet Order.
Read this with the articles around it
In the case where a domestic corporation has revaluated its assets to increase their book value, the amount of the increase is excluded from gross profits…
内国法人がその有する資産の評価換えをしてその帳簿価額を増額した場合には、その増額した部分の金額は、その内国法人の各事業年度の所得の金額の計算上、益金の額に算入しない。
Open this provisionIn the case where a domestic corporation has revaluated its assets to reduce their book value, the amount of the reduction is excluded from deductible expenses…
内国法人がその有する資産の評価換えをしてその帳簿価額を減額した場合には、その減額した部分の金額は、その内国法人の各事業年度の所得の金額の計算上、損金の額に算入しない。
Open this provision(Inclusion of Valuation Gains or Losses on Securities for Buying and Selling in Gross Profits or Deductible Expenses)
With regard to securities held by a domestic corporation as of the end of a business year, the amounts prescribed in the following items, in accordance with the category of the securities listed as…
内国法人が事業年度終了の時において有する有価証券については、次の各号に掲げる有価証券の区分に応じ当該各号に定める金額をもつて、その時における評価額とする。
Open this provision(Inclusion of Valuation Gains or Losses on Securities for Buying and Selling in Gross Profits or Deductible Expenses)
securities not for buying and selling (meaning securities other than securities for buying and selling):The amount evaluated by the cost method…
売買目的外有価証券（売買目的有価証券以外の有価証券をいう。） 当該売買目的外有価証券を原価法（事業年度終了の時において有する有価証券（以下この号において「期末保有有価証券」という。）について、その時における帳簿価額（償還期限及び償還金額の定めのある有価証券にあつては、政令で定めるところにより当該帳簿価額と当該償還金額…
Open this provision(Inclusion of Valuation Gains or Losses on Securities for Buying and Selling in Gross Profits or Deductible Expenses)
In the case where a domestic corporation holds securities for Buying and Selling as of the end of a business year, the valuation gain therefrom…
内国法人が事業年度終了の時において売買目的有価証券を有する場合には、当該売買目的有価証券に係る評価益（当該売買目的有価証券の時価評価金額が当該売買目的有価証券のその時における帳簿価額（以下この項において「期末帳簿価額」という。）を超える場合におけるその超える部分の金額をいう。次項において同じ。）又は評価損（当該売買目…
Open this provision(Inclusion of Valuation Gains or Losses on Securities for Buying and Selling in Gross Profits or Deductible Expenses)
In the case where a domestic corporation transfers securities for Buying and Selling to a succeeding corporation in a company split, corporation receiving a capital contribution in kind or…
内国法人が適格分割、適格現物出資又は適格現物分配（適格現物分配にあつては、残余財産の全部の分配を除く。以下この項において「適格分割等」という。）により分割承継法人、被現物出資法人又は被現物分配法人に売買目的有価証券を移転する場合には…
Open this provisiondomestic corporation
「内国法人」
A corporation whose head office or principal office is in Japan.
Defined inArticle 2, paragraph (1), item (iii)· applies throughout the law
succeeding corporation in a company splitmachine translation
「分割承継法人」
A corporation that receives assets or liabilities from a splitting corporation (分割法人) in a company split.
Defined inArticle 2, paragraph (1), item (xii-3)· applies throughout the law
corporation receiving a capital contribution in kind
「被現物出資法人」
A corporation that received assets, or assets together with liabilities, from a corporation making a capital contribution in kind (現物出資法人) by a capital contribution in kind (現物出資).
Defined inArticle 2, paragraph (1), item (xii-5)· applies throughout the law
corporation receiving a distribution in kindmachine translation
「被現物分配法人」
A corporation that received assets from a corporation making a distribution in kind (現物分配法人) by a distribution in kind (現物分配).
Defined inArticle 2, paragraph (1), item (xii-5-3)· applies throughout the law
qualified company splitmachine translation
「適格分割」
A company split (分割) of one of the kinds Article 2, item (xii)-11 lists — such as one between corporations in a full controlling interest (完全支配関係) or similar relationship, one between corporations in a controlling interest (支配関係) in which the split business's main assets, employees and operations carry over, one for running a business jointly, or one to run a business independently in a new corporation — in which nothing but shares of the succeeding corporation or of its wholly owning parent is given as consideration, and, in a company split by split-off (分割型分割), the shares are given in proportion to the shareholdings in the splitting corporation.
Defined inArticle 2, paragraph (1), item (xii-11)· applies throughout the law
qualified capital contribution in kindmachine translation
「適格現物出資」
A capital contribution in kind (現物出資) of one of the kinds Article 2, item (xii)-14 lists — such as one between corporations in a full controlling interest (完全支配関係) or similar relationship, one between corporations in a controlling interest (支配関係) in which the main assets, employees and business carry over, or one for running a business jointly — other than contributions the item excludes, such as moving real estate in Japan or other domestic assets to a foreign corporation.
Defined inArticle 2, paragraph (1), item (xii-14)· applies throughout the law
qualified in-kind distributionmachine translation
「適格現物分配」
A distribution in kind (現物分配) by a domestic corporation in which the only recipients of the assets are domestic ordinary corporations (普通法人) or cooperatives (協同組合等) that were in a full controlling interest (完全支配関係) with it immediately before the distribution.
Defined inArticle 2, paragraph (1), item (xii-15)· applies throughout the law
securities
「有価証券」
Securities as defined in Article 2, paragraph (1) of the Financial Instruments and Exchange Act and similar instruments a Cabinet Order (政令) specifies, other than a corporation's own shares or capital contributions that it holds and instruments related to derivative transactions (デリバティブ取引) under Article 61-5, paragraph (1).
Defined inArticle 2, paragraph (1), item (xxi)· applies throughout the law
business yearmachine translation
「事業年度」
In this Act, the period that is the unit for calculating a corporation's assets and profits and losses — its accounting period (会計期間) set by law or by its articles of incorporation or similar rules (定款等), or, where none is set, the period it notified to the district tax office, the one the office designated or the one Article 13, paragraph (4) provides — divided into one-year periods from its first day where it is longer than a year.
Defined inArticle 13, paragraph (1)· applies throughout the law
securities for buying and sellingmachine translation
「売買目的有価証券」
Securities a Cabinet Order (政令) specifies as acquired to make a profit from short-term price movements; at the end of each business year they are valued at market value (時価法).
Defined inArticle 61-3, paragraph (1), item (i)· applies only in this provision and in Article 61-3, paragraphs (1) to (3)
fair valuemachine translation
「時価評価金額」
In Article 61-3, the value of securities for buying and selling (売買目的有価証券) at the end of a business year under the fair value method (時価法): each issue valued at its price at that time, calculated as a Cabinet Order (政令) specifies.
Short name set inArticle 61-3, paragraph (1), item (i)· applies only in this provision and in Article 61-3, paragraph (2)
securities held at the end of the period
「期末保有有価証券」
In Article 61-3, paragraph (1), item (ii), the securities a domestic corporation holds at the end of a business year, which the cost method (原価法) values at their book value at that time, adjusted for securities with a set redemption date and amount as a Cabinet Order (政令) specifies.
Short name set inArticle 61-3, paragraph (1), item (ii)· applies only in this item
book value at the end of the periodmachine translation
「期末帳簿価額」
In Article 61-3, paragraph (2), the book value of a domestic corporation's securities for buying and selling (売買目的有価証券) at the end of a business year, compared with their fair value amount (時価評価金額) to find a valuation gain or loss.
Short name set inArticle 61-3, paragraph (2)· applies only in this paragraph
valuation lossmachine translation
「評価損」
In Article 61-3(2) and (3), the amount by which the book value of securities held for trading (売買目的有価証券) at the end of the business year exceeds their fair value (時価評価金額); it is counted in deductible expenses (損金の額) for that year.
Defined inArticle 61-3, paragraph (2)· applies only in this provision and in Article 61-3, paragraph (3)
valuation gainmachine translation
「評価益」
In Article 61-3(2) and (3), the amount by which the fair value (時価評価金額) of securities held for trading (売買目的有価証券) at the end of the business year exceeds their book value at that time; it is counted in gross profits (益金の額) for that year.
Defined inArticle 61-3, paragraph (2)· applies only in this provision and in Article 61-3, paragraph (3)
qualified company split, etc.machine translation
「適格分割等」
In Article 61-3(3), a qualified company split (適格分割), qualified capital contribution in kind (適格現物出資) or qualified in-kind distribution (適格現物分配), but not a qualified in-kind distribution of all residual assets (残余財産).
Short name set inArticle 61-3, paragraph (3)· applies only in this paragraph