Supplementary Provisions, Article 3Transitional Provisions on Non-taxable Income

①The provisions of Article 2 of the New Regulation (Procedures, etc. for Not Being Taxed on Interest, etc. on Deposits and Savings of Children or Students) apply to the deposits and similar savings prescribed in that Article for which the placement prescribed in that Article was made on or after April 1, 1965 (hereinafter referred to as "the Effective Date").

②Where a child or student of a school prescribed in Article 9, paragraph (1), item (ii) (Non-taxable Income) of the Act holds, as of the enforcement of the Act, deposits or jointly managed trusts set forth in Article 6-2, paragraph (1), item (i) or (ii) (Exemption from Taxation of Interest Income on Small-Amount Deposits, etc.) of the Former Income Tax Act (Act No. 27 of 1947) that were placed or entrusted prior to the Effective Date and that satisfy the requirements prescribed in that Article and in Articles 4-20, 4-21, 4-23, and 4-25 (Statement of Tax-Exempt Savings, etc. in the Name of a Representative) of the Former Regulation for Enforcement of the Income Tax Act (Imperial Ordinance No. 110 of 1947), those deposits or jointly managed trusts are deemed to have been placed or entrusted, pursuant to the provisions of Article 2, paragraph (1) of the New Regulation, by submitting the documents prescribed in that paragraph.