Article 1.　In the case where the properties of a prefecture are transferred to an agricultural cooperative association or a federation of agricultural cooperative associations engaging in livestock industry in accordance with the provisions of Article 37, paragraph 3 of the Horse Racing Law (Law No.158 of 1948) or where properties are transferred to an agricultural cooperative association engaging in livestock industry from a horse owners'association which has the area of a gun or a city under its jurisdiction in accordance with the provisions of Article 4 of the Law concerning Dissolution of Horse Owners'Association and Others (Law No.166 of 1948), local public entities shall not impose local taxes upon the transfer of the said properties.

Article 2.　In the case where an agricultural cooperative association or a federation of agricultural cooperative associations engaging in livestock industry succeeds to the rights of a prefecture on immovables or ships in accordance with the provisions of Article 37, paragraph 3 of the Horse Racing Law or where an agricultural cooperative association engaging in livestock industry succeeds to the rights on immovables or ships of a horse owners'association which has the area of a gun or a city under its jurisdiction in accordance with the provisions of Article 4 of the Law concerning Dissolution of Horse Owners'Association and Others, the value of the said immovables or ships, when registration is to be effected to that effect with regard to the acquisition of the rights on the same, shall, in the case when an agricultural cooperative association or a federation of agricultural cooperative associations engaging in livestock industry succeeds to the rights concerned of a prefecture, be the book value at the time immediately prior to the time when the federation of horse owners'associations (inclusive of horse owners'association which has the area of a prefecture under its jurisdiction) transferred such properties to the prefecture concerned in accordance with the provisions of Article 37, paragraph 2 of the Horse Racing Law, and in the case where an agricultural cooperative association engaging in livestock industry succeeds to the rights concerned of a horse owners'association which has the area of a gun or a city under its jurisdiction, it shall be the book value at the time immediately prior to the time when such horse owners'association transfers the properties concerned.