Ufotable tax evasion charges; anime studio pays back $1.28 million

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Tokyo Regional Taxation Bureau has filed a complaint accusing studio Ufotable, behind smash hit animes Fate/stay night and Demon Slayer, of tax evasion. The company and its president, Hikaru Kondo, are accused of violating the Corporation Tax Act and Consumption Tax Act.

Ufotable studio and president accused of tax evasion

After a lengthy investigation, the Tokyo District Public Prosecutors Office has charged both Ufotable and president with tax evasion. Kondo was allegedly tucking around 30% of proceeds from company-owned restaurants in Tokyo in a safe in his own home on a regular basis.

Falsely recorded lower proceeds

Allegedly, Kondo falsely recorded lower proceeds and then concealed income in 2015, 2017, and 2018. This adds up to about 446 million yen. Leaving Ufotable and Kondo accused of evading payments of 110 million yen in corporate tax and 29 million yen in consumption tax. He also reportedly used the extra money he was taking to help fund other corporate projects.

President Hikaru Kondo apologizes

Both Ufotable and Kondo issued apologies for the tax evasion. Ufotable made a post on their website that acknowledges the accusations of the investigation. They also say that they will be complying with the laws and regulations from here on out.

Kondo provided his apology through his lawyer, “I have already filed revised tax reports and paid the full amount. I apologize for inconveniencing anime fans and related parties. I will strive to enforce proper management by following the law in order to prepare an environment for creating better works.”