Interviews with people involved revealed that an overseas subsidiary of Epic Games, the American game company that provides the world-famous online game Fortnite, was charged an additional tax of approximately 30.35 billion yen due to the Tokyo Regional Taxation Bureau pointing out that it had failed to declare consumption tax of approximately <> billion yen over billing revenue from Japan users.
The omission of the declaration was pointed out by a subsidiary in Luxembourg of Epic Games, an American game company that provides the popular online game "Fortnite" with hundreds of millions of users worldwide.
According to the people involved, this subsidiary distributes "Fortnite" to users in Japan, but the approximately 300 billion yen that users charged for in-game purchases, etc., was originally subject to consumption tax in Japan and was obliged to declare and pay taxes, but it did not do so. It was found out through a tax audit by the Tokyo Regional Taxation Bureau.
The Tokyo Regional Taxation Bureau pointed out that the subsidiary had missed a consumption tax return of approximately 2 billion yen in the three years up to the second year of Reiwa, and levied approximately 3.30 billion yen in additional taxes, including additional tax on underreporting.
According to the officials, "Epic Games" has already filed an amended tax return and paid the additional tax in full.
This is the largest additional tax levy on overseas companies in history.