Bandai Namco faces tax reassessment, plans appeal

Bandai Namco Holdings (TSE:7832) announced that it has received a tax reassessment notice from the Tokyo Regional Taxation Bureau following a regular tax audit covering fiscal years ending March 2021 to March 2023. The company estimates the additional tax, including local taxes, to be approximately JPY6.997 billion. The reassessment centers on issues including the treatment of tax credits for research and development expenses in the Digital business, similar to a previously litigated case, tax treatment in the Toys and Hobby business, and transfer pricing taxation between Japan and France within the Digital business.