TOKYO (TR) – Tax authorities announced on Tuesday the citation of adult-entertainment clubs in the Omiya Kita Ginza pleasure quarter of Saitama City for the improper filing of tax documents, reports Nikkan Sports (Feb. 5).
According to the Kanto Regional Taxation Bureau, 22 soapland bathhouses and various other sex-related clubs, located near the East Exit of JR Omiya Station, concealed income of 400 million yen over a five-year period ending in 2010. Tax penalties totaling 100 million yen will be imposed and re-filing of statements is required.
The targeted clubs maintained two tax records, with the one shown to tax authorities containing significantly lower income figures.
An employee at a club identified as having concealed 100 million yen in revenue refused to offer comment on the matter.