The National Tax Agency released its annual Tax Audit Overview for the Reiwa 7 fiscal year covering activities conducted in June 2026. The report details the scope, methodology, and outcomes of tax audits across Japan, highlighting a total of 23,456 audits performed on corporate and individual taxpayers. Key focus areas included corporate income tax compliance, consumption tax assessment, and cross‑border transaction verification. Findings revealed that 1,342 cases required additional taxation, resulting in an estimated additional revenue collection of ¥4.2 billion. The agency emphasized improvements in digital audit tools and data analytics, which contributed to a 9 percent increase in audit efficiency compared to the previous fiscal year. The publication also breaks down audit results by sector, noting higher detection rates in the financial services and real‑estate industries. Moreover, the report discusses the implementation of a new risk‑scoring model that prioritizes audits based on anomaly detection, aiming to enhance fairness and reduce taxpayer burden. Overall, the overview underscores the agency’s commitment to strengthening tax compliance while streamlining administrative processes through technology integration.