Article: Takeda Pharmaceutical fails to declare 122.3 bil. yen in income.

Jun. 28--OSAKA -- Takeda Pharmaceutical Co. said Wednesday it failed to declare 122.3 billion yen in taxable income over six years to March 2005.

Authorities imposed back taxes worth 57 billion yen under a transfer taxation system but Takeda plans to file an objection against the measure, Takeda officials said.

The unreported sum was the largest of its kind under the transfer taxation system, which was introduced in 1986 to prevent adjustment of profit between a parent and an overseas subsidiary.

The focus of the disciplinary measure was profit allegedly allocated between Takeda and a joint venture with a U.S. company, the officials said.

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