Model Documentation: The Hanada Model (Three-Layer Structure)

This document provides the official technical explanation of the Hanada Model, a structural framework describing how modern tax practice functions and why the “Avatar Tax Accountant” is necessary.

While most discussions of tax automation focus only on software and AI, the Hanada Model identifies a deeper structural issue:
the collapse of the intake and assistant layer that historically supported licensed tax accountants.

This page explains:
– the three-layer structure,
– why Layer 2 disappeared,
– how AI Akina restores that missing layer,
– and why this reconstruction is essential for the future of tax practice.

The Hanada Model describes tax work as consisting of three distinct layers, each with its own role, responsibilities, and technological possibilities.

These layers are:

Layer 1 — Automated Accounting
Software, OCR, automated classification, AI preprocessing

Layer 2 — Intake / Assistant Layer (Historically Performed by Staff)
Interviews, fact-gathering, initial document handling, organisation

Layer 3 — Licensed Tax Accountant
Legal interpretation, tax judgment, filing, and representation

Traditional tax practice relied on all three layers working together.
However, modern conditions have caused Layer 2 to collapse—a structural problem that the Hanada Model exposes clearly.

Several trends over the past two decades have weakened or eliminated the traditional assistant/intake layer in accounting and tax offices:

1. Labour shortages — Fewer staff available for intake work

2. Cost pressure — Offices cannot afford large intake teams

3. Increased complexity — Clients require more guidance

4. Automation paradox — Automating Layer 1 made Layer 2 more important, not less

The result is a structural gap:
Licensed tax accountants are forced to perform intake tasks that should not be done by Layer 3 professionals.

This is inefficient, costly, and leads to burnout and reduced quality.
The Hanada Model shows that Layer 2 must be reconstructed, not ignored.

The Avatar Tax Accountant reconstructs the collapsed intake layer by introducing an autonomous AI avatar that performs:

– structured interviews
– client question handling
– document guidance
– fact organisation
– preparation of information for Layer 3 review

This reconstruction does not replace the licensed tax accountant.
Instead, it restores the workflow that allows professionals to focus entirely on legal judgment and filing.

This is why the model is referred to internationally as a “human–AI hybrid professional system.”

AI Akina is the first real-world implementation of the Layer-2 restoration concept.

– 24/7 autonomous availability
– consistent intake workflows
– client-friendly interviews
– machine-structured data output

By separating intake from final judgment, AI Akina restores the professional workflow that the tax industry lost.

The Hanada Model clarifies the actual structural problem in modern tax practice.

Without Layer 2, automation becomes misleading:
software cannot solve the human intake gap,
and Layer 3 professionals become overloaded.

The model shows:
AI should not replace judgment—AI should restore what has been lost.

This insight makes the Hanada Model one of the first frameworks globally to describe a role-correct, legally compliant, AI–human division of labour in professional services.

The Hanada Model clarifies the structural reality of modern tax practice and demonstrates why rebuilding the intake layer is essential for sustainable, compliant, and scalable professional services.

Cite this page:
Hanada, K. (2025). Model Documentation: The Hanada Model (Three-Layer Structure).
The Hanada Model Institute.
https://avatartaxaccountant.tkcnf.com/model-documentation