InuYasha the Movie 2: The Castle Beyond the Looking Glass

is the second movie of the InuYasha series.

It was released in Japan on December 21, 2002 (between episodes 95 & 96), and in the United States on December 28, 2004. In this film, the character designs are virtually identical to the Rumiko Takahashi versions from the original manga (rather than using the Yoshihito Hishinuma designs from the TV anime).

An additional title is Phantom Castle Beyond the Mirror.

Story
The story begins on the night of the new moon, Inuyasha looked at the mirror still human as Myōga tells him if he goes out, Naraku will find out that he lose his demonic powers on the night of the new moon before he fell into the crack. Kagome is all set and ready as Inuyasha tells her to be careful, she look around but it seems too quiet. Here comes Naraku as Sango engaged as she tells her father and Kohaku that she'll get revenge for their village tonight, as Kirara attack him, he uses miasma. She tells Miroku that he's coming his way, he used his Wind Tunnel on Naraku as he launch Saimyōshō. As Naraku choked Miroku's neck, Kagome shoots the sacred arrow, as Naraku transformed Shippō saved Kagome, as their shocked of Naraku's true form, they'll do it without Inuyasha, Naraku has a strong barrier. Kagome felt amazed of Shippō's transformation to Pteranodon before runs away from miasma, Miroku plans to stop Naraku to hit his legs before he rubs Sango's butt. Inuyasha can't stand it before he smash Myōga as he tries to stop him, and Naraku smash an old house. As the sun rose as the night of the new moon ends, Inuyasha was back to normal as he tells Naraku that he's sorry to keep him waiting. As the battle continues, Kagome saw a shard of the Shikon Jewel on Naraku's back leads to the defeat of Naraku by Inuyasha, Kagome, Miroku and their friends, as Kikyō and Sesshōmaru sensed, then Kagura's heart beating as Kanna felt that Naraku is dead, and Kohaku sensed as he said, "My sister, Sango". There is some initial doubt as to whether Naraku is truly dead until it is revealed that the Wind Tunnel in Miroku's right hand is gone and Kagura's heart is in her body again.

Kagome, Sango, and Shippō relax in a hot spring. Akitoki Hōjō shows up, who is quite confused as to how he can get to Mount Fuji because it's dark. He notices the three bathing, but is caught by Miroku. Sango then notices Miroku and mistakes that he is peeping on them before she manages to throw a huge boulder on him. Inuyasha hears the noise and comes running, Tessaiga drawn. However, Kagome, who is really afraid that Inuyasha will see her naked yet again, orders him to sit, who promptly falls on the three. As Akitoki crawls away, contemplating his luck, Inuyasha and Kagome are once again in a fierce debate. Soon after this, the group disbands with Inuyasha, Kagome and Shippō pairing off to pursue the remaining shards of the Shikon no Tama, Miroku returning to his master, and Sango returning to her village to search for Kohaku.

Kagome briefly returns to her time period to catch up in school and happens to be learning about the legend of Princess Kaguya. Kaguya was a maiden from the moon, found by a bamboo cutter in the forest. As suitors proposed to her, Kaguya presented to them impossible tasks before returning to the moon. Kagura and Kanna, the two surviving incarnations of Naraku, are somewhat restless now that Naraku is dead. They come across a mirror in a hidden shrine and awaken a maiden who declares herself Kaguya, Princess of the Heavens. In exchange for freeing her, Kaguya promises to give Kagura her true heart's desire; freedom. Kagura and Kanna set out to recover five items that will free Kaguya from her mirror completely.

Kohaku has returned to Sango's village without any memory as to who he is. Miroku's master, Mushin, presents him with a task that is to be given to the surviving descendant who defeats Naraku. Miroku is to destroy a yōkai who threatens to cast the world into eternal night, at which the first sign of the yōkai's appearance for the first time in 50 years is a full moon shining for many nights.

Kagome returns to Inuyasha's time and the two of them, along with Shippō, go to find the remaining shards of the jewel. Inuyasha detects Naraku's presence and runs into Kagura instead. Kagura easily rips the sleeve off of Inuyasha's Robe of the Fire-Rat. She and Kanna are about to take their leave when the moon appears and a poem is said. Kaguya makes her appearance and uses her ability to discern the dark desires of Inuyasha's heart against him. Kagura unleashes her most powerful attack, Dance of the Dragon, and Inuyasha sends it back to her using his Backlash Wave, but is stopped by Kanna who uses her mirror to send the attack back at Inuyasha. Kagome manages to stop Kaguya from inflicting major damage to Inuyasha and the demons leave, with Kaguya noting Kagome has a strange aura about her that does not agree with the flow of time.

Inuyasha and company leave to pursue Kaguya and run into Akitoki Hōjō, the ancestor of Kagome's classmate, who is supposed to dispose a family heirloom (a hagoromo/celestial robe) into Mt. Fuji. He joins them, partly because he has a bit of a crush on Kagome and partly because he is being blackmailed by Shippō for an earlier incident. Meanwhile, Kikyō investigates Naraku's death and has come across a slaughtered village where a dying girl gives her the Stone Begging Bowl of Buddha.

Miroku (with his tanuki servant, Hachiemon) journeys to his grandfather's grave to find the yōkai he is supposed to destroy. He hears the local legend of the celestial maiden, Kaguya. Miroku's grandfather, who one of the most powerful priests in the series, which is evidenced by the fact that he was able to defeat Kaguya alone, sealed her away into a mirror and was unable to kill her due to her beauty and his own lecherous ways. Kaguya's hagoromo was entrusted to a family that was also given specific {C}instructions for disposing of the robe should Kaguya be freed.

Kagura arrives in Sango's village and attacks Kohaku, taking off with the Swallow's Cowrie Shell that was in Kohaku's possession. After Kikyō surrenders the Stone Bowl of Buddha without a fight to Kagura, she and Kanna free Kaguya from her mirror. Kaguya goes to find her hagoromo and runs into Inuyasha and Kagome.

After pinning Inuyasha to a tree, Kagome fires a sacred arrow to kill Kaguya, but she absorbs it and fires it back at Inuyasha. Kagome, instantly in reaction, jumps in front of the arrow and Akitoki quickly throws the hagoromo/celestial robe in between the arrow and Kagome, but Kagome still gets struck by her own arrow; the arrow impaling into her back. She states she is happy that Inuyasha is alright and even smiles despite being greatly wounded. Inuyasha demands why she had to do that and she tiredly says, "It's no big deal. Besides...you're always saving me, aren't you?" before she collapses to the ground seemingly dead. Inuyasha, thinking Kagome is truly dead, goes frantic screaming her name thrashing and fighting against the vines pinning him to the tree. Kaguya chuckles and Inuyasha furiously and savagely threatens Kaguya for killing Kagome. Kaguya then takes Kagome's body and assures Inuyasha that she "won't let Kagome die so easily," and to follow her if he desires. Inuyasha breaks free from the tree and fuming and boiling in anger and fury, begins to do just so, fiercely determined to rescue Kagome.

Kaguya, whose power has increased exponentially now that she has the hagoromo, prepares to freeze time into eternal night. Inuyasha meets up with Miroku and Sango, Kohaku, Kirara and Shippō, who all had survived the time freeze due to Kagome's bandages, which give them immunity (most likely due to absorbing a portion of their owner's spiritual power). They prepare to rescue Kagome and stop Kaguya. Inuyasha (who is also immune to the time stop due to secretly wearing a locket Kagome had given him earlier in the film that he had initially refused) then reclaims his piece of the robe of the fire rat that Kaguya had stolen.

It is then revealed that Kaguya was in fact a demon who absorbed the real Kaguya and taken on her beauty and power. Kaguya then turns Inuyasha into a full demon, but his voice wakes Kagome up and she attempts to stop the transformation by hugging him, saying, "I love you as a half demon, Inuyasha!" Because of that, Inuyasha sees Kagome (in his mind) running toward him. As Inuyasha tries to attack her, Kagome desperately says, "I love you! I love you as a half demon!" This stops Inuyasha from attacking. However, it doesn't work completely and hoping to fully awaken Inuyasha's human spirit, Kagome kisses him. Shippō, seeing this, becomes embarrassed and hides. Kaguya orders Inuyasha to kill Kagome. During their embrace, Kagome mentally asks Inuyasha, "Inuyasha, you want to be with me, don't you?" While she thinks this, a tear rolls down her cheek. Her attempt to stop the transformation works and as Inuyasha and Kagome kiss, Kaguya's mirror cracks, returning Inuyasha to his half demon/half human form. Inuyasha, now fully realizing what is going on, returns Kagome's kiss, kissing her back.

When they pull back he pulls Kagome in a hug and they shortly embrace and he tells her that he will remain as a half demon "for a little while longer," but "just for her." But then Naraku reappears from Kohaku's back, revealing that he had purposely faked his death hoping to draw Kaguya out. However, Naraku during this point in the series was still a half demon and thus wasn't able to battle her on equal terms. Miroku notes that if they destroy Kaguya, Naraku would just consume her and become immortal. And if Kaguya destroys them, in either case, Naraku benefits. An exasperated Inuyasha decides that they should just kill both their enemies and charges at Kaguya. However, as Kaguya charges up a deadly spell, Miroku uses the Wind Tunnel to pull Inuyasha out of danger. At the same time, Kagome has Shippō transform into a bow and retrieves Miroku's staff to use as a substitute arrow. As Kaguya readies another spell, Inuyasha uses his Backlash Wave against her. In response, Kaguya uses her mirror to reflect the attack back at against him. Refusing to back down, Inuyasha leaps towards the Backlash Wave and uses the Wind Scar against it. Kagome then shoots Miroku's staff through the attack and shatters the mirror, allowing the Wind Scar to overwhelm Kaguya's attack and destroy her. Unfortunately, the battle has rendered the castle unstable. The group attempts to flee, but Kaguya shows up again in the form of a black cloud and attempts to possess Kagome in an effort to gain a new body. Naraku reappears, intending on absorbing Kaguya, but Inuyasha stops him with the Wind Scar. Miroku ends his immortal ambitions by using the Wind Tunnel to absorb Kaguya; fulfilling his grandfather's wish. Naraku then escapes with Kohaku, Kagura, and Kanna through the broken mirror, followed by the others. Shippō, who is lagging behind in the tunnel, looks back and Kaguya is right behind him. But instead, he wakes up in a field with everyone there now safe from danger, relieving him. They saw the castle in the lake is disappearing and the symbol of the pentagram in the sky is disappearing too, Shippo thinks it's over, but Miroku said that it isn't which Naraku is still alive and reminds them to not forget. Hachi and Akitoki Hōjō arrives, Hachi has Miroku's staff and Akitoki Hōjō shows Kagome that he has the celestial robe back which it fell from heaven. She felt impressed as it found its rightful owner, "just like a puppy". Miroku tells Sango that he heard Kohaku call out to his sister, Sango was happy to hear. Miroku tells to his grandfather that "Kaguya was indeed a beauty", causes Hachi, Akitoki Hōjō, Kagome, Inuyasha, Shippo and Kirara shocked as Sango was angry at him, but he said that his heart belongs to her alone and she slapped him as Shippo said, "idiot". Kagome's thoughts that the shooting star granted at least part of her wish, Kaguya returned to the moon as their journey was far over. Their friends tells her to go.

During the end credits, Akitoki Hōjō climbs up and throws Kaguya's hagoromo into a volcano to stop any other beings from ever using its power.

After the credits, Kagome and her friends were walking as she stretches. Miroku gets it for his reminder and attempts to kiss Sango, causing her to slap him in the face which Kagome and Inuyasha felt surprised. Miroku tries to excuse his attempt saying that Kagome and Inuyasha have already kissed causing Inuyasha and Kagome to both surprisingly shocked and blush upon hearing this. Inuyasha then begins to stumble out words saying that Kagome "forced" herself on him and in a stumble of further mixed words says that "its not like he wanted to do it," making Kagome mad. But as Inuyasha realizes what he said and tries to fix his wording, Kagome says, "Inuyasha...SIT!" And Inuyasha's face smashes into the ground. And the end screen shows a locket of Inuyasha and Kagome as Shippo says "Inuyasha, grow up, would you?"

Weaponry

 * Tetsusaiga
 * Sacred Arrow
 * Miroku's Staff
 * Hirakotkos
 * Kaguya's Sword (only appearance and use)
 * Mirror of Life (only appearance)
 * Kanna's Mirror

Abilities & Techniques

 * Wind Scar
 * Wind Tunnel
 * Dance of Blades
 * Dance of the Dragon
 * Time Barrier (only use; by Kagome's First-Aid Kit)
 * Sacred Sutras

Objects of Great Power

 * Mirror of Stillness (only appearance)
 * Mirror of Life (only appearance)

Trivia

 * This marks the first time Akitoki Hōjō has appeared in the series.
 * This is the only movie where Naraku, Kohaku, Kagura, and Kanna appear.
 * When Hōjō sees Kagome, Sango and Shippō bathing in the spring and narrowly avoids their notice (and their wrath) and also comments on how the girls look like "celestial maidens", but escapes and Miroku is punished instead, it parallels Kaguya's own history, in which she (a celestial maiden) was bathing in a spring (like Sango and Kagome) and is spotted by a passerby, who steals the Celestial Robe from her, which leads to her angrily attacking innocent villagers who happened to be nearby (like Miroku was attacked by Sango). Two other coincidences with this matter are that Hōjō (like the man in Kaguya's past) was in possession of the Celestial Robe and that both situations involved a monk (either Miroku or his grandfather, monk Miyatsu).
 * This movie also marks Inuyasha and Kagome's first kiss.
 * This the only movie in which neither Jaken nor Rin make an appearance.
 * Cherry from Urusei Yatsura can be spotted appearing as a Jizo statue midway through the film.
 * This is the first time that Inuyasha transforms into his yōkai form in a movie, and his 5th time in the series overall.
 * Though the episodes up to Naraku's return make no reference to him coming out of hiding in this film, Akitoki Hojo returns in Episode 137, and it is made clear he has met the protagonists before, plus Akitoki being Shippo's vassal is directly mentioned. Thus, this movie is the first to be referenced in an episode.
 * In order to convincingly fake his death, Naraku returns Kagura's heart, apparently through sorcery, though it is unclear how he was able to reclaim it after the events of the movie without killing her.
 * Kanna manipulates Kagura throughout the movie in order to advance Naraku's agenda, and Kagura, despite her antipathy towards Naraku, never becomes suspicious of why Kanna, who is loyal to Naraku and has no emotions, is so interested in first reviving Kaguya, then turning Kagura against her. Nor does she become suspicious of why Kohaku, another former servant of Naraku, happens to possess one of the objects necessary for Kaguya's revival.

Goofs

 * A chronological error occurs at the beginning of the film, when Miroku explicitly refers to the Saimyōshō by name. However, Inuyasha and his group only learn the proper name for the insect swarm in Season 4 when they are accosted by Sesshōmaru for killing one that he was tracking. Therefore, Miroku's knowledge is premature.
 * When Miroku discussed about the dark desires in Kaguya's castle his eyes are yellow not blue.
 * When Sango saw Kohaku escaping through the mirror, his kimono wasn't ripped off from when Naraku emerged from his back.
 * When Kaguya yelled at Inuyasha for abandoning his desire to become a full demon, Kagome's hair (top part) was white, not black.