In feudal Japan, Naraku has sent a demon called Mimisenri to look for the Sacred Jewel shards. Meanwhile, Kagome returns to the present day, and finds that the school is in the middle of preparing for the cultural festival. Kagome ends up helping out with the festival.
On the day of the cultural festival, the dried demons that Kagome brought from feudal Japan are revived. They devour the food that Yuka and the others made. Kagome covers up the emergency with food from the convenience store.
A demon named Chokyukai is revived, and begins to steal girls. A young man named Kisuke comes to Kaede for help. Inuyasha go to defeat the demon. When they arrive at Kisuke's village, Chokyukai appears leading a water imp and a monkey.
Five demon fox brothers believe Shippo to be a hero. They become his disciples to learn his special technique, the Wind Scar. Shippo is unable to teach it to them, but he tries to show off and fool them. He tricks Mizuki, a girl that he had become friends with recently, and makes her angry.
Inuyasha and the gang meet Shinosuke, who is looking for his fiancée. They are led to a village of only women, and are separated by sex into their rooms. Kagome is left together with Sango. She asks Sango about her relationship with Miroku.
Miroku knows the truth about the Salamander of the Marsh Demon and Kwannon Scrolls. Inuyasha defeats the demon, but the village women remain possessed. Miroku must exorcise them individually, and he is forced to face the possessed Sango last.
Sara, a mysterious woman, appears before Sara. Sara was once saved by Sesshomaru. She was reincarnated just as she had died from an illness. She has stolen Inuyasha's Tessaiga, and turned Miroku and Sango into glass statues.
Sara asks Sesshomaru to destroy her along with the spirit. Sesshomaru complies, and uses the Tessaiga to destroy Sara along with the spirit. Sara accepts her fate. Inuyasha and Kagome watch her final moments.
Priest Mushin, the person who raised Miroku, is going to die. Miroku and the others are shocked. They ask to Mushin's what he wants so that they can give him one last gift. He says that he will have no regrets if he gets to drink "Mist Sage" a wonderful sake that is brewed by the Sake Sage.
Akitoki, Hoji's ancestor is on a journey to offer the Hojo family heirloom, the Kenkon Naginata, a demon sword that brings disaster. Inuyasha and the gang travel accompany him. People who are after the Kenkon Naginata appear.
Hojo and Kagome are separated from the others and are trying to get back to them. Some of the demons find them and try to lead them to their leader, but Kagome is too smart for them. As they are trying to find Inuyasha and the others, Inuyasha meets the leader of the demons that seeks the sword and is unable to move due to a spell that was placed on him.
Naraku's baby is bringing virtuous priests close to death and peering into their minds. He is trying to peer into the space between this world and the next. Inuyasha and the gang hear rumors about this and sense that it is the doing of Kagura and the baby.
Naraku's baby was split into two. One half comes back to life in the form of a child dressed in white. Entei is reunited with its owner, Rengokuki, but when the child dressed in white shows up and defeats Rengokuki, Entei chooses the child as his new rider.
Kanta is an otter demon child. His father's head was taken by Hakudoshi, and he is looking for his father's body. Unfortunately, villagers have hunted down his father's body. Inuyasha and the gang rush on over with Kanta, and are surprised when they see Sesshomaru on the scene.
The area between this world and the next, where Sacred Jewel shard is, is the demon graveyard where Inuyasha's father's corpse rests. The Black Pearl is needed to go there. Inuyasha visits Totosai. He is reunited with Myoga, whom he asks how to take out the Black Pearl.
Inuyasha and the gang arrive in the land of fire. They discover a giant gateway within a cave in the mountains. This is the gateway to the area between this world and the next, but it is blocked by Gozu and Mezu, the gate's guardians.
When the gateway in the Land of Fire opened, Kagome sensed the presence of the Sacred Jewel shard. Inuyasha and the gang go looking for a different way to get to the area between this world and the next.
In order to reach Naraku's heart and get his revenge, Kohaku cannot defy Naraku. Sango doesn't know the truth, and fights him so that she can destroy the Zushi that Kohaku is protecting. Meanwhile, the demons that Hakudoshi has released have withered the evil luring tree.
Inuyasha tekks Kaede that Kikyo is still alive. Kagome is depressed that Inuyasha still has feelings for Kikyo. She goes back to the present day without telling Inuyasha. Inuyasha follows Kagome to her house, but Kagome destroys the bike that she had received from her mother.
Miroku cured a girl named Shima of a disease two years ago. Shima is troubled when the lord of the lake, where she got water to make an infusion of herbs, asks her to marry him. She is reunited with Miroku and asks him for help.
Children have been kidnaped, and a group of priests led by Ungai, a powerful priest who hates demons, go after the demon who did it. Ongokuki, a demon that gathers children with a flute, also kidnaps Rin. Inuyasha and the gang run into Jaken, who is looking for Rin and Sesshomaru.
Shippo is possessed by a parasite pupa, and causes mischief. Kagome and the others want to catch him before the villagers exterminate him, but Miroku, Sango, and Kirara fall for Shippo's birdlime demon fox technique and fail to catch him. Inuyasha, who had a keen nose, runs into trouble when he is hit by a stink bomb.
Inuyasha and the gang meet Gakusanjin, and learn that Naraku has stolen the Fuyouheki, a guardian stone. Gakusanjin trusts Inuyasha and the gang, and gives them a crystal of demon energy. The crystal's demon energy will disappear if it gets near the Fuyoheki.
Gakusanjin is defeated by the child ascetic. Inuyasha and the gang suspect it is Naraku's doing. They follow the ascetic and arrive at a temple in the holy mountain to the east. A strange man by the name of Goryomaru is there. He does not react when Inuyasha and the gang mention Naraku's name.... Part 1
Gakusanjin is defeated by the child ascetic. Inuyasha and the gang suspect it is Naraku's doing. They follow the ascetic and arrive at a temple in the holy mountain to the east. A strange man by the name of Goryomaru is there. He does not react when Inuyasha and the gang mention Naraku's name.... Part 2