The role of subducting topography on the mode of fault slip-particularly whether it hinders or facilitates large megathrust earthquakes-remains a controversial topic in subduction dynamics 1-5 . Models have illustrated the potential for subducting topography to severely alter the structure, stress state and mechanics of subduction zones 4,6 ; however, direct geophysical imaging of the complex fracture networks proposed and the hydrology of both the subducting topography and the associated upper plate damage zones remains elusive. Here we use passive and controlled-source seafloor electromagnetic data collected at the northern Hikurangi Margin, New Zealand, to constrain electrical resistivity in a region of active seamount subduction. We show that a seamount on the incoming plate contains a thin, low-porosity basaltic cap that traps a conductive matrix of porous volcaniclastics and altered material over a resistive core, which allows 3.2 to 4.7 times more water to subduct, compared with normal, unfaulted oceanic lithosphere. In the forearc, we image a sediment-starved plate interface above a subducting seamount with similar electrical structure to the incoming plate seamount. A sharp resistive peak within the subducting seamount lies directly beneath a prominent upper plate conductive anomaly. The coincidence of this upper plate anomaly with the location of burst-type repeating earthquakes and seismicity associated with a recent slow slip event 7 directly links subducting topography to the creation of fluid-rich damage zones in the forearc that alter the effective normal stress at the plate interface by modulating the fluid overpressure. In addition to severely modifying the structure and physical conditions of the upper plate, subducting seamounts represent an underappreciated mechanism for transporting a considerable flux of water to the forearc and deeper mantle.