Assumption of a debt would be “income.”
Transfer of more than $10 k win a year without declaring it would be problematic...for both parties.
My guess/speculation is that it was ALL funneled through Hunter’s LLC as “expenses.” THAT is what can trip them up.
“Transfer of more than $10 k win a year without declaring it would be problematic...for both parties.”
irs.gov
WASHINGTON — If you give any one person gifts valued at more than $10,000 in a year, it is necessary to report the total gift to the Internal Revenue Service. You may even have to pay tax on the gift. The person who receives your gift does not have to report the gift to the IRS or pay gift or income tax on its value.