My Japanese wife passed away. Her parents have been paying for her a mutual aid that included a life insurance, which i’m the recipient.
I understand that it makes this money taxable as a gift (as she was not paying for it herself).
This is about 5 million yen, for which I can deduct a million, and be taxed about 15% on the remaining 4 millions.
If I gift back part of the remaining to her parents and our children, as long as it’s below 1 million it should not be taxable.
I tried to gather information from similar questions but… Is my understanding correct ?
Thanks in advance
by Logical_Product7207