Should friend declare living expenses he received from abroad during Covid pandemic?

Question aint for me but a friend – no joke, they won\`t pay for a tax lawyer and I\`m a member of reddit so asking for them on this sub. I asked a lawyer I\`ve had some dealings with but he said he won\`t give him free advice.

He\`s working in the English industry and hit a very bad patch during the Covid pandemic in terms of loss of income and had help from their parents in Australia. His income dropped to well below half of what it was and he was given the runaround for the 1 million yen payment for those in better financial circumstances than him. Had outstanding health insurance and was denied the payment tho it wasn\`t given by city hall.

Basically his parents sent money each month for about two years to help cover his rent etc because his savings were getting very low and the assholes at their local city hall insisted he pay his full residence tax and health insurance tho his income dropped like a stone. He was literally not eating sometimes because of that and I bought him groceries before he swallowed his pride and asked his parents for help.

He ended up getting around 1.1 million yen in the currency exchange in total from his parents spread over around 2 years. He got the payments thru western union and never declared them on his tax filings. His job income during that time was between 1.7 million yen and 1.5 million yen. Now he\`s been asked by his local tax office – not city hall – to discuss his tax filing from those years. Should he have declared that money from abroad – he said it wasn\`t a gift but expenses money so he didn\`t have to.

Anybody know? I\`ve got a feeling things are going to get complicated for him, anybody know what he can expect?

by speedinginmychev

Leave a Reply
You May Also Like