But we discovered that she still made up to $1 million from it in 2019 despite the fact that she claimed it no longer existed.

This is probably due to depreciation the property. You're able to do this even if the business shut down. The justification is that eventually the asset will need worth $0 since maintenance costs will exceed the cost of the initial investment.

EDIT: Changed word "discussing" to "depreciation"

But we discovered that she still made up to $1 million from it in 2019 despite the fact that she claimed it no longer existed.

This is probably due to discussing the property. You're able to do this even if the business shut down. The justification is that eventually the asset will need worth $0 since maintenance costs will exceed the cost of the initial investment.