Who funded the purchase?

The taxpayer submitted a self assessment tax return showing employment income rental income and a capital gain on her share of the sale of a property.

After an enquiry into the return HMRC concluded the taxpayer was assessable on the whole gain on the basis she was the sole legal and beneficial owner of the property.

The taxpayer appealed.

She said the mortgage on the property which had been bought for her daughter to live in while at university was in her name only but her husband shared the payments. They decided to sell the property and reinvested in another one. They also owned their family home.

The First-tier Tribunal agreed that at face value the property in question was legally and beneficially owned by the taxpayer.

However...