4(1)Subject to sub-paragraph (2) below, in this Schedule references to a transfer, in relation to a security, are references to any transfer of the security by way of sale, exchange, gift or otherwise.U.K.
(2)Where an individual who is entitled to a relevant discounted security dies, then for the purposes of this Schedule—
(a)he shall be treated as making a transfer of the security immediately before his death;
(b)he shall be treated as obtaining in respect of the transfer an amount equal to the market value of the security at the time of the transfer; and
(c)his personal representatives shall be treated as acquiring the security for that amount on his death.
(3)For the purposes of this Schedule a transfer or acquisition of a security made in pursuance of an agreement shall be deemed to take place at the time when the agreement is made, if the person to whom the transfer is made, or who makes the acquisition, becomes entitled to the security at that time.
(4)If an agreement is conditional, whether on the exercise of an option or otherwise, it shall be taken for the purposes of this paragraph to be made when the condition is satisfied (whether by the exercise of the option or otherwise).
(5)This paragraph is without prejudice to paragraph 14(2) to (4) below.