979. Deemed potentially exempt transfers.

A donor of property, which ceases to be subject to a reservation1 at a time before the end of the relevant period2, is treated3 as having at that time made a disposition of the property by a disposition which is a potentially exempt transfer5.

Secondly, a person who, before his death but on or after 18 March 1986, pays or applies money or money's worth:

  1.  

    (1)     in or towards the satisfaction or discharge of a debt or incumbrance which would have been subject to abatement on his death