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‘‘§ 1232. Claim by a governmental unit based on the dis-
position of property used in a farming oper-
ation 
‘‘(a) Any unsecured claim of a governmental unit against 
the debtor or the estate that arises before the filing of the 
petition, or that arises after the filing of the petition and be-
fore the debtor’s discharge under section 1228, as a result of 
the sale, transfer, exchange, or other disposition of any prop-
erty used in the debtor’s farming operation— 
‘‘(1) shall be treated as an unsecured claim arising 
before the date on which the petition is filed; 
‘‘(2) shall not be entitled to priority under section 
507; 
‘‘(3) shall be provided for under a plan; and 
‘‘(4) shall be discharged in accordance with section 
1228. 
‘‘(b) For purposes of applying sections 1225(a)(4), 
1228(b)(2), and 1229(b)(1) to a claim described in sub-
section (a) of this section, the amount that would be paid on 
such claim if the estate of the debtor were liquidated in a 
case under chapter 7 of this title shall be the amount that 
would be paid by the estate in a chapter 7 case if the claim 
were an unsecured claim arising before the date on which the 
petition was filed and were not entitled to priority under sec-
tion 507.
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‘‘(c) 
For 
purposes 
of 
applying 
sections 
523(a), 
1228(a)(2), and 1228(c)(2) to a claim described in subsection 
(a) of this section, the claim shall not be treated as a claim 
of a kind specified in subparagraph (A) or (B) of section 
523(a)(1). 
‘‘(d)(1) A governmental unit may file a proof of claim 
for a claim described in subsection (a) that arises after the 
date on which the petition is filed. 
‘‘(2) If a debtor files a tax return after the filing of the 
petition for a period in which a claim described in subsection 
(a) arises, and the claim relates to the tax return, the debtor 
shall serve notice of the claim on the governmental unit 
charged with the responsibility for the collection of the tax at 
the address and in the manner designated in section 
505(b)(1). Notice under this paragraph shall state that the 
debtor has filed a petition under this chapter, state the name 
and location of the court in which the case under this chapter 
is pending, state the amount of the claim, and include a copy 
of the filed tax return and documentation supporting the cal-
culation of the claim. 
‘‘(3) If notice of a claim has been served on the govern-
mental unit in accordance with paragraph (2), the govern-
mental unit may file a proof of claim not later than 180 days 
after the date on which such notice was served. If the govern-
mental unit has not filed a timely proof of the claim, the
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debtor or trustee may file proof of the claim that is consistent 
with the notice served under paragraph (2). If a proof of 
claim is filed by the debtor or trustee under this paragraph, 
the governmental unit may not amend the proof of claim. 
‘‘(4) A claim filed under this subsection shall be deter-
mined and shall be allowed under subsection (a), (b), or (c) 
of section 502, or disallowed under subsection (d) or (e) of 
section 502, in the same manner as if the claim had arisen 
immediately before the date of the filing of the petition.’’. 
(b) TECHNICAL AND CONFORMING AMENDMENTS.— 
(1) IN GENERAL.—Subchapter II of chapter 12 of 
title 11, United States Code, is amended— 
(A) in section 1222(a)— 
(i) in paragraph (2), by striking ‘‘unless— 
’’ and all that follows through ‘‘the holder’’ 
and inserting ‘‘unless the holder’’; 
(ii) in paragraph (3), by striking ‘‘and’’ at 
the end; 
(iii) in paragraph (4), by striking the pe-
riod at the end and inserting ‘‘; and’’; and 
(iv) by adding at the end the following: 
‘‘(5) subject to section 1232, provide for the treat-
ment of any claim by a governmental unit of a kind de-
scribed in section 1232(a).’’; 
(B) in section 1228—
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(i) in subsection (a)— 
(I) in the matter preceding para-
graph (1)— 
(aa) by inserting a comma after 
‘‘all debts provided for by the plan’’; 
and 
(bb) by inserting a comma after 
‘‘allowed under section 503 of this 
title’’; and 
(II) in paragraph (2), by striking 
‘‘the kind’’ and all that follows and insert-
ing ‘‘a kind specified in section 523(a) of 
this title, except as provided in section 
1232(c).’’; and 
(ii) in subsection (c)(2), by inserting ‘‘, 
except as provided in section 1232(c)’’ before 
the period at the end; and 
(C) in section 1229(a)— 
(i) in paragraph (2), by striking ‘‘or’’ at 
the end; 
(ii) in paragraph (3), by striking the pe-
riod at the end and inserting ‘‘; or’’; and 
(iii) by adding at the end the following: