Rupp v. United States (In Re Rocky Mountain Refractories)

BOHANON, Bankruptcy Judge,

dissenting.

My interpretation of the statutes in question requires that I dissent from the decision of my colleagues for it is my conclusion the Bankruptcy Code mandates that the governmental units are not entitled to priority in payment of their claims for interest on taxes.

THE STATUTES GOVERNING BANKRUPTCY PRIORITIES FOR INTEREST ON TAXES

The gist of the majority decision is that “ § 726 only comes into play postconversion” and “[although § 726(a)(5) bifurcates a claim into underlying claim and interest, that rule applies to claims incurred in a Chapter 7 and has no…