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139 STAT. 248 PUBLIC LAW 119–21—JULY 4, 2025 (d) EFFECTIVE DATE.—The amendments made by this section shall apply to calendar quarters beginning more than 90 days after the date of the enactment of this Act. SEC. 70437. TREATMENT OF CAPITAL GAINS FROM THE SALE OF CER- TAIN FARMLAND PROPERTY. (a) IN GENERAL.—Part IV of subchapter O of chapter 1 is amended by redesignating section 1062 as section 1063 and by inserting after section 1061 the following new section: ‘‘SEC. 1062. GAIN FROM THE SALE OR EXCHANGE OF QUALIFIED FARM- LAND PROPERTY TO QUALIFIED FARMERS. ‘‘(a) ELECTION TO PAY TAX IN INSTALLMENTS.—In the case of gain from the sale or exchange of qualified farmland property to a qualified farmer, at the election of the taxpayer, the portion of the net income tax of such taxpayer for the taxable year of the sale or exchange which is equal to the applicable net tax liability shall be paid in 4 equal installments. ‘‘(b) RULES RELATING TO INSTALLMENT PAYMENTS.— ‘‘(1) DATE FOR PAYMENT OF INSTALLMENTS.—If an election is made under subsection (a), the first installment shall be paid on the due date (determined without regard to any exten- sion of time for filing the return) for the return of tax for the taxable year in which the sale or exchange occurs and each succeeding installment shall be paid on the due date (as so determined) for the return of tax for the taxable year following the taxable year with respect to which the preceding installment was made. ‘‘(2) ACCELERATION OF PAYMENT.— ‘‘(A) IN GENERAL.—If there is an addition to tax for failure to timely pay any installment required under this section, then the unpaid portion of all remaining install- ments shall be due on the date of such failure. ‘‘(B) INDIVIDUALS.—In the case of an individual, if the individual dies, then the unpaid portion of all remaining installment shall be paid on the due date for the return of tax for the taxable year in which the taxpayer dies. ‘‘(C) C CORPORATIONS.—In the case of a taxpayer which is a C corporation, trust, or estate, if there is a liquidation or sale of substantially all the assets of the taxpayer (including in a title 11 or similar case), a cessation of business by the taxpayer (in the case of a C corporation), or any similar circumstance, then the unpaid portion of all remaining installments shall be due on the date of such event (or in the case of a title 11 or similar case, the day before the petition is filed). The preceding sentence shall not apply to the sale of substantially all the assets of a taxpayer to a buyer if such buyer enters into an agreement with the Secretary under which such buyer is liable for the remaining installments due under this subsection in the same manner as if such buyer were the taxpayer. ‘‘(3) PRORATION OF DEFICIENCY TO INSTALLMENTS.—If an election is made under subsection (a) to pay the applicable net tax liability in installments and a deficiency has been assessed with respect to such applicable net tax liability, the deficiency shall be prorated to the installments payable under subsection (a). The part of the deficiency so prorated to any Contracts. 26 USC 1062 note. 26 USC 4182 note.