MATTER OF BURGESS WHOLESALE MFG. OPTICIANS, INC.

No. 82-2258.

721 F.2d 1146 (1983)

In the Matter of BURGESS WHOLESALE MFG. OPTICIANS, INC., Debtor. Appeal of UNITED STATES of America.

United States Court of Appeals, Seventh Circuit.

Decided November 30, 1983.


Attorney(s) appearing for the Case

Mary L. Fahey, Asst. Atty. Gen., Appellate Sec., Tax Div., Dept. of Justice, Washington, D.C., for petitioner.

Roy R. Moscato, Moscato, Ramsey & Holton, Chicago, Ill., for respondent.

Before CUMMINGS, Chief Judge, ESCHBACH, Circuit Judge, and CAMPBELL, Senior District Judge.


ESCHBACH, Circuit Judge.

The Bankruptcy Code permits reorganizing entities to pay unsecured tax claims over a period of time. The issue in this case is whether the federal government is entitled to interest on such a claim throughout the payment period. We conclude that it is and thus reverse the judgment of the district court.

I.

On August 21, 1980, the debtor, an Illinois Corporation, filed a plan of reorganization pursuant to 11 U.S.C. §...

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