((a)) ** General rule**

((1)) ** Ordinary income** Except as otherwise provided in this section, if farm land which the taxpayer has held for less than 10 years is disposed of, the lower of—

((A)) the applicable percentage of the aggregate of the deductions allowed under section 175 (relating to soil and water conservation expenditures) for expenditures made by the taxpayer with respect to the farm land or

((B)) the excess of—

((i)) the amount realized (in the case of a sale, exchange, or involuntary conversion), or the fair market value of the farm land (in the case of any other disposition), over

((ii)) the adjusted basis of such land,

((2)) ** Farm land** For purposes of this section, the term “farm land” means any land with respect to which deductions have been allowed under section 175 (relating to soil and water conservation expenditures).

((3)) ** Applicable percentage** For purposes of this section—

((b)) ** Special rules** Under regulations prescribed by the Secretary, rules similar to the rules of section 1245 shall be applied for purposes of this section.