,,ii  #aaith ,,congress  #ast ,session  
,s4 #aada  ,,in ,,the ,,senate ,,of     
,,the ,,united ,,states  ,march #bf1    
#bjbe,mr4 ,cassidy 7for himself1 ,mr4   
,warnock1 ,mr4 ,tuberville1 ,mr4 ,king1 
and ,mrs4 ,britt7 introduced the        
following bill2 which was read twice and
 referred to the ,committee on ,finance 
,a ,,bill  ,to amend the ,internal      
,revenue ,code of #aihf to provide a    
special rule for certain casualty losses
 of uncut timber4  #a4 ,short title     
,this ,act may be cited as the ,disaster
 ,reforestation ,act4  #b4 ,casualty    
losses of uncut timber  7a7 ,in general 
,section #afe7;b7 of the ,internal      
,revenue ,code of #aihf is amended--    
7#a7 by striking ,for purposes of       
subsection 7a7 and inserting the        
following3  7#a7 ,in general ,for       
purposes of subsection 7a7  1 and  7#b7 
by adding at the end the following new  
paragraph3  7#b7 ,special rule for      
casualty loss of uncut timber  7,a7 ,in 
general ,in the case of the loss of any 

uncut timber from fire1 storm1 or other 
casualty1 or from theft1 the basis for  
determining the amount of the deduction 
for such loss 7as otherwise determined  
under paragraph 7#a77 shall not be less 
than the excess of-- 7i7 the appraised  
value of such uncut timber determined   
immediately before such loss was        
sustained1 over  7ii7 the salvage value 
of such timber4  7,b7 ,appraisal methods
  7i7 ,in general ,with respect to the  
appraisal of a timber casualty loss     
described in subparagraph 7,a7-- 7,i7   
the appraisal valuation date shall be   
not later than #a year after the        
casualty loss1 and  7,,ii7 the appraisal
 shall-- 7aa7 conform to the ,uniform   
,standards of ,professional ,appraisal  
,practice 7,,uspap71  7bb7 be limited to
 the value of the lost timber1 and  7cc7
 be completed by a ,federal- or         
,state-certified appraiser4  7ii7 ,delay
 in completion of appraisal  7,i7 ,in   
general ,in the case of any taxpayer who
 is unable to obtain an appraisal       

described in clause 7i7 before the due  
date of the return of tax 7including any
 extension of time for filing such      
return7 for the taxable year in which   
the timber casualty loss occurred1 the  
taxpayer may elect to-- 7aa7 with       
respect to the return of tax for such   
taxable year1 include an estimate of the
 value of the uncut timber determined   
immediately before the loss was         
sustained1 and  7bb7 upon completion of 
the appraisal within the period         
described in clause 7i77,i71 file an    
amended return for such taxable year    
with respect to any adjustment in       
taxable income as determined pursuant to
 subclause 7,,ii74  7,,ii7 ,adjustment  
of taxable income ,with respect to any  
taxpayer who elects to provide an       
estimate described in subclause 7,i77aa7
 for any taxable year in which a timber 
casualty loss occurred1 the taxable     
income of the taxpayer for such taxable 
year shall be increased or decreased1 as
 applicable1 by an amount equal to the  

difference between-- 7aa7 the appraised 
value of such uncut timber determined   
immediately before such loss was        
sustained1 as determined pursuant to the
 appraisal described in clause 7i71 and 
7bb7 the estimate provided by the       
taxpayer under subclause 7,i77aa7 with  
respect to such uncut timber4  7,c7     
,exclusion of timber not held for sale  
,subparagraph 7,a7 shall not apply to   
any timber unless such timber is held   
for the purpose of being cut and sold in
 connection with a trade or business    
that is not a passive activity within   
the meaning of section #dfi4  7,d7      
,inclusion of pre-merchantable timber   
,for purposes of this paragraph1 the    
term uncut timber shall not fail to     
include pre-merchantable timber4  7,e7  
,reforestation requirement  7i7 ,in     
general ,subparagraph 7,a7 shall not    
apply unless the uncut timber subject to
 the loss is reforested 7with hardwoods1
 softwoods1 or any combination thereof7 
by planting1 seeding1 or appropriate    

site preparation1 not later than the    
close of the #e-year period beginning on
 the date of such loss4  7ii7 ,recapture
 ,the ,secretary shall1 by regulations1 
provide for recapturing the benefit of  
any deduction allowed under this section
 with respect to any uncut timber       
subject to loss to which subparagraph   
7,a7 applied if the taxpayer fails to   
comply with clause 7i7 during the period
 provided under such clause4  7,f7      
,other casualties ,for purposes of      
subparagraph 7,a71 the term other       
casualty shall include loss of any uncut
 timber from-- 7i7 wood-destroying      
insects1  7ii7 wood-destroying invasive 
species1 or  7iii7 severe drought4  4   
7b7 ,effective date ,the amendments made
 by this section shall apply to losses  
sustained in taxable years beginning    
after the date of the enactment of this 
,act4