Disaster Reforestation Act

The Disaster Reforestation Act would amend the Internal Revenue Code to allow taxpayers who suffer casualty losses of uncut timber—due to fire, storm, theft, insects, invasive species, or drought—to claim a tax deduction based on the timber’s pre-loss appraised value minus its salvage value, provided the timber is held for business use and not passive investment. To qualify, the lost timber must be reforested within five years of the loss, or the tax benefit may be recaptured. The bill also permits taxpayers to estimate timber value on their tax return if an appraisal isn’t completed in time, with adjustments made via amended return once the formal appraisal is finalized.

No official summary is available here. This one was written by AI from the bill’s text.