Deferral of Federal Disaster Payments

In the January 19, 1990, Agricultural Law Digest, at page 33, we reported that Congress had not acted to permit deferral of benefits under the Disaster Assistance Act of 1989 as had been done for the Disaster Assistance Act of 1988. Thus, benefits on the 1989 act received in 1989 were not deferrable to 1990 under the provision permitting crop insurance proceeds (and eligible federal disaster assistance act benefits) to be deferred to the following year by a farmer on the cash method of accounting if, under the taxpayer\u27s practice, income from sale of the crop would have been reported in the following year