26 U.S.C. § 268
Section 268 · Sale of land with unharvested crop
Amended 1 time on record
Applied in 3 court decisions — leading case Commissioner of Internal Revenue v. South Lake Farms, Inc. (1963)
Most recently applied in Beauchamp & Brown Groves Co. v. Commissioner (April 1965)
Where an unharvested crop sold by the taxpayer is considered under the provisions of section 1231 as “property used in the trade or business”, in computing taxable income no deduction (whether or not for the taxable year of the sale and whether for expenses, depreciation, or otherwise) attributable to the production of such crop shall be allowed.
Editorial notes U.S. Code · Office of the Law Revision Counsel
Cross References
Adjustment to basis for deductions disallowed under this section, see section 1016 of this title.