Title 26, Internal Revenue CodeRelease 119-102
§268 Sale of Land with Unharvested Crop
Title 26 › Subtitle A — Income Taxes › CHAPTER 1 — NORMAL TAXES AND SURTAXES › Subchapter B — Computation of Taxable Income › PART IX — ITEMS NOT DEDUCTIBLE › § 268
Summary
If a taxpayer sells an unharvested crop that the tax code treats as section 1231 business property, no deduction for producing that crop is allowed in any year.
Full Legal Text
Title 26, §268
Internal Revenue Code, Source: USLM XML via OLRC
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.
Reference
Citations & Metadata
Citation
26 U.S.C. § 268
Title 26, Internal Revenue Code
Last Updated
Aug 21, 2026
Release point: 119-102