The "Disaster Reforestation Act" amends the Internal Revenue Code of 1986 to provide a new method for calculating casualty loss deductions for uncut timber . This special rule applies to losses from fire, storm, theft, or other specified casualties, allowing the deduction basis to be determined by the timber's appraised value immediately before the loss, less any salvage value. To qualify, the appraisal must adhere to Uniform Standards of Professional Appraisal Practice (USPAP) , be completed by a certified appraiser within one year, and focus solely on the lost timber's value. Taxpayers unable to obtain a timely appraisal may use an estimate and later file an amended return once the appraisal is finalized. Crucially, the special deduction is contingent upon the lost timber being reforested within five years of the casualty, with provisions for recapture if this requirement is not met. The bill also broadens the definition of "other casualty" to include damage from wood-destroying insects, invasive species, and severe drought, ensuring a wider range of timber losses are covered. This provision applies only to timber held for sale in an active trade or business and includes pre-merchantable timber.