TREATMENT OF CERTAIN DISASTER PAYMENTS.

SEC. 2102. TREATMENT OF CERTAIN DISASTER PAYMENTS. (a) General Rule.— Subsection (d) of section 451 (relating to special rule for crop insurance proceeds) is amended by inserting after the first sentence the following new sentence: “For purposes of the preceding sentence, payments received under the Agricultural Act of 1943, as amended, as a result of (1) destruction or damage to crops caused by drought, flood, or any other natural disaster, or (2) the inability to plant crops because of such a natural disaster shall be treated as insurance proceeds received as a result of destruction or damage to crops.” (b) Technical Amendment.— The subsection heading for such subsection (d) is amended by striking out “Proceeds” and inserting in lieu thereof “Proceeds or Disaster Payments”. (c) Effective Date.— The amendments made by this section shall apply to payments received after December 31, 1973, in taxable, years ending after such date.