To elect this treatment, you must: Own or hold a contractual right to cut the timber for a period of more than 1 year before it is cut, andCut the timber for sale or use in your trade or business.taxmap/pubs/p225-037.htm#en_us_publink1000218409Making the election.(p53)You make the election on your return for the year the cutting takes place by including in income the gain or loss on the cutting an