If I made $80,000 in 2005 but spent it (at a loss) in 2006 is
there a way to report the INCOME and EXPENSES in 2005 OR report the
income made in 2005, in 2006?

I don't want to pay taxes on "income" of $80,000 for '05 if I spent
$90,000 in 2006 at loss of $10,000!!!

Note I have already looked into the accrual method but I don't think
it applies to me

The short answer is no.

The purpose of the accrual method of accounting is to 'match' revenue
with expenses in the period in which they are incurred.

If you 'spent' the money in 2005, but 'paid' for it in 2006, then the
answer would have been 'yes' (you would 'accrue' those expenses into
2005 and be able to 'match' those expenses with your income).

Not many ways to 'fudge' it.  Your expenditures will be evidenced by a
transaction or invoice date, which will clearly state what period in
which the monies were 'spent'.

Hope this helps.  I know it's not the answer you were 'hoping' for, though.