"16-bit Timer/Counters on all devices have several problems with PWM, prescaler and output compare. Output compare registers are not buffered properly.
The Asynchronous Status Register (ASSR) is not supported in timers with asynchronous mode. This is due to lack of a generic external clock implementation
....

Notes for ATtiny25/45/85
Timer/Counter1, including the Dead Time Generator, is currently not supported in the AVR Simulator."