The starting cost basis is the $92K that you originally purchased it for.
Capital improvements should have been added to the cost basis or posted separately to a depreciation schedule. They should not be expensed.
If they're completely depleted, you will not get any future benefit from them.
However, there will be “Depreciation recapture” this refers to the Internal Revenue Service's (IRS) policy that an individual cannot claim a depreciation deduction for an asset (thereby reducing their income tax) and then sell it for a profit without “repaying the IRS” through income tax on that profit. TurboTax will handle this for you. Depreciation Recapture
Sellers can deduct closing costs such as real estate commissions, legal fees, transfer taxes, title policy fees, and deed recording fees to lower the profit and lower the potential taxes owed.
If this does not completely answer your question, please contact us again and provide some additional details.
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