@seattlefuze wrote:
What if I increase the depreciable asset value to include the allocated cost of the land and also add the land cost, such the the cost of the depreciable assets less the cost of the allocated land is equal to the prior cost of the property? Thanks again!
I think we are not clear on what you did.
Suppose you bought the house for $100,000 and placed it into service as a rental. At the time of purchase, the land value was $15,000. Did you list the rental as having a depreciation basis of $85,000, or did you list it as having a depreciation basis of $100,000 (which ignores the fact that the land doesn't depreciate)? Also, what year was this (how long ago--i.e. how much needs to be fixed)?
