James, Thank you very much for your response. Only thing is it is we actually had to surrender the easement as the railroad wanted to eliminate the crossing. We got paid an amount to give it up. It was not really voluntary but we finally agreed to do it for consideration. It creates a liability for me in the I will have to either run a new road to a public road to ever sell the land or cross my existing farm and grant an easement to the property across my existing property which adjoins it to sell it independently. Alternatively I can just add it to my existing property and just treat it as one property once that tract is paid off. I am getting an appraiser to calculate for me the impact of those options and was considering that to be the basis in the land of the easement. Then if the value received is less than that do I get to take a LT capital loss, or does it still just affect the basis?
