Good morning
I have an existing farm (pine plantation of approximately 280 acres). Just purchased an additional 49 acre tract of contagious land in the 2022 tax year. Most likely I will never sell this land it will be passed on to the next generation through my will. The land has utility easements and timber on it, I plan to clear cut the timber in 2023 or 2024 tax year. I paid $110,000 for the land since I have no intention of ever selling the land can I assign the full $110,000 cost to the value of the timber and $0 cost to the value of the land?
Also should this information be captured under "Farm Assets", "nonresidential real estate" in Turbo Tax?
Thanks for the help!
