Actually, since I have like 10 dummy draft returns open right now as I'm trying to solve my own unresolved TT issues, I experimented with a land improvements and uhh... I think you may have had to depreciate it. From the in-app help it says only raw undeveloped land isn't subject to depreciation (and recapture), but land improvements are. It's in the "Any other situations to report?" section with the checkbox for geothermal or other non-depreciable assets. IRS Pub 946 has more info, it seems to fall into Asset Class 00.3 with a 20 yr life. Still adds to overall basis though!
