I went in and changed it on the worksheet to show the total of the asset to be $172,000 and the land portion to $19,000 which left the basis for the property at $153,000 and not change the deprecation over the years. Now on the 4797, it shows, what I believe, correct.
Great! You're actually fine then. Since the land is not a depreciated asset, increasing the COST by $19,000 and then entering $19,000 in the COST OF LAND box, retained the original structure value being depreciated.
Make sure you keep all your historical paperwork to support your change. I don't know if the IRS would question it or not, and I doubt they would. But if they do at any time in the future, you need to be able to prove your numbers.
