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This is not a new requirement. One has never been able to depreciate land. "The depreciation allowance in the case of tangible property applies only to that part of the property which is subject to wear and tear, to decay or decline from natural causes, to exhaustion, and to obsolescence. The allowance does not apply to inventories or stock in trade, or to land apart from the improvements or physical development added to it." https://www.law.cornell.edu/cfr/text/26/1.167(a)-2   If you had an appraisal done at purchase, that might have a breakdown of land value vs. improvements. If not, you might look at your town assessment. That usually breaks down land vs. improvements.  From that you could get a % of land and apply that you your total purchase price. If you search further in this forum you will find a number of responses suggesting a 20% land, 80% usual ratio. I don't know if that is right, but it would only be a guide. For example I have seen waterfront property with well over than 50% of the value being the land. Some prior posts: https://ttlc.intuit.com/community/investments-and-rental-properties/discussion/real-estate-depreciation-finding-value-of-land-vs-structure/00/2949081 https://ttlc.intuit.com/community/tax-credits-deductions/discussion/how-should-i-split-the-basis-and-sales-price-of-a-property-between-cost-and-land-that-i-sold-i/00/2922122 https://ttlc.intuit.com/community/investments-and-rental-properties/discussion/land-and-improvement-values/00/3154768