topic Re: Land and improvement values in Investors & landlords

Land and improvement values

sergio2339 — Tue, 10 Feb 2026 09:01:38 GMT

I get the cost of the land. Turbotax asks for an improvement value. On my Tax Bill, the following numbers appear:

- LAND VALUE = 46,900

- BUILDING VALUE = 318,100

TOTAL VALUE = 365,000

ASSESSED VALUE = 146,000

What do I put on the turbotax "IMPROVEMENT VALUE".

Is the assessed value the improvement value? Or is it the building value? Or neither?

Re: Land and improvement values

sergio2339 — Wed, 31 Jan 2024 06:09:48 GMT

Fulton County:

Assessed value is 40% of the fair market value.

Re: Land and improvement values

RobertB4444 — Wed, 31 Jan 2024 15:35:21 GMT

The improvement value is the value added to the land. In this case the $318,100 attributed to the house.

@sergio2339

Re: Land and improvement values

sergio2339 — Thu, 01 Feb 2024 17:13:42 GMT

I am running into a wall. TurboTax is stating my cost basis is $374900.

based on my math, is the land is 46900 and the building 318100. The land is 12.85% and building 87.15%.

what I do next is take 374900 and only calculate the building portion (87.15) = 326725

however. Look at the attachments. The number is off. It’s showing $326715 rather than 326725

Re: Land and improvement values

AmyC — Thu, 01 Feb 2024 20:10:40 GMT

Your cost basis is what you paid for the house plus any capital improvements. If you did not make any improvements, there is nothing to add. If you fenced the yard and added a garage, you have things to add.

Your numbers don't match the ones shown. You need to change the numbers you entered so that the depreciable house amount is the lower of cost basis or fmv.

Re: Land and improvement values

sergio2339 — Thu, 01 Feb 2024 20:14:18 GMT

The depreciable amount is 374,900

the land value and improvement (building value) I am obtaining from the Fulton county assessors

what number are you saying I need to change

Re: Land and improvement values

AmyC — Thu, 01 Feb 2024 21:49:56 GMT

You know the land is not depreciated. You know the lower of cost basis or FMV when the rental is placed into service. If the correct number for depreciation is $374,900, your picture shows $326,715 which is a big difference. It seems to me that you would have a capital improvement of $374,900 -318,100 = $56,800. You can also put the full amount for the house and leave capital improvement blank.

The amount you enter for depreciation of the house should be what matches your records and information so that your tax return is right. The program asks a lot of questions trying to help but can take you sideways. Your goal is to have the right number being used for depreciation. You can change the house and land values to force the program to use the numbers you know are right.