Question

I purchased land for $7,000 in 2020 and completely spaced out adding it to my taxes. Can I add it to this year's taxes or do I need to amend 2020 taxes?

Forum|Forum|4 years ago
February 2, 2022
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TurboTax Premier Online

The purchase of land by itself would not normally be something you would report on your tax return. If you purchased it as an investment, you just need to keep track of improvements you made to it so that when you sell it you can add them to the cost to arrive at your basis to determine your gain or loss on sale.

If you are using the land in a rental or business, it is not depreciable so you would not enter the cost on your tax return.

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