Thank you for the response. I hit on that approach right after posting the question — good to know I was on the right track. However, since the new depreciation is a proportional combination of that based on the old and new bases since the step up occurred during the year, I could not see a way to show on line 17 of Form 4562 the correct component of depreciation due to the original basis that was in effect for a portion of the year. I ended up adjusting the basis on the original worksheet to achieve the correct value on line 17 of Form 4562. Is there a better way to deal with the one-year transition in depreciation from one basis to another? Next year will be easier since only the new basis will have been in effect.
