Depreciation on rental property with a stepped up basis

[asbtaxguy]

I have multiple trust that have allocations for Rental Income and Expenses.

The surviving spouse passed on 03/31/22. Most the properties get a stepped up basis as of the date of death( 03/31/22) 

 I adjust the prior basis to the higher stepped up basis, but what do I do with the prior depreciation ?"

Thank you for your help

Scott Bonelli

[sjrcpa · Accepted solution]

Poof!

If the properties get a full step up, the prior depreciation vanishes.

[BobKamman]

@sjrcpa  Exactly.  Either burial or cremation.  

[George4Tacks]

@BobKamman What about composting?

[asbtaxguy]

Perfect !

Thank You !

Scott Bonelli