How to calculate stepped-up basis - proration in the year of death?

[Greta]

Equal Partners A&B bought property for 100K many years ago. Partner A died May 28, 2023, leaving his share to new Partner C. Appraisals done per date of death. How do I calculate the new cost basis from Partner A's half - do I take the new appraised value and prorate it per 179 days alive vs. 186 days dead? Or the entire year gets stepped up.

[sjrcpa]

Partner A's cost (tax) basis doesn't change. 

New Partner C gets the step up.

Is the partnership making, or has it made, a 754 election?

[TaxGuyBill]

Just checking ... Is this on a 1065?

Or is it merely joint ownership of the property and any reporting is done individually on their 1040s?

What is the property used for?

[qbteachmt]

Oh, my turn: "leaving his share to new Partner C."

Share of what? The property that isn't even titled to the people? A partnership? Through a Will? An Estate?

[Greta]

It's on Form 1065.

Extension filed for 2023. Deadline 9/15/24. File Form 754. Regardless of partner's date of death, which occurred in 2023, add stepped up basis for 50% of asset's value to arrive at new cost basis for 2023 partnership. Correct?

[Greta]

1) Do I make the 754 election using ProSeries? How?

2) I have 100 depreciation entries. Is here an entry where I indicate the step-up amount?