The partnership goes to the descendants of said partner.  At that time the respective descendant received a step up cost.  Note: All partnership activity is allocated to the partners.  The partnership will not be closed until after the sale of the commercial property.  Currently we have kept the step up cost of all respective descendants in a separate depreciation schedule and than add their additional depreciation to their partnership K-1. I believe the only way to deal with this is to enter the information as an adjustment to page 4 of form 1065 Schedule K Partners' Distributive Share Items.