Thanks for helping even though you're tired. 🙂

There is no excess basis for the new asset since the FMV of the old property was greater than the FMV of the new property. Therefore, the adjusted basis of the old property was used as the basis of the new property.

Now that I'm reporting the sale of the property I noticed that the $66K accumulated depreciation on the relinquished property has been dropped from the history for the asset. 

I think the problem is because the FMV of the new property was lower than the FMV of the relinquished property. I followed the PS directions and it appears that PS doesn't have a method to handle this situation - unless I missed that.

I guess I'll have to do a work around as you suggest to add the depreciation for the relinquished property to the depreciation on the new property when calculating sec 1250 recapture.

It would be helpful if anyone has a suggestion on how to enter an exchange in PS for this type of situation so that all depreciation is considered in the 1250 recapture amount.

Thanks for your help.