AMT Depreciation Question

[buzzardbreath]

Most of us who were in practice at the time are aware the rules changed in 1999.

In 2011, a farmer dies, leaving a fully-depreciated combine to his son. Original cost was $90,000
when bought but appraised value at time of death is $50,000. Combine was purchased by father
in 1997.

Son gets stepped-up basis, meaning he has a new clock to begin depreciating the combine anew.
Additionally, if he chooses to sell it, he has the same holding period for LTCG as his father did.

My question: For AMT purposes, do the depreciable rules in effect for 1997 apply to the son's
combine, or the new rules which took effect in 1999?

[TaxGuyBill]

Regarding depreciation, Regulation 1.167(a)-1(e)(1) states:
"Definition of first placed in service— The term “first placed in service” refers to the time the property is first placed in service by the taxpayer, not to the first time the property is placed in service."

In my opinion that means EVERYTHING that has to do with depreciation is started when the son puts it into service.