I thought about getting a .200" bushing for the intermediate step.
I tried a bushing as an intermediate step, I could not get the end of the brass to go into the bushing. It just hit the bottom of the bushing and stopped. I found a Bullberry die a while back, and was able to use that, as it has a longer tapered area, like a funnel, and it was usable.
Since I am getting (shipping today from Texas to Oregon) a 17 Mach IV I have developed a new method for making 17M4 brass from LC 5.56 brass. You can start with the Redding 221FB #1 forming die, then I use the Redding 20VT S Type bushing die with the guts removed. Then, anneal the neck. If I don't anneal a this point, the brass neck has too rigidity, and the case just collapses into the shoulder, and it's ruined.
Then I use the 20 Vartarg body die. Gives a long skinny neck. Then I chop it off with chop saw to 1.410", and chamfer the outside of the neck... then finally use a 17FB or 17M4 body die, and size neck to 17 caliber, and bump shoulder to correct length.
Then trim to 1.40" and neck turn to correct thickness of neck. If you don't neck turn, it'll be about .015" thick neck, most likely too thick for most chambers. Mine will need to be .012" to fit.
Another option, is buy some formed 17 Fireball brass from Sleeping Giant Brass. They make it from LC mixed years. Then neck turn, final size with your dies, good to go!