ASG - Of The Type Historically Performed....

[Madison71]

Looking at possible affiliated service group. My question is just on the "whether certain services were historically performed is based on whether such services were typical for employees in that service field." A partnership that also owns a 20% interest in a company provides accounting, payroll and other administrative services to another company that provides day care service. The partnerships entire business is providing services to 4 different companies where there is not a controlled group amongs the partnership and any one of the companies or each other (nowhere close to 50%). This "services historically performed" is tripping me up. A day care provides childcare services...that is its service field, but the back office many times does payroll, accounting, etc. Is that considered a "service historically performed?

[Jim Chad]

Many companies have employees in house do this. FWIW My opinion is that these are services historically performed by employees.

What do you all think?