controlled group

[John Feldt ERPA CPC QPA]

Dad owns 100% of a Barber Shop.

Dad and Son each own 50% (exactly) of a rope-making business (not related to haircuts). The son is over age 21.

Controlled Group? I think not, as long as the son owns 50% (or more). Assumes no rights to buy stock or any other such oddities.

Adult Child Attribution: If an individual has a child (or a step-child if the individual had adopted such child) that is age 21 or older, the child’s ownership interest in a business is attributed to the parent, but only if the parent owns more than 50% of the same business. To determine the 'more than 50%' ownership, direct ownership plus any other ownership attribution must be included other than the “adult child attribution”. Likewise, if the child has a more than 50% ownership interest in a business, then any ownership held by either of the child’s parents in that same business is attributed to the child.

Confirm?

[Guest Sieve]

If there is only one class of stock--which it appears is all there is--then you're correct.