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qualified direct cost

Defined in 1 dictionary — U.S. Code

United States Code

26 U.S.C. § 419 — for purposes of this section

The term “qualified direct cost” means, with respect to any taxable year, the aggregate amount (including administrative expenses) which would have been allowable as a deduction to the employer with respect to the benefits provided during the taxable year, if—

(i) such benefits were provided directly by the employer, and

(ii) the employer used the cash receipts and disbursements method of accounting.