qualified direct cost
Defined in 1 place of the United States Code.
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.
Source
- 1994–present26 U.S.C. § 419Internal Revenue Code · Treatment of funded welfare benefit plans · for purposes of this section