Qualified wages are any wages you pay or incur for services performed by a qualified employee. Wages are generally defined as those wages subject to the Federal Unemployment Tax Act (FUTA) without regard to the FUTA dollar limit.
Qualified wages also include any qualified employee's health insurance benefits that are paid or incurred on behalf of a qualified employee. However, do not include any amount paid or incurred for health insurance under a salary reduction arrangement.
Note: The Indian employment credit has expired for qualified wages and health care costs paid or incurred in tax years beginning after 2017.