Transcript UO Accounts Payable Payments and Reimbursements to Foreign

UO Accounts Payable
Payments and
Reimbursements to
International Students
and Visitors
Dan Patten, Accounts Payable Manager
Oregon Hall Accounts Payable
541-346-3143
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A/P payments:
UO F-1 students that are not already currently in Banner A/P.
1.The student will need to complete a UO-NRA form that will be used to
determine whether they have passed the substantial presence test. If
they meet the test they will be treated the same as an U.S. citizen, and
the University has no additional reporting or withholding obligation on the
payment. If not go to step 2.
2.Determine if the student is eligible for tax treaty benefits. Is their
country of residence for tax purposes on the list of countries that have
negotiated tax treaties with the United States? If they are not eligible for
treaty benefits, complete a W8-BEN form.
3.If they are eligible for treaty benefits, they will need to complete a W8BEN form to claim treaty benefits. A U.S. reporting Tax ID number is
required on the W8-BEN form, if the student doesn't have a number see
step 4 below. Once the W8-BEN is complete the payment is nontaxable
to the student.
4. The student will need to apply for a social security number (SSN), or a
individual taxpayer identification number (ITIN). If they plan on working in 2
the future they should apply for a SSN.
For Social Security Number - SSN:
Social Security Administration
2504 Oakmont Way
Eugene, OR 97401-5441
Office hours: 9:00 a.m-4:30 p.m. Make sure they take their passport and DS2019.
Documentation required:
The Office of International Programs has a form called F-1 Social Security
Verification Form that needs to be completed by the student, department and
signed off by the Designated School Official that works in the Office of
International Affairs. Once completed the form needs to be taken to the Social
Security Office.
http://international.uoregon.edu/sites/international2.uoregon.edu/files/F1_SSN_V
erification_Form.pdf
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For ITIN (students only):
Documentation required:
W-7
Passport with I-94 card
And second photo ID (see W-7 instructions)
Letter from Department awarding scholarship payment.
OIA, Office of International Affairs, will accept the
documents and mail the W-7 application to the IRS.
The final opportunity to reduce the taxable portion of the
scholarship payment is to use the personal exemption for
scholarship purposes.
Is the student or researcher an employee of the
University? If so, they are probably using the exemption
amount for payroll and we don’t want to allow them to
claim it twice and incur a large tax liability at year end.
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Substantial Presence Test (SPT)
Foreign Students who enter the U.S. under an F-1 visa are exempt from counting
days for SPT for five calendar years. This is a once in a life time exemption.
A calendar year is any amount of days within one year.
In the sixth year a non-resident alien becomes a Resident Alien for Tax Purposes
after 183 days. If they plan to remain in the U.S. beyond 183 days, they become
a Resident Alien for tax purposes the first day of the sixth year.
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UO-NRA Form
The UO-NRA form (formerly the CONRA) is used to apply the Substantial Presence
Test (SPT).
This form is updated and changes every calendar year.
A UO foreign student may be asked to fill out a UO-NRA form in the year they will
be come a Resident Alien for Tax Purposes to determine, if they will be staying
the entire year.
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http://ba.uoregon.edu/sites/ba/files/forms/uonra.pdf
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J and H Visa Holders
If your visitor is already in the United States in a J or H visa status, teaching at
another institution or working for another entity. The other entity is their
sponsor.
We are allowed to reimburse individuals in these statuses if the expenses will
qualify under the UO accountable plan and if their sponsor knows that we are
making the travel payments. IRC Section 62(a)(2).
J1 Visa:
It is possible to receive a special authorization letter from the Responsible
Officer at their host institution, if the activity your guest is conducting at the UO
is related to primary purpose they are in the U.S. .
H1 Visa:
Employment permitted only with an employer that has had an H1B petition
approved with the alien as the beneficiary.
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Tax Notice
More information at http://ba.uoregon.edu/staff/payment-process-for-international-visitors
Flow Chart at http://ba.uoregon.edu/sites/ba/files/htm/pay-proc-inter-visitor.htm
Honoraria payments are considered taxable income to a foreign national and will be subject to federal
income tax unless your visitor is eligible for tax treaty benefits. In order to file a reduced rate of
withholding certificate they must have a federal tax reporting identification number. A visitor that is
here on a work authorized visa type (J, O or P) will need to apply for a Social Security Number at the
Social Security Office. The visitors in the 'B' status will be eligible to apply for an Individual Taxpayer
Identification number at the Eugene Branch of the IRS or by mail. Here are the addresses of our local
agencies.
For a Social Security Card and Number:
Social Security Administration: 2504 Oakmont Way, Eugene, OR 97401-5441
Office Hours: 9:00 am-4:30 pm
Information that your visitor will be required to present:
* Passport
* DS-2019
Your visitor may apply for an SSN by mail but would be required to send the original passport or a copy certified by the
issuing agency (e.g. a copy of the passport would have to be certified by the U.S. Embassy in their home country) to the
Social Security Administration. A certified copy of the DS-2019 will also need to be included. Start the process early, it can
take up to six weeks before an SSN card will be issued.
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For an ITIN for a non-UO foreign student:
In person:
Internal Revenue Service
300 Country Club Road
Eugene, OR 97401-2299
Office hours: 8:00 am-4:30 pm
Documentation required:
* Completed form W-7
* Completed 8233 form, signed by a withholding agent (BAO personnel)
* A letter from your department requesting your visitor's presence for the speaking engagement
* Personnel identification will need to be verified by the IRS
By Mail:
Your visitor may apply for an ITIN by mail, start the process early it can take up to six weeks before an ITIN will be issued.
The following documents are required for the application:
* Completed form W-7
* Identification Documentation for section 6d of W-7 form
* Completed 8233 form, signed by a withholding agent (BAO personnel)
* A letter from your department requesting your visitor's presence for the speaking engagement
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A/P Forms Checklist
Honoraria/Work Authorized
Status (J,O, P etc).
Honoraria & Expenses 'B' Status
(B1,B2,WT,WB & combinations)
Travel
Expenses/Visitor for
Travel Expenses Only Tourist Business (B1, WB &
'B' Status (B2,WT,)
combinations)
PSC
X
X
8233 Form if Appl.
X
X
Photocopy of I-94
X
X
X
X
X
Declaration Form
Travel
Reimburesement
W8BEN Form
X
X
X
X
X
X
X
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A copy of this presentation is available to you. Just email
UO Accounts Payable [email protected] and let us know.
University of Oregon, Business Affairs Office, Accounts Payable
Is located in Oregon Hall
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