Payroll

General Nonresident Alien Tax Withholding and Reporting Schedules

       

WITHHOLDING

REPORTING

Type of income

Income/

Object codes

General payee immigration status

Service or

non-service

Rate if treaty not applicable

Form required if treaty applicable

If tax exempt

If taxable

Scholarship or fellowship (tuition, required fees, books) **

15

7770

Generally F-1,

F-2, J-1, J-2, M-1, Q-1, R-1

Non-service

N/A

N/A

No reporting required

N/A

Scholarships or fellowships (in excess of tuition, required fees, books) **

15

7770, 7771 or 7215

Generally F-1,

F-2, J-1, J-2, M-1, Q-1, R-1

Non-service

14% (if F, J, M or Q visa)

30% (all other visas)

W-8BEN (may use 8233 if also receiving treaty exempt wages)

1042-S (with exemption code 4)

1042-S (with tax rate)

Independent personal services**

16

7900

B-1, B-2, WB, WT, J-1 (non-student), TN

Service

30%

8233

1042-S (with exemption code 4)

1042-S (with tax rate)

General employee compensation

17

PAYROLL

TN (generally Canadian individuals)

Service

PAYROLL

PAYROLL

PAYROLL

1042-S (with exemption code 4)

W-2

Compensation as teacher/

Researcher

18

PAYROLL

J-1 (non-student), H-1B, O-1

Service

PAYROLL

PAYROLL

PAYROLL

1042-S (with exemption code 4)

W-2

Compensation as student/ trainee

19

PAYROLL

F-1, J-1 (student/trainee)

Service

PAYROLL

PAYROLL

PAYROLL

1042-S (with exemption code 4)

W-2

Royalty**

12

7200

Any

Non-service

30%

W-8BEN

1042-S (with exemption code 4)

1042-S (with tax rate)

Miscellaneous

50

7XXX

Any

Non-service

30%

N/A

N/A

1042-S (with tax rate)

*Adapted from Nonresident Alien Tax Compliance, Vol. 1, 2002 edition, published by Arctic International

** These additional forms are required, as specified, prior to payment processing:

  • UC W-8BEN (formerly Statement of Citizenship—always required),
  • UC Certification of Academic Activity—required of B-1, B-2, WB, WT, J-1 (non-student), TN visa holders,
  • IRS Form W-7—if not previously issued U.S. SSN or ITIN and is not eligible for SSN.

ORIGINAL IDENTITY DOCUMENTS MUST ALSO BE PRESENTED BEFORE A UNIVERSITY OFFICIAL—Accounting requires copies of passport and visa documentation.