NonResident Alien Taxation OSU Payroll Office Anita Gurule

  • Slides: 15
Download presentation
Non-Resident Alien Taxation OSU Payroll Office Anita Gurule (541) 737 -0573 anita. gurule@oregonstate. edu

Non-Resident Alien Taxation OSU Payroll Office Anita Gurule (541) 737 -0573 anita. gurule@oregonstate. edu

Outline of presentation n Form W-4 - Non-Resident Filing Requirements n CO-NRA - The

Outline of presentation n Form W-4 - Non-Resident Filing Requirements n CO-NRA - The Non-Resident Alien Information Request Form n Tax Treaties - What, Why and When

Non-Resident Alien W-4 Filing REQUIREMENT n n n Box 3 - Single Box 5

Non-Resident Alien W-4 Filing REQUIREMENT n n n Box 3 - Single Box 5 - 1 Allowance Non-Residents are not allowed to file EXEMPT

Exceptions to the Non-Resident W-4 Filing Requirement MEXICO, CANADA & KOREA n Box 3

Exceptions to the Non-Resident W-4 Filing Requirement MEXICO, CANADA & KOREA n Box 3 - Must file Single n Box 5 - May file more than 1 allowance INDIA - STUDENTS ONLY! n Box 3 - Must file Single n Box 5 - May file more than 1 allowance

The W-4 Default n If the Non-Resident Employee refuses to file a W-4 as

The W-4 Default n If the Non-Resident Employee refuses to file a W-4 as outlined in the W-4 requirement - then income taxes will be withheld at the rate of Single - Zero allowances, the maximum rate. Cf. Treas. Regs. 31. 3402. (f)(2)-(1)e

Please Remember for the W-4! n For any employee: If the W-4 has been

Please Remember for the W-4! n For any employee: If the W-4 has been altered (ie. Allowances scribbled out and re-written) the W-4 will be defaulted to Single-0 and the employee will be required to file a new W-4. n University ID# must not be used on the W-4. We must have the employees SSN.

W-4 Exercise -What is wrong with these W-4’s? Form 1 NRA filed exempt n

W-4 Exercise -What is wrong with these W-4’s? Form 1 NRA filed exempt n Form 2 Allowances scratched out n Form 3 University ID # instead of SSN n

CO-NRA - Oregon University Systems Alien Information Request Form n Payroll and the OUS

CO-NRA - Oregon University Systems Alien Information Request Form n Payroll and the OUS Controller’s office use the CO-NRA to determine an employee’s tax status. n The CO-NRA is required for all Non. Resident Alien employees, including those with H 1 -B and TN visas.

Important Details - CO-NRA n n n Copies of the I-94 and I-20 or

Important Details - CO-NRA n n n Copies of the I-94 and I-20 or DS-2019 (formerly the IAP-66) must accompany the CO-NRA. It is important to use a current CO-NRA (check the year on the backside of the form). The employee must complete and sign the CO-NRA. By signing it, they are verifying the information on it is correct.

Tax Treaties - Form 8233 n n n 46 Available tax treaties for employees

Tax Treaties - Form 8233 n n n 46 Available tax treaties for employees of OSU. Not guaranteed that an employee is eligible for a tax treaty. Country and status type (teaching / research vs. student / trainee) specific.

More on Tax Treaties. . . n n n The 8233 must be accompanied

More on Tax Treaties. . . n n n The 8233 must be accompanied by an Attachment Letter provided by the OUS Controller’s Office. Attachment Letters are available in the Payroll Office. Please contact me if you have any questions concerning a tax treaty. More information concerning tax treaties is available in IRS Publication 901.

Tricky Tax Treaties n n n US/Canada Treaty is retroactively taxable if the employee

Tricky Tax Treaties n n n US/Canada Treaty is retroactively taxable if the employee earns more than $10, 000 during the calendar year. US/Germany Treaty for Students is retroactively taxable if the student visit exceeds 4 years. Teaching/Research Treaties with India, The Netherlands, Thailand, and the UK are retroactively taxable if the visit exceeds two years.

Non-Resident Alien FICA Exemption n n Non-Resident Alien Employees in F, J, M or

Non-Resident Alien FICA Exemption n n Non-Resident Alien Employees in F, J, M or Q Visa status are FICA exempt. Only while employee is a Non-Resident and employment is consistent with the purpose of the visit.

Additional Resources n IRS Publication 519 - U. S. Tax Guide for Aliens n

Additional Resources n IRS Publication 519 - U. S. Tax Guide for Aliens n IRS Publication 15 Circular E, Employer’s Tax Guide

Any Questions?

Any Questions?

Nonresident Alien Tax Compliance ARCTIC INTERNATIONAL LLC NonresidentNonresident Alien Tax Compliance ARCTIC INTERNATIONAL LLC Nonresident
Alien Agency Alien Autopsy Chronicles Alien Autopsy ChroniclesAlien Agency Alien Autopsy Chronicles Alien Autopsy Chronicles
Alien Agency Alien Laboratory Chronicles Alien Laboratory ChroniclesAlien Agency Alien Laboratory Chronicles Alien Laboratory Chronicles
Taxation and Costs of Production Taxation Taxation TaxationTaxation and Costs of Production Taxation Taxation Taxation
Library osu edutoolkit Library osu edutoolkit Library osuLibrary osu edutoolkit Library osu edutoolkit Library osu
Payroll Information Payroll Office payroll uconn edu 860Payroll Information Payroll Office payroll uconn edu 860
Payroll Accounting Chapter Two Payroll Calculations Payroll AccountingPayroll Accounting Chapter Two Payroll Calculations Payroll Accounting
Payroll Forum Payroll Compliance Group Summer 2017 PAYROLLPayroll Forum Payroll Compliance Group Summer 2017 PAYROLL
Payroll Forum Payroll Compliance Group June 2018 PAYROLLPayroll Forum Payroll Compliance Group June 2018 PAYROLL
RNC PAYROLL MANAGEMENT PAYROLL OUTSOURCING AT RNC PAYROLLRNC PAYROLL MANAGEMENT PAYROLL OUTSOURCING AT RNC PAYROLL
Payroll Accounting Chapter One The Payroll System PayrollPayroll Accounting Chapter One The Payroll System Payroll
PAYROLL TAX Nature of Payroll Tax Payroll taxPAYROLL TAX Nature of Payroll Tax Payroll tax
Substitute Payroll Benefits Retirement Payroll Information Payroll isSubstitute Payroll Benefits Retirement Payroll Information Payroll is
Nonresident Alien Tax Compliance Wednesday February 22 2017Nonresident Alien Tax Compliance Wednesday February 22 2017