Payment Process for International Visitors

Payment Process for International Visitors

Flowchart:

Payment Process for International Visitors

Background:

The American Competitiveness and Workforce Act provided the ability to pay reimbursements for expenses and honoraria to international visitors engaged in academic activities within a limited set of circumstances. In addition to work authorized visa types,  we can now pay visitors in a "B" status, (B-1, B-2, combination B-1/B-2, W-T, W-B, and combination W-T/W-B). To do so, the International Visitors Declaration Form will need to be completed that indicates the activity and that the individual met all requirements.

Terminology:

Visa is an official endorsement to enter, leave, or stay in the U.S. for a specified period of time.  This may be a special page or a stamp in the visitor’s passport.ype is the stamp in the visitor's passport or it is on the I-94 form showing the visa status under which they entered the U.S. for this, their most current visit.

Visa Status is determined by what the US Citizenship and Immigrations Services Inspector writes within the blue, oval U.S. Homeland Security stamp into the visitor's passport at the port of entry or that is electronically entered into the ESTA system during their international flight check-in process.

ESTA is an 'electronic sytem for travel authorization' used by the U.S. It is not a visa type nor a visa status. 

A copy of their I-94 form can be obtained by the visitor on the U.S. Homeland Security's website.

B-2, W-T = Visitor in a tourist status.
B-1, W-B = Visitor for business purposes.

W-T and W-B are equivalent of B-2 and B-1 visa types for visitors residing in a visa-waiver country.

8233- IRS form used for international visitors residing in those countries who have a tax treaty with the U.S. to claim a reduced rate of tax on the personal services they perform inside the U.S. This form requires the visitor have a U.S. Taxpayer Identification Number (TIN or SSN)

W-8 Forms - Accounts Payable Vendor Maintenace requires an IRS W-8 form be  forwarded to them in order to set up a non-resident alien into Banner. The most common W-8 form for foreign individuals is the W-8BEN. More information can be found at https://ba.uoregon.edu/content/vendor-setup

 

 

 

 

Select Appropriate Travel Situation:

  1. Travel Per Diem under 10 days and visitor has not been reimbursed by more than 5 institutions in the last 6 months.

  2. Travel Per Diem over 9 days and/or visitor has been reimbursed by more than 5 institutions in the last 6 months.

  3. Honorarium, in addition to Travel & Per Diem - under 10 days and visitor has not been reimbursed by more than 5 institutions in the last 6 months.

  4. Honorarium, in addition to Travel & Per Diem - over 9 days and/or visitor has been reimbursed by more than 5 institutions in the last 6 months.

Travel Visit under 10 days

Travel hotel and per diem under 10 days and visitor has not been reimbursed by more than 5 institutions in the past six months.

Visitor may enter the country in a B1, B2, WB or WT status.

1. Initiating Departments are responsible for collecting and keeping in their records a signed International Visitors Declaration Form and a copy the visitor's I-94.

2. Attach a copy of both forms to the travel reimbursement that is processed in Duck Web.

 

Forms Checklist:

Type of Payment: Honoraria/Expenses
 
Honoraria/Expenses Travel Expenses Travel Expenses
Visitor's Status:

J,O,P etc- Authorized formally by RO/ARO or SEVIS 

Visitor for Business or Tourist Status (B1,B2,WT,WB& combinations) Tourist Status (B2,WT) Visitor for Business (B1, WB and combinations WB/WT, B1/B2)
PSC X X    
8233 Form if Appl. if appl. if appl.    
Photocopy of I-94 X X X X
Declaration Form X X X X
Travel if appl. if appl. X X

Note:

  1. Canadians without an I-94 are presumed to be in a B tourist status. Inititating Departments will need to obtain a copy of their Canadian Passport. 

Travel Visit over 9 days

Travel Per Diem over 9 days and/or visitor has been reimbursed by more than 5 institutions in the past six months.

Visitor must enter the country as a visitor for Business with a status of WB or B1.

If the activity and your Business visa type visitor meets the qualifications and signs the International Visitor Declaration, they can be paid/reimbursed for hotel and meal per diem for more than 9 days. If the visitor cannot, the following procedures will need to followed depending on what you intend to pay your visitor:

Honorarium and or related expenses:

Contact the Office of International Affairs at least 6 weeks before the scheduled visit. They will help you obtain the appropriate paperwork (DS-2019) to send to your visitor. Your visitor will use the DS-2019 to get the correct visa from the U.S. Embassy in their home country. The most common J-1 Visa enables the visitor to work and receive proper payment.

Reimbursement of travel expenses:

Your visitor will need to enter the country in a visitor for business status W-B or B-1. You need to draft an official letter of invitation that your visitor can present to the pertinent authority requesting that they grant your visitor a visitor for business status. They may be from a country that is participating in the Visa Waiver Program , or already have a valid ongoing visa (extended term), in which case they would present the letter to immigration official at the port of entry. Or they may be required to get a new visa from the U.S. Embassy in their home country.

AND

Attach a copy of the I-94 to the travel reimbursement that is processed in Duck Web.

Forms Checklist:

Type of Payment: Honoraria/Expenses
 
Honoraria/Expenses Travel Expenses Travel Expenses
Visitor's Status: Work Authorized Status J,O,P etc. Visitor for Business or Tourist Status (B1,B2,WT,WB& combinations) Tourist Status (B2,WT) Visitor for Business (B1, WB and combinations WB/WT, B1/B2)
PSC X X    
8233 Form if Appl. if appl. if appl.    
Photocopy of I-94 X X X X
Declaration Form X X X X
Travel if appl. if appl. X X

Notes:

  1. Canadians who enter the country without an I-94 are presumed to be in a B tourist status, and will only be eligible to receive an honorarium if they are able to file a declaration form. The Initiating Department will need to obtain a copy of their Canadian Passport.

Honoraria & Travel Visit under 10 days

Honorarium, in addition to Travel & Per Diem less than 10 days and visitor has not been reimbursed by more than 5 institutions in the last 6 months.

Visitors Declaration Form,and can enter the country in a Visa Status of WB, WT, B1 or B2.

Important Tax Implications:

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.

1. If your visitor does not have a US tax reporting identification number they must:

Apply for either a Social Security Number (SSN) or Individual Tax Identification Number (ITIN)

For SSN:

Social Security Administration
2504 Oakmont Way
Eugene, OR 97401-5441
Office Hours: 9:00 am-4:30 pm

Your visitor will be required to present a passport and 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.

For ITIN: W-7

In person:

Internal Revenue Service
211 E. 7th
Eugene, OR 97401
Office hours: 8:30 a.m.-4:30 p.m.
(541) 302-0999

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

Determine whether your visitor will be eligible for tax treaty benefits. See the

List of Countries with US Tax Treaties

THEN

If your visitor is eligible for tax treaty benefits submit a completed 8233 (instructions) to Accounts Payable allowing 10 days before payment date.To file an 8233 form you are required to have a federal reporting identification number. There is a ten day waiting period after an acceptance agent signs off on a form and remits it to the IRS. If the IRS does not reject the form within the ten-day waiting period the 8233 form is in effect.

THEN

Submit PSC to Purchasing and Contracting Services attach a copy of the I-94.

Forms Checklist:
 

Type of Payment: Honoraria/Expenses
Authorized Status (J,O, P etc).
Honoraria/Expenses Travel Expenses Travel Expenses
Visitor's Status: Work Authorized Status (J,O,P etc). Visitor for Business or Tourist Status (B1,B2,WT,WB& combinations) Tourist Status (B2,WT) Visitor for Business (B1, WB and combinations WB/WT, B1/B2)
PSC X X    
8233 Form if Appl. if appl. if appl.    
Photocopy of I-94 X X X X
Declaration Form   X X X.
Travel if appl. if appl. X X

Notes:

  1. Canadians and Mexicans who enter the country or receive a travel reimbursement without a passport or I-94 are presumed to be in a B tourist status, and will only be eligible to receive an honorarium if they are able to file a declaration form. We will need to secure a copy of documentation that demonstrates that your visitor is a Canadian citizen, if they enter the country without an I-94 or Passport.

  2. If your visitor is already in the United States in a J status, teaching at another institution or working for another entity they are the sponsoring employer. If this is the case, there are additional steps that must be followed which may allow us to pay your visitor. Call Joy Germack at (541) 346-0782 for more information before you make any visiting arrangements!

Honoraria & Travel Visit over 9 days.

Honorarium, in addition to Travel & Per Diem more than 9 days and/or visitor has been reimbursed by more than 5 institutions in the last 6 months.

Visitor must obtain a work authorized Visa Status. Contact the Office of International Affairs.

Since your visitor does not meet the qualifications on the International Visitors Declaration Form they need to enter the country in a "Work Authorized" status.

Honorarium and or related expenses:

Contact the Office of International Programs at least 6 weeks before the scheduled visit. They will help you obtain the appropriate paperwork (DS-2019) to send to your visitor. Your visitor will use the DS-2019 to get the correct visa from the U.S. Embassy in their home country. The most common J-1 Visa enables the visitor to work and receive proper payment.

AND

Important Tax Implications:

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 address of our local Social Security Administration Office is listed below.

1. If your visitor does not have a US tax reporting identification number they must:

Apply for either a Social Security Number ( SSN) or Individual Tax Identification Number ( ITIN)

For SSN:

Social Security Administration
2504 Oakmont Way
Eugene, OR 97401-5441
Office Hours: 9:00 am-4:30 pm

Your visitor will be required to present a passport and 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.

Determine whether your visitor will be eligible for tax treaty benefits. See the

List of Countries with US Tax Treaties

If your visitor is not eligible for treaty benefits,submit PSC to Purchasing and Contracting Services attach copy of the I-94 attached. Payment will be subject to 30% withholding.

2. If your visitor does have a US tax reporting identification number, determine whether your visitor will be eligible for tax treaty benefits.

See the

List of Countries with US Tax Treaties

THEN

If your visitor is eligible for tax treaty benefits submit a completed 8233 (instructions) to Accounts Payable allowing 10 days before payment date.To file an 8233 form you are required to have a federal reporting identification number. There is a ten day waiting period after an acceptance agent signs off on a form and remits it to the IRS. If the IRS does not reject the form within the ten-day waiting period the 8233 form is in effect.

THEN

Submit PSC to Purchasing and Contracting Services attach a copy of the I-94.

Forms Checklist:

Type of Payment: Honoraria/Expenses
Authorized Status (J,O, P etc).
Honoraria/Expenses Travel Expenses Travel Expenses
Visitor's Status: Work Authorized Status (J,O,P etc). Visitor for Business or Tourist Status (B1,B2,WT,WB& combinations) Tourist Status (B2,WT) Visitor for Business (B1, WB and combinations WB/WT, B1/B2)
PSC X X    
8233 Form if Appl. if appl. if appl.    
Photocopy of I-94 X X X X
Declaration Form   X X X
Travel if appl. if appl. X X

Notes:

  1. Canadians and Mexicans who enter the country or receive a travel reimbursement without a passport or I-94 are presumed to be in a B tourist status, and will only be eligible to receive an honorarium if they are able to file a declaration form. We will need to secure a copy of documentation that demonstrates that your visitor is a Canadian citizen, if they enter the country without an I-94 or Passport.

  2. If your visitor is already in the United States in a J status, teaching at another institution or working for another entity they are the sponsoring employer. If this is the case, there are additional steps that must be followed which may allow us to pay your visitor. Call Joy Germack at (541) 346-0782 for more information before you make any visiting arrangements!