Payments for Independent Personal Services (Honoraria)
- NONRESIDENT ALIENS
Provisions regarding payments made to non-employee foreign nationals for independent personal services (such as honoraria, consulting fees, and performance fees) are subject to the following requirements:
- Must obtain proper visa classification for payment. Provide copies of visa classification stamp/Form I-94 and copy of passport. I94 - Official Website
- Provide a Social Security Number (SSN) or Individual Tax Identification Number (ITIN). ITIN is only available to non-employees who cannot obtain a Social Security Number.
- Residency Status will be determined through the Glacier Tax Compliance System. Please contact firstname.lastname@example.org for foreign nationals access to Glacier. Please indicate this is for a non-employee foreign national. Provide foreign nationals first name, last name and email address.
- Foreign visitors who hold a B-1, B-2, WB, and WT visa, must complete UC Form "Certification of Academic Activity." Under the Act, an academic activity may not exceed nine days at a single institution, and the visitor cannot accept honoraria from more than five such institutions or organizations in the previous six-month period. Will be provided by the Glacier Tax Compliance System.
- Except for 5a or 5b below, all payments are subject to 30% federal tax withholding after subtracting the value of one personal exemption.
- If the foreign visitor is from a tax treaty country and meets the requirements of the applicable treaty, no federal tax withholding is required. The exemption from withholding becomes effective for payments made at least 10 days after IRS Form 8233 has been mailed to the IRS Office of Compliance. Will be provided by the Glacier Tax Compliance System.
- If the tax treaty benefit is not available and you're a resident of Canada, Mexico, or the Republic of (South) Korea; a student from India; or a U.S. national; you may be able to claim additional personal exemptions for your spouse and children. See Pub. 519 for more information.
- W8BEN Form
- CA Form 587
- Department to complete Form 5
- Send Form 5, Backup Forms, and Document Copies to Elena Valdez Accounting Office - 002
- RESIDENT ALIENS
Payments to resident aliens for independent personal services (honoraria) are not subject to tax withholding, but are reported by the Accounting Office to the IRS on Form 1099-MISC, U.S. Information Return. For policy and procedures, go to: