APS 32.4 – Payments to Foreign Nationals

(Approved by the Vice President for Finance and Facilities by authority of Administrative Order No. 9)   

1.  Policy

The University is responsible for maintaining compliance with both the letter and the intent of all federal, state, and local laws when paying foreign nationals, including but not limited to:

1. Verifying that appropriate authorization and visa status is received in advance of any payment (see Foreign National Payments & Tax Withholding);
2. Verifying that the payment can be issued to foreign nationals in advance of their arrival (see the downloadable Payments That Can Be Issued to Foreign Nationals chart); and
3. As a withholding agent for the Internal Revenue Service (IRS):
   • Withhold tax under Section 1441 of the Internal Revenue Code from all payments made to or on the behalf of a nonresident alien (see Tax Withholding Types).
   • Report all such payments to the IRS as per Treasury Regulation §1.1461-2.

2.  Procedures for Payments to Foreign Nationals

Refer to the Making Payment to Foreign Nationals web page for detailed instructions on paying foreign nationals.

3.  Additional Information

For related information concerning foreign nationals, see the following web pages:

• Checklists, Charts & Other Resources
• Federal Withholding Tax for Foreign Nationals
• Independent Contractors
• Individual Tax Identification Numbers – ITIN
• Taxpayer Identification Number (see Tax Home)
• Travel (see Welcome to Travel)
• UW Tax Responsibilities by Departments

February 1997; August 18, 2015.