Introduction
Purpose
This procedure provides information for foreign national employees who are completing tax forms, whether they are visiting Teachers/Researchers (visiting scholars) or Students (graduate student research and teaching assistants as well as other student employees).
Scope
Foreign national employees who are completing tax forms, whether they are visiting Teachers/Researchers (visiting scholars) or Students (graduate student research and teaching assistants as well as other student employees).
Procedure
Certain tax forms must be completed by foreign national employees, whether they are visiting Teachers/Researchers (visiting scholars) or Students (graduate student research and teaching assistants as well as other student employees). this requirement is in addition to the forms already denoted in Policy 1117.
Forms and Instructions
The following list denotes the most commonly used tax forms which may need to be completed by foreign nationals receiving payroll compensation:
- PR-100, Foreign National Payroll Tax Assessment Form
This form must be completed by all foreign nationals unless they have a Green Card (Permanent Resident Card) and is used to determine the foreign national’s tax status (i.e., to determine whether they are resident alien or nonresident aliens for tax purposes). This form also provides information to ensure proper tax withholding and reporting.
- Form 8233, Exemption from Withholding on Compensation for a Nonresident Alien
This form is used by a nonresident alien to claim exemption from withholding on wages received from the University based on a U.S. tax treaty with the foreign national's country of residence.
- Form W-9, Request for Taxpayer Identification Number and Certification
Aside from providing the University with the correct taxpayer identification number of the resident alien payee, Form W-9 is also used by a resident alien to claim exemption from withholding on wages received from the University based on a tax treaty with the foreign national's country of residence.
- Form W-4, Employee's Withholding Allowance Certificate (Federal)
This form is used as the basis for calculating federal income tax withholding from pay. For those in resident alien tax status, Form W-4 is completed in Self-Service in ConnectCarolina. For those in nonresident alien tax status, Self-Service W-4 submission is not allowed, and Payroll Services will correspond directly with the foreign national to collect any tax forms needed through other means.
- Form NC-4, Employee's Withholding Allowance Certificate (State)
This form is used as the basis for calculating North Carolina state income tax withholding from pay. For those in resident alien tax status, Form NC-4 is completed in Self-Service in ConnectCarolina. For those in nonresident alien tax status, Self-Service NC-4 submission is not allowed, and Payroll Services will correspond directly with the foreign national to collect any tax forms needed through other means.
- Form W-8BEN, Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding and Reporting (Individuals). This form certifies that a foreign national is not a U.S. person and is the beneficial owner of amounts paid which may be subject to withholding.
- Notice of Employee Working Outside of North Carolina. This form is used to notify Payroll Services of any employee (foreign or domestic) who is working for UNC anywhere outside of the state of North Carolina.
Other Forms, Instructions, and Publications for Foreign Nationals from the Internal Revenue Service (IRS)
Related Requirements
External Regulations and Consequences
Other forms, instructions, and publications provided by the IRS.
University Policies, Standards, and Procedures
- Finance Policy 1117 - University of North Carolina at Chapel Hill Policy on Foreign National Employees
- Finance Policy 1120 - University of North Carolina at Chapel Hill Policy on Tax Status of Foreign Nationals
Contact Information
Primary Contact
| Subject |
Contact |
Telephone |
Fax |
E-Mail |
| Foreign Nationals |
Payroll Services |
919-962-0047 |
|
nrapayrolltax@unc.edu |
History
Revised:
- June 1, 2023
- October 27, 2010
- August 24, 2009