The following information should assist international employees in completing forms and understanding the tax options available to you as a non-resident of the United States.
OBTAINING A SOCIAL SECURITY NUMBER
1. Once you have a job, you must apply for a Social Security Number (SSN). All employees are required to obtain a SSN, and should do this as soon as possible after being hired. Until you have your SSN, your pay checks maybe redirected to the FSO-Operations Office.
2. Complete Form SS-5, Social Security Administration Application for a Social Security Card. These forms are available at the local Social Security Offices or in the main FSO-Operations Department. (University Services Building, 888 N. Euclid Ave., room 402.)
3. You will need your passport, a letter from the ISPS, a letter from the department that you will be working for, and any documentation given to you by the USCIS (Form I-94, DS 2019, I-20)
4. Take the completed Form SS-5 along with the appropriate documentation to one of the local Social Security Offices, located at 3500 N. Campbell Ave., and 2716 S. 6th Ave. Office hours are Monday-Friday 9:00 am - 4:00 pm. For any questions, call 1-800-772-1213. You can also call that number 48 hours after applying, to verbally obtain your new number.
5. Once you receive your card, take it to the payroll representative in your department. They will make a copy of it so that your SSN can be entered into the Payroll system.
NOTE: International Students may NOT work over 20 hours per week. If you work more than 20 hours a week, you will be out of status.
To work at the University, you MUST remain in a valid immigration status. Once out of status, employment will be terminated immediately!
F-1, J-1, M-1, AND Q-1 VISA TYPES
1. Are you from a country that has a tax treaty with the United States? If you are, or are not sure, you will need to enter your immigration status into the Glacier software application. For more information on Glacier please email Payrollinfo@listserv.arizona.edu.
2. All newly hired international employees should receive an email from support@online-tax.net. If you do not receive an email please send a request to Payrollinfo@listserv.arizona.edu
3. By entering your information in Glacier, we can determine your eligibility for a tax treaty and if you are exempt from FICA taxes. Once your information has been entered, Glacier will prompt you to print the tax summary report and will display additional reports needed to determine your tax status. The tax summary report, and copies of your passport, visa, front and back of the I-94 and DS 2019 or I-20, should be sent to the FSO-Operations Department at 888 N. Euclid, room 402. If it is determined that you are eligible for a treaty tax exemption, you will need to print out the form 8233 and treaty statement and sign before sending to FSO-Operations.
4. If you are not eligible for a tax treaty with the United States, complete a Form W-4.
5. FICA: Non-residents with visa types F-1, J-1, M-1, Q-1 and Q-2 may qualify as exempt from paying FICA (Social Security) tax for up to 5 years as a student, or up to 2 years as a teacher or researcher. To qualify for this tax exemption, please enter your information into Glacier as instructed above.
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Work Authorized J-2, M-2 VISA TYPES
1. These visa types are not eligible for a tax treaty benefits. You will need to complete a form W-4.
2. FICA: Work authorized J-2 or M-2 visa types are subject to FICA (Social Security) tax. If you are a student, you may be eligible for exemption under the student provisions for FICA. As long as you are enrolled at least half time (6 credit hours each semester), you will be exempt from paying FICA. If at any time you drop below 6 credit hours, you will begin to pay FICA.
How To Complete Form W-4 (all non-residents except H-1, J2, M2 visa types)
1. It is recommended that all University employees use the on-line Form W-4 on Employee Link.
2. Preprinted in Employee Link will be your name, U.S. address, and Social Security Number. If this information is incorrect, please contact Financial Services Office at 621-9097
3. Check “Single” or “Married, but withhold at the higher Single rate” marital status, regardless of actual marital status. Non-residents may not claim “Married”.
4. Claim no more than one (1) withholding allowance on line 5, unless a resident of Canada, Mexico, or South Korea (Republic of Korea), or a U.S. National (Guam, Puerto Rico, U.S. Virgin Islands). Employees from these countries may claim all of their dependents present in the U.S.
5. Write non-resident alien or NRA on the dotted line by line 6. You may request that an additional amount be withheld on line 6.
6. Submit, confirm AND authorize the form.
Students from India: Article 21(2) of the U.S. -India Income Tax Treaty allows students from India to claim dependents present in the U.S. on line 5 of the W-4. They may not claim “Exempt”.
H-1 VISA TYPE
1. Employees with H-1 visa types are considered residents for tax purposes.
2. FICA: H-1 visa holders are required to pay FICA (Social Security) tax.
How To Complete Form W-4 (H-1visa):
1. It is recommended that all University employees use the on-line Form W-4 on Employee Link.
2. There is a printable allowance worksheet that you may link to in Employee Link. The worksheet at the top of the form can be used to determine the number of withholding allowances you wish to claim.
3. Preprinted in Employee Link will be your name, U.S. address, and Social Security Number. If this information is incorrect, please contact Financial Services Office at 621-9097
4. Check your marital status on line 3.
5. Enter the total number of withholding allowances from the allowance worksheet.
6. If you wish to have an additional amount of federal tax withheld, enter the amount in line 6. If you do not want an additional amount withheld, please leave the amount at $0.
7. If you want to claim tax exempt, check the “Exempt” box on line 7. **If you will be earning more than $200 per week, the University is required to submit a copy of this form to the IRS for approval. **
8. Submit, confirm AND authorize the form.
TAX REPORTING
At the end of January, you will receive tax documents stating your earnings and taxes withheld from the previous year. You may receive a Form W-2, a Form 1042-S, or both.
• If you are not eligible to claim “Exempt” under a tax treaty, all of your income will be reported on a Form W-2.
• If ALL of your income was “Exempt” due to a tax treaty, all of your income will be reported on a Form 1042-S.
• If you were able to claim “Exempt” due to a tax treaty, but some of your income was taxed because you reached the limits of your treaty, you will receive a Form W-2 and a Form 1042-S. Form W-2 reports all income which was taxed, and Form 1042-S reports all income which was “Exempt” under a tax treaty.
• If you had US - sourced financial aid, regardless of whether you are from a tax treaty country, this will also be reported on a Form 1042-S.
• You are required to file your tax statement with the federal and state governments. Even individuals who do not receive income during the year must file an information return (Form 8843).
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