Payment to Foreign Nationals
U.S. tax laws are complicated and it is the individual’s responsibility to comply with these laws. app’s Financial Services Office cannot act as an advisor to individual taxpayers.
app must ensure that proper authorization is in place before a Foreign National can provide any professional services to the university. If your department is planning on bringing a non-U.S. citizen to campus and paying them, please contact the Payroll office prior to their arrival. United States immigration regulations restrict the types of payments that can be made to persons who are neither citizens nor permanent residents of the United States.
Non-Resident Alien or Resident Alien
Non-resident alien and resident alien are important tax classifications unrelated to immigration.
- Non-Resident Alien: Is taxed on U.S. source income only, not the worldwide income. Generally, a non-resident alien is eligible for only one personal exemption and cannot take the standard deduction on their tax return.
- Resident Alien: Is taxed in the same manner as a U.S. citizen. Also, is a foreign national who either has a green card or meets the “substantial presence test” as defined by the IRS in Publication 519.