Honoraria/Compensation for Services: B-2/WT
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Visitors who wish to enter the U.S. as a tourist can visit a U.S. embassy or consulate and apply for a B-2 visa. They
show this visa to the immigration inspector as they enter the U.S. and are given a status on their I-94 card of B-2.
Visitors from countries that are part of the Visa Waiver Program do not need
to arrange an embassy appointment or obtain a visa ahead of time. These visitors complete a green I-94 card and are
awarded a status of WT on their I-94 card as they enter the U.S.
Honorarium. Individuals in B-2 or WT status may receive an honorarium as long as:
- The activity for which the visitor is being paid will last no longer than 9 days, AND
- The visitor has been paid by no more than 5 other institutions in the past 6 months
Visitors should be given a statement and an explanation of the nine-day five-institution rule so that they have the
necessary information to comply fully with immigration regulations.
If the activity is expected to last longer than nine days, visitors may not accept payment if they are in the U.S.
with a status of B-2 or WT. Contact the international office. Entering the U.S. with a different immigration status may
make it possible for the visitor to accept payment for events lasting longer than nine days. The international office can
outline the options for a particular case.
Payment Procedures
Departments should refer to financial and purchasing policies and procedures to determine the appropriate system to use
when processing an honoraria or compensation for services payment for a short term visitor. For tax purposes, honorarium or
compensation for service type payments are generally subject to income tax withholding unless an exemption applies.
In order to pay a B-2/WT visitor an honorarium or compensation for services, the department must collect the following
documentation:
- Tax Cover Sheet-International Short-Term Visitor
- Copy of I-94 Departure Card
- Form W-8BEN, Part I, questions 1-6 and Part IV.
If the visitor is a tax resident of country that has a tax treaty
with the U.S., the visitor may be eligible to receive an exemption from the required income tax withholding. In order to apply
for a treaty based exemption, the visitor must complete an International Tax Questionnaire (ITQ).
The tax department will process the tax questionnaire and determine if the individual is eligible to receive tax treaty benefits.
If eligible, an IRS Form 8233 will be generated
for the visitor to review and sign. A U.S. tax ID number, or proof of application for a U.S. tax ID number, is required before
Indiana University can generate the Form 8233. If the visitor does
not have a U.S. tax ID number but wishes to apply for one during their visit to IU, see
Applying for an ITIN to determine the appropriate process for your visitor.
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