IRS Payment Type & NRA Withholding Amount
| Income Category |
Description |
Type of Payments |
Withholding Amount |
| Compensation (Dependent) |
Employee services
(student worker, graduate assistant, faculty,
staff) |
Wages,
Salary,
Travel Payments |
*Graduated tax withholding + additional "non-cash"
amount to total wages earned per bi-weekly pay period (based
on single marital status + 1 exemption**) |
| Compensation (Independent) |
Independent contractor services |
Consulting Fees,
Guest Speaker Fees,
Honoraria,
Travel Payments |
30% |
| Qualified Scholarship/Fellowship |
No services required; independent educational activity |
Tuition,
Room and Board, Fees; Supplies, Equipment |
0% |
| Non-qualified Scholarship/Fellowship |
No services required; independent educational activity |
Stipend/Living Allowance (Room & Board),
Travel
|
|
| Royalty |
Passive income for use of intangible goods |
Royalty |
30% |
| Other income |
No services required; no specific recurring criteria |
Prizes,
Awards |
30% |
*In certain cases, individuals from Canada, Mexico,Japan,
Korea, American Samoa, the Northern Mariana Islands and students
from India may
be eligible for additional withholding allowances based on treaty benefits.
**The additional "non-cash" tax withholding amount per bi-weekly
pay period offsets the standard deduction, which NRAs are not eligible
to claim on their tax return.
|
