Accounts Payable Tax Workflow Payments
Payments to Non-Employees and Non-Contractors – Review and Approval Form -- To better determine if a payment(s) to a non-employee of UH or an individual who is NOT an independent contractor should be paid through Payroll or Accounts Payable, a list of questions helps to define their facts and circumstances. This form should be uploaded to the voucher as backup documentation.
Voucher Workflow Matrix for Scholarships and Tax-Related Payments -- The matrix indicates which workflow path to choose (Scholarships or Tax) based on (1) the account used (2) the classification of the payee (student, employee, etc.). The matrix also indicates which types of payments require tax review and approval, prior to Accounts Payable approval.
Contract Services and Honoraria for U.S. Citizens and Foreign Nationals -- Procedure on payments to independent contractors, guest speakers/lecturers/artists, and foreign source income.
Nonqualified Scholarships/Fellowships/Participant costs/Prizes/Awards -- Procedure on payments and approval routing instructions for U.S. Citizens and Foreign National vendors in Accounts Payable and in Concur Travel Management System.
Foreign National Tax Payments
Foreign National Tax Withholding Matrix -- The matrix indicates the tax withholding rate and payment procedure on compensation for services, honoraria, and travel reimbursements.
Travel Reimbursements for Foreign Nationals -- Procedures on travel reimbursements for University Guests, Students, and Prospective Students who have been identified as a Foreign National.
Foreign National Information Addendum -- Formally Known as “Non-Resident Addendum.” Required by the Tax Department to determine tax rather than employment eligibility verification purposes. Attach this form to Honorariums, Contract Services, Royalty Payments, Scholarships, Research Payments, Awards/Prizes/Gifts, and route voucher through Tax Workflow. This form should also be attached to University Guest and Student Travel reimbursements.
Foreign Source Income Statement -- Attach this form to compensation paid to a Nonresident Alien for services performed entirely outside of the United States. Statement must be completed and signed by Nonresident Alien.
Revenue Contract Approvals
- To help ensure compliance with SAM 03.A.05, § 7.5, all UH System revenue contracts of more than $50,000 will document appropriate administrative reviews using the “Revenue Contracts Over $50,000 Administrative Review and Approval Form”.
- This form helps to ensure that all revenue contracts have appropriate reviews for tax compliance, debt covenant compliance, and auxiliary enterprise compliance.
- Specific instructions for form routing are found on the second page of the form.
- Revenue contracts over $50,000 will not be accepted by the Office of Contracts Administration without a completed and signed form.
- Form: Revenue Contracts Over $50,000 Administrative Review and Approval Form
Other Tax Topics
Stipends –- Why someone should NOT use the word “stipend” if they want their payment to be properly processed.
Royalty Payments -- Procedure for industrial and copyright royalty payments
Education Tax Incentives -- Matrix from IRS Publication 970 and memoranda discussing three tax benefits of (1) American Opportunity Credit, (2) Lifetime Learning credit, and (3) student loan interest deduction.
Texas Sales Tax Holiday -- a website link for the Sales Tax Holiday offered once a year by the Texas Comptroller’s Office.
UH Tax Form Contact List -- Who to call with questions about a tax form issued by the University of Houston.