Tax Year 2007 Information for Payroll Coordinators

Distribution of W-2, 1099R and UW Stipend Letter forms

• For active employees, W-2, 1099R and UW Stipend letters will be distributed with paychecks on Friday January 25, 2008
• For separated, partial leave or inactive employees, W-2, 1099R and UW Stipend Letters will be mailed to the employee’s provided local address

Returning a W-2, 1099R or UW Stipend Letter form for inactive employees

• If you receive these forms for an employee that is no longer active in your department, mail them through Mailing services, or return them to the Payroll Office
• Important: these forms are UNSTAMPED MAIL. Mailing Services requires a departmental bar code in order to process unstamped mail
• DO NOT attempt to mail them through the U.S. Postal Service. Unstamped mail cannot be delivered by the Post Office

Distribution of 1042-S

• For active employees, the 1042-S form will be distributed with paychecks on Monday, March 10, 2008
• For separated, partial leave or inactive employees, the 1042-S form will be mailed to the employee’s provided local address

Updating local addresses

• It is the responsibility of the home department Payroll Coordinator to make sure all active employee addresses are updated in the Employee Overview section of OPUS
• Confirm the local address with all separating employees
• Employees wishing to update their local address should contact you by December 27, 2007
• If you need help with updating, visit the Payroll Office Contact List

Or contact pronline@u.washington.edu

Replacing a lost or missing form

• The W-2 form is available online from Employee Self Service (ESS)
• Requests for all other forms (1099R, 1042-S or UW Stipend Letter) must be submitted in writing using the Tax Form Replacement Request
• To obtain a Tax Form Replacement Request by phone, call (206) 543-9214.
  • This line will be operational February 1 to April 13. 
  • After April 13, please call (206) 543-9213.
• Mail or fax the completed Tax Form Replacement Request to the Payroll Office:

3903 Brooklyn Ave NE
Seattle, WA 98105
Fax: (206) 543-8137

• Replacement requests received in January will not be processed until February 1st
• Requested tax forms will be mailed first class or held for pick-up at the University of Washington Payroll Office, 3903 Brooklyn Avenue NE. Forms may only be picked up by the individual named on the form and a picture ID will be required

Payroll Overpayments

• The Payroll Office must receive the completed Overpayment Option Form (Payroll Deductions; options 1 & 2) by noon on December 18, 2007
• Repayments via personal check MUST be received by the Payroll Office by noon on December 27, 2007
• If the net amount is not received by December 27, 2007, the University will recalculate the amount of the repayment due, resulting in a higher amount owed by the employee. Because the IRS does not allow the University of Washington to adjust federal income tax withholding for prior years, the University will need to recover not only the net pay but also the federal withholding taxes
• Please contact Marie Atienza (206-616-4362 or overpay@u.washington.edu) if you have questions regarding the overpayment process

W-4’s and the January 10th payday

• Form W-4s affecting the January 10, 2008 payday must be received by the Payroll Office by January 3, 2008
• US Citizens and immigrants can update W-4 information through Employee Self Service
• The University of Washington will not refund federal withholding taxes due to either a late or an incomplete W-4 form
• If the employee’s filing status or withholding allowances have changed since the last filing of a W-4, the employee should also file a new Form W-4, "Employee Withholding Allowance Certificate"

Important: exempt status and the W-4

• If the employee claimed "exempt" status on the federal income tax withholding during 2007 and is eligible to renew the claim for 2008, he or she MUST submit a new Form W-4s , "Employees Withholding Allowance Certificate", to the Payroll Office by February 15, 2008
• If this new form is not received, University is required by law to withhold federal income taxes from the employee’s wages (at the maximum tax table rate of single, with a zero withholding allowance)
• US Citizens and immigrants can update W-4 information through Employee Self Service
  

Information regarding Non-Resident Alien employees

Form W-4

• Employees should complete a new Form W-4s for the year 2008 if their tax status has changed
• IRS instructions for completing the W-4:
• Do not claim exemption from income tax withholding
• Request withholding as if you were single, regardless of your actual marital status
• Claim only one allowance (if you are resident of Canada, Mexico, or Korea, you may claim more than one allowance) and write "Non-resident Alien" or "NRA" above the dotted line on line 6 of the W-4
• Note: Nonresident alien students from India are not subject to the additional income tax withholding requirement.
• If you have any questions, please contact pr-tax@u.washington.edu in the Payroll Office.

Social Security and Medicare taxes

• If the employee is a "resident for tax purposes" for calendar year 2008 under the Internal Revenue Service's substantial presence test, he or she may be subject to Social Security and Medicare taxes. These taxes are applicable to all wage payments made by a U.S. employer to its employees unless an exception applies
• The employee is exempt under Internal Revenue Code Section 3121(b)(19) if all three of the following conditions are met:
• The employee is a non-resident alien for income tax purposes
• The employee is in the U.S. under a F, J, M or Q visa
• The employee is performing services in accordance with the primary purpose of the visa's issuance
• If the employee do not meet all three of the above tests for calendar year 2008, the University will withhold Social Security taxes (6.2% of taxable wages) and Medicare taxes (1.45% of taxable wages)
• If you have any questions, please contact the Internal Revenue Service, a tax advisor, or pr-tax@u.washington.edu

"Exempt" status on US Federal Income Taxes

• If the employee claimed "exempt" status on federal income tax withholding under a U.S. income tax treaty for 2007 and is eligible to renew his or her claim for 2008, the employee must resubmit both:
• A new Form 8233, "Exemption from Withholding on Compensation for Independent (and Certain Dependent) Personal Services of a Non-Resident Alien Individual"
• A U.S. income tax treaty article to the Payroll Office by February 15, 2008.
• If these forms are not received, the University is required by law to withhold federal income taxes from your wages (at the maximum tax table rate of single, with a zero withholding allowance).

Federal Income Tax withholding on stipend payments

• If the employee claimed "exempt" status on federal income tax withholding under a U.S. income tax treaty for 2007 and is eligible to renew the claim for 2008, he or she must submit:

• A new Form W-8BEN, addendum, and required supporting documentation
• A U.S. income tax treaty article:
  • Students
  • Teachers/Researchers
  • Fellowships or Scholarships

• If these forms are not received, the University of Washington is required by law to withhold federal income taxes from at the rate of 14% from your stipend. This is also the case if the form is incomplete, inaccurate or if the addendum is missing.

Payroll Box 355655 A Division of Financial Management payroll@u.washington.edu Modified: January 14, 2008

University of Washington 3903 Brooklyn Ave. NE Seattle, WA 98105 Office (206)543-9202 Fax (206)543-8137 Box 355655 Hours: 8am - 5pm