NRA Honoraria

If you would like to pay an honorarium to a foreign national (non-U.S. citizen), please visit the Global Support Program first for complete instructions.

After originating your payment request in Compass, you will be prompted to answer one question regarding your visitor's tax residency status and two more follow-up questions, depending on how the first question is answered. The following information details how to answer those questions.

How to Answer the Compass NRA Honoraria Questions

Is this payment to or on behalf of a foreign national?

  1. If your visitor is a U.S. citizen, select No.
  2. If your visitor is not a U.S. citizen, select Yes, as shown in the following screen image:
    Image 1
    Image 2
  1. For all other visitors' statuses (non-U.S. citizen), based on the substantial presence test, proceed to the next question and answer it as it relates to the visitor's situation.

Was all the activity for which payment is requested performed outside of the US?

If the Nonresident Alien Tax specialist determines that the payment is taxable, would you like the payment “grossed-up” and the tax charged to the department?

Generally, taxes are deducted from the gross payment amount.  Occasionally, a department desires to cover the tax by grossing up the net payment desired by 42.9 percent (for 30% tax rates) or 16.28 percent (for 14% tax rates).  Select No if the payee should pay the tax or Yes if the department will pay the tax. For more information regarding the "gross-up" calculation and for detailed instructions about which forms to include with your payment request, please refer to the Global Support Program site.

If either the second or third question are answered yes, complete the information requested in Compass (Name, Country, Visa Type, etc).

For more information regarding special rules criteria for paying honoraria, see the Honoraria Special Rules Chart