GLACIER and Withholding Tax
Scholarships received from the UA are usually subject to Federal and State income tax, also known as withholding tax. Completing a GLACIER record and submitting the required forms informs the UA whether tax withholding will be required. For questions regarding withholding tax, contact ISS.
In general, payments to nonresident aliens for tax purposes will have tax withheld as follows:
Scholarship payments are subject to 14% tax withholding for foreign visitors under F, J, M or Q status; 30% tax withholding for foreign visitors under all other status
Fees for service paid through the Disbursement Voucher process are subject to 30% tax withholding
Expense reimbursements (except in the case of scholarships) are not subject to tax withholding
Scholarship payments derived from a foreign source are not subject tax withholding
Payments to nonresident aliens performing services outside the taxing jurisdiction of the United States are not subject to tax withholding
Fees paid through the Employment Process have tax withholding issues unique to the employee.
If you receive any kind of payment from the UA, you should create a GLACIER account to ensure you are being taxed appropriately. If you do not create a GLACIER account, you will be taxed at the highest rate. GLACIER is an online tax compliance software system used by the University of Arizona to maintain tax compliance with nonresident alien tax issues, determine tax residency, and evaluate income tax treaty benefits.
You should create a GLACIER account if you:
Work on campus
Receive a U.S. based cash scholarship payment (example: Athletics cash scholarship)
Receive other taxable payments, such as winning a prize.
You do not need to create a GLACIER account if you:
Receive a non-cash scholarship (example: a tuition waiver)
Receive a scholarship from a foreign source (example: scholarship from home government)
You can find more information about GLACIER under "GLACIER vs. GLACIER Tax Prep" (above).
|Scenario||How to Access|
|You have employment at the UA|
You will receive an receive an email with GLACIER login information from the UA Payroll office after your employer completes the new hire process
|You have employment at the UA but did not receive an email with GLACIER login information|
Contact the UA Payroll Office to request access
|You receive payments from the UA (cash scholarship or fellowship)||Log into UA International, complete the ITIN e-form to start application process (read more under Individual Taxpayer Identification Number (ITIN) below), and wait for instructions from ISS|