The above subject is causing so many questions here at our campus
(SUNY/Buffalo) that I can't believe we're going through this alone!  I'm
hopeful that someone out there may be able to offer some advice and/or other
help in this area:

 Initially, the problem is three-fold:

1.   Classification issues - Is the person appropriately classified as an
"independent contractor" as opposed to an "employee"?  (I think we've got
this part covered.)

2.   Taxation issues - i.e., specific regulations from country of origin,
existence/ non-existence of tax treaty between US and relevant country,
completion of such forms  as 8233, W-8, W-9, holding payment for 10 days,
withholding 30% taxes.

3.   Immigration issues - Does the individual's visa status allow receipt of
any form of compensation?  What about "walk-overs" from Canada who come here
with no paperwork yet expect to be paid for services (this is common in a
border town like Buffalo).

 These problems are compounded by the fact that these activities are
extremely time-consuming yet constitute only a small portion of our
post-award workload, our staff is called upon  to make decisions which would
be more appropriately directed to an IRS and/or INS expert, and  we have
actually been accused by some faculty of trying to sabotage their foreign
programs.

 Then there are the specific questions -- for example, when the IRS
returns an 8233 for lack of information, what do you do if faculty won't
cooperate in getting a new form completed or the alien won't respond to your
requests?  (This is even more of a problem when the 8233 is returned after
the 10-day return period and the check has already been released.)

 So...how do you do it?  Have you identified any training which has been
especially helpful for staff?  Is there an office/person dedicated to such
issues?  Is there anything special you have done to reach out to the faculty
 -- we just began placing an article each month in our departmental
newsletter and plan to offer training and info sessions later this spring.

 I'd appreciate any help, comments, or suggestions you may offer.

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Linda Mitchell, Director, Grants and Contracts
SUNY - University at Buffalo
e-mail:  xxxxxx@research.buffalo.edu
phone:  (716) 645-2634, ext. 100
fax:         (716) 645-2760