The Payroll System has established a new Non-Resident Alien Tax Deduction System for reporting and withholding taxes from personal service payments made to non-resident aliens. Payments to non-resident aliens should be made through the Payroll System as instructed in Payroll Bulletins P-914 and P-921, and not through the Central Accounting System.

Because most agencies do not employ non-resident aliens as either employees or as independent contractors, the system is currently limited to the agencies listed in Payroll Bulletin P-914.

For more information on the Federal Tax requirements used to report Alien Tax information, you should order Publication 515, Withholding of Tax on Nonresident Aliens and Foreign Corporations, Publication 519, U.S. Tax Guide for Aliens, and Publication 901, U.S. Tax Treaties from the Internal Revenue Service by calling 1-800-829-1040.