Subject
Form 1042-S (Foreign Person’s U.S. Source Income Subject to Withholding for Calendar Year 2018)
Date Issued
March 13, 2019
Purpose
To inform agencies of the content information for the 2018 Form 1042-S
Affected Employees
All Nonresident Aliens receiving a Scholarship, employed as an Honoraria, or taking advantage of a treaty between their country and the U.S. with wages in tax year 2018
Background
According to the IRS instructions for Form 1042-S, amounts subject to reporting on Form 1042-S are those that are paid to foreign persons (including persons presumed to be foreign) that are subject to withholding, even if no amount is deducted and withheld from the payment because of a Treaty or Exemption code.
Effective Date(s)
2018 Form 1042-S will include earnings paid in paychecks dated:
| Institution: | 1/04/18 through 12/20/18 |
| Administration: | 1/10/18 through 12/26/18 |
2018 Form 1042-S Content
The information which will appear on the Form 1042-S Statement is described below:
| Box 1 | Income Code The two-digit code populated in this box identifies the type of income received. This code is populated on the 1042 Tax Balances page. |
| Box 2 | Gross Income The amount is the gross sum of all payments made for the calendar year 2018. |
| Box 3 | Chap. 3 This box should be checked if there are amounts in box 7a and no values in boxes 8 and 9 pursuant to Chapter 3. |
| Box 3a | Exemption Code The exemption code identifies the authority for the exemption or tax rate. The only exemption codes that apply to the types of payments made by the State of New York are Exemption Code 04 (Exempt under tax treaty) and 00 (Not Applicable). |
| Box 3b | Tax Rate This box is populated with the tax rate applied. |
| Box 4 | Chap. 4 Not applicable. |
| Box 4a | Exemption Code Not applicable. |
| Box 4b | Tax Rate Not applicable. |
| Box 5 | Withholding Allowances This box contains the value of the withholding allowance(s) as claimed in the Federal Tax Data page. |
| Box 6 | Net Income This box is only populated if there is an amount in box 5. |
| Box 7a | Federal Tax Withheld This box is populated with the value of the Federal tax withheld. This box will contain a value of “0” if no taxes were withheld. |
| Box 7b | Not Applicable |
| Box 8 | Tax withheld by other agents Not applicable |
| Box 9 | Tax assumed by withholding agent Not applicable |
| Box 10 | Total Withholding Credit The amount in this box should always match the amount in box 7a. |
| Box 11 | Tax Paid by withholding agent Not applicable. |
| Box 12a | Withholding Agent’s EIN This box is populated with the Employer Identification Number for the company the Form 1042-S is being issued under. CUNY 13-3893536 NYS14-6013200 |
| Box 12b | Ch. 3 Status Code (Withholding Agent) This box should be populated with code “19” (Government or International Organization). |
| Box 12c | Ch. 4 Status Code (Withholding Agent) This box should be populated with code “02” (U.S. Withholding Agent – Other). |
| Box 12d | Withholding Agent’s Name This box is populated with the name of the Company the Form 1042-S is being issued under. City University of New York (CNY) State of New York (NYS) |
| Box 12e | Withholding Agent’s GIIN Not applicable. |
| Box 12f | Country Code (Withholding agent) Not applicable. |
| Box 12g | Foreign Taxpayer Identification Number (TIN) (Withholding agent) Not applicable. |
| Box 12h-12i | Withholding Agent’s Address This box is populated with the address of the Company the Form 1042-S is being issued under. |
| Box 13a | Recipient’s Name This box is populated with the name of the recipient. |
| Box 13b | Recipient’s Country Code This box contains the two character country code for the country the recipient claims residency. This value will differ from the value populated on the Federal Tax Data page due to the number of characters permitted. |
| Box 13c | Recipient’s Address This box is populated with the number and street of the recipient from modify a person. |
| Box 13d | Recipient’s City or town, province or state, country, ZIP or foreign postal code This box is populated with the city or town, province or state, country, ZIP or foreign postal code for the recipient from modify a person |
| Box 13e | Recipient’s U.S. TIN (If Applicable) This box is populated with the employee’s Social Security (SSN) Number as written in the National ID field on the Modify a Person page or the Taxpayer Identification Number (TIN) as written on the Federal Tax Data page. |
| Box 13f | Ch. 3 Status Code (Recipient) This box should be populated with code “16” (Individual) |
| Box 13g | Ch. 4 status code (Recipient) Not applicable. |
| Box 13h | Recipient’s GIIN Not applicable. |
| Box 13i | Recipient’s foreign tax identification number Not applicable. |
| Box 13j | LOB code This box should be populated with code “02” (Government-contracting state/political subdivision/local authority). |
| Box 13k | Recipients account number Not applicable. |
| Box 13l | Recipients date of birth This box is populated from modify a person and formatted as follows: YYYYMMDD |
| Box 14a-16c | Various Not applicable |
| Box 16d | Ch. 3 status code This box should be populated with code “19” (Government or International Organization). |
| Box 16e | Ch. 4 status code This box should be populated with code “02” (U.S. Withholding Agent – Other). |
| Box 17a | State income tax withheld This box is populated with the year to date State withholding amount for the state the recipient had withholdings for. |
| Box 17b | Payer’s state tax no. Not applicable |
| Box 17c | Name of State This box is populated with the State the withholdings were withheld for, however OSC does not withhold State tax. |
1042-S Distribution
The Office of the State Comptroller created and mailed Form 1042-S directly to agency payroll offices on March 8, 2019. Please note that Federal regulations mandate that forms be delivered to employees on or before March 15, 2019.
Questions
Questions regarding this bulletin may be directed to the Tax and Compliance mailbox.