State Agencies Bulletin No. 1900

Subject
Form 1042-S (Foreign Person’s U. S. Source Income Subject to Withholding) for Calendar Year 2020
Date Issued
March 10, 2021

Purpose

The purpose of this bulletin is to inform agencies of the content information for the 2020 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 2020 are affected.

Background

According to the IRS instructions for Form 1042-S, amounts subject to reporting on Form 1042-S are those 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 Dates

2020 Form 1042-S will include earnings paid in the following paychecks dated:

Institution 01/02/2020 - 12/31/2020
Administration  01/08/2020 - 12/23/2020

Eligibility Criteria

2020 Form 1042-S Content

The information which will appear on the Form 1042-S Statement is described below:

Box 1Income 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 2Gross Income

The amount is the gross sum of all payments made for the calendar year 2020.

Box 3: Chap. 3

This box should be populated with “3” (Tax withheld under section 5000C)

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 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 7c: 

Not Applicable

Box 8: Tax Withheld by Other Agents

Not Applicable

Box 9: Tax Assumed by Withholding Agency

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 for which the Form 1042-S is being issued.

CUNY 13-3893536
NYS 14-6013200

Box 12b: Ch. 3 Status Code (Withholding Agent)

This box should be populated with code “19” (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 for which the Form 1042-S is being issued.

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 for which the Form 1042-S is being issued.

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 Number (SSN) 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 Identifying Number

Not applicable.

Box 13j: LOB code

This box should be populated with code “02” (Government-contracting state/political subdivision/local authority).

Box 13k: Recipient’s Account Number

Not Applicable.

Box 13l: Recipient’s 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” (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 has 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.

OSC Actions

OSC will create and mail Form 1042-S directly to agency payroll offices on February 25, 2021. Please note that Federal regulations mandate that forms be delivered to employees on or before March 16, 2021.

Agency Actions

Distribute the Form 1042-S documents to the affected employees at their campus.

Tax Information

The Form 1042-S document will be necessary if the employee is required to file taxes in the U.S.

Questions

Questions regarding this bulletin may be directed to the Tax and Compliance mailbox.