Independent Contractor Approvals, Voucher documentation http://finance.unc.edu/departments/strategic-sourcing-payment/procurement/sysops/disbursement/vendor-management/ Disbursement Services, September 11, 2017

The Team Yamaris Fontanez, IC Reviewer Arun Malik, Foreign Vendor Coordinator Grace Many Atangana, Domestic Vendor Coordinator Glenn S. (Steve) Vance, 1099 Voucher Reviewer Janet Rupert, Director, Disbursement Services, Travel Services

Resources for IC Requests Remember: Finance.UNC.EDU Search: Disbursement POLICY 708: INDEPENDENT CONTRACTOR http://financepolicy.unc.edu/policy-procedure/708-independent-contractor/ PROCEDURE 708.1: INDEPENDENT CONTRACTOR PREDETERMINATION PROCESS http://financepolicy.unc.edu/policy-procedure/708-independent- contractor/708-1-independent-contractor-predetermination-process/

Domestic Independent Contractor Requirements $10,000 or Less Independent Contractor Determination Checklist http://financepolicy.unc.edu/708_1_1f W-9 Form https://www.irs.gov/pub/irs-pdf/fw9.pdf?portlet=103 Background check http://financepolicy.unc.edu/policy-procedure/708-independent-contractor/708-1- independent-contractor-predetermination-process/

Domestic Independent Contractor Requirements Over $10,000: Additional Documents Independent Contractor Services Agreement with the Statement of Work: http://financepolicy.sites.unc.edu/files/2013/08/708_1_2f-Independent- Contractor-Services-Agreement-Statement-of-Work.pdf Waiver of Competition: https://financepolicy.unc.edu/files/2017/08/1232.1.1f-Brand-Vendor-Specific- Waiver-of-Competition.pdf Letter of Justification for Sole Source

IC Limitations IC contract length does not exceed 12 months IC contracts for services over $10,000 need more documents Background checks needed, engagements over 10 days per year, access to sensitive populations or data/facilities, continuous relationship Use current forms: Use the website, forms link to IRS, NCDOR IC cannot be employed as FTE or Temp in last 12 months

Foreign Independent Contractors Provide the same documentation as domestic ICs plus the following: IRS Form W-8BEN (instead of W-9 Form) Foreign Vendor Creation Form Banking Information (ACH form or Foreign Wire Setup Form) Copy of Passport page with picture (biographical page) Cannot submit through CC: submit by email to IC_review@unc.edu IC Reviewer will share information with Foreign Vendor Coordinator, no need to resend documents

Foreign ICs performing services in the US have tax consequences Policy 709, Procedure 709.1: Federal and State Tax Withholding Requirements for Payments to Non-Resident Aliens Performing Services in the United States Copy of Passport Pages (Biographical information with picture) VISA page with issue date (submit copy of US entry stamp asap after arrival) Foreign Vendor Withholding Assessment Form https://financepolicy.unc.edu/files/2017/06/709.1.1f-Foreign-Vendor-Form.xlsx IRS 8233 Form- (If tax treaty is claimed, requires a US TIN) If a Tax Treaty Claim is requested, IC reviewer will work with Payroll Office to determine the appropriate tax rate for Federal Withholding. Form I-94: Travel record information https://i94.cbp.dhs.gov/I94/#/recent-search (US Department of Homeland Security)

IC Voucher approvals Attach the following documents to the IC vouchers: All 5 pages of IC Checklist Screenshot from Connect Carolina showing that IC status has been approved. Or Approval email sent by Connect Carolina [sent automatically to the IC requester (Domestic only)]. Do not attach forms W-9, W-8. Redact all TIN information on attachments. NOTE: For FOREIGN INDEPENDENT CONTRACTORS The IC Checklist (5 pages) will have IC approver signature. (THE CC EMAIL OR SCREENSHOT DOESN’T APPLY)

QUESTIONS Please contact: disbursementsteam@unc.edu (best) By phone: Janet Rupert, 919-843-5098 We are happy to present information re: creating and updating Independent Contractors to your department’s administrative staff on request.