B-1 Business(WB-)/B-2 Tourist (WT) Visa Types
Table of Contents
General Information
Type(s) of Payment Allowed
Visa Application Process
Length of Stay Allowed
Special Conditions/Requirements
Required Documents Summary
Forms Needed for Non-Payroll Payments (Non-employees paid through Accounting Services)
Policy:
Honorarium
Travel Reimbursement
Participant Support
Tax Liability/Withholding:
Social Security
Federal
State
General Information
- People who enter the United States with a B-1 or B-2 visa may not be employed.
- B-1’s or B-2’s may be reimbursed for travel and living expenses and may be paid an honorarium, but may not be paid a salary.
- Honorarium payments to B-1’s and all payments to B-2’s are limited to a maximum nine-day stay.
- The nine-day stay starts on the day that the visitor arrives at the University of Wisconsin and is being paid for the services, not when they arrive in the United States.
- It is important to note that the visa stamp in the passport indicates both B-1 and B-2; it is at the port of entry into the United States where the Immigration and Naturalization Service (INS) inspector determines which classification applies.
- If the person will be receiving travel reimbursement and/or honorarium, it is necessary to have an invitation letter from University of Wisconsin detailing the activities in which the person will be engaged and the expenses that will be reimbursed and/or amount of honorarium. This letter should be presented by the visitor at the United States embassy or consulate for visa issuance and at the United States port of entry to apply for B-1 rather than B-2 designation if necessary.
Important Note: It is the responsibility of the visitor to ensure that the B-1 classification is assigned by the Immigration and Naturalization Service (INS) official at the border. This should be clearly stated in the invitation letter. If the incorrect visa status is obtained or written on the passport or I-94 the payments allowed by the University of Wisconsin will be limited to those for the visa with which the visitor entered the United States at the port of entry as written on the passport or I-94.
- Individuals from many countries do not need a visa if they are coming to the U.S. for business or pleasure for less than three months. These visitors are from Visa Waiver Countries and are granted WB (business) or WT (tourism) at the port of entry, and the same criteria apply as for the B-1 and B-2. See Visa Waiver Program and Waiver Program Countries and Documentation Requirements.
Type(s) of Payment Allowed
- B-1/B-2 reimbursement of travel expenses and/or honorarium (receipts required for travel reimbursement).
- B-1/ B-2 participant support for attendance at a conference.
- B-1 or B-2 visa holders may not be employed.
Visa Application Process
Length of Stay Allowed
- Honorarium payments may be made to B-1’s and B-2’s for visits of nine (9) days or less.
- Length of stay for purposes of reimbursements of travel expenses or participant support payments dependent on I-94 for B-1’s/ length of stay limited to nine days for B-2’s.
- The nine-day stay starts on the day that the visitor arrives at the UW and is being paid for the services, not when they arrive in the U.S.
- WB - same as B-1
- WT - same as B-2
Special Conditions/Requirements
- Payments are limited to travel reimbursement, participant support for attendance at a conference, and honorarium only.
- Individual may not accept honorarium payments from more than six institutions in a six-month period.
- Change of status from B-1 or B-2 to any other non-immigrant status is very difficult to obtain; change from WB or WT is prohibited
Required Documents Summary
- Invitation letter from the department detailing activities and reimbursement and/or honorarium.
- IRS Form W-8BEN for tax reportable payments
- Immigration and taxation documentation outlined at Required Documents for Payment, including applying for U.S. Individual Taxpayer Identification Number (ITIN) (Flowchart).
Forms Needed for Non-Payroll Payments (Non-employees paid through Accounting Services)
Policy:
- If payment involves travel related expenses/reimbursements please make read and follow Policy and Procedures: 203 Payment for Services and Travel and Expense Reimbursement for Non-employees.
Honorarium
- Use a Payment to Individual Report (PIR)
- IRS Form W-8BEN for tax reportable payments.
- Immigration documentation outlined at Required Documents for Payment, including applying for U.S. Individual Taxpayer Identification Number (ITIN) (Flowchart).
- Social Security Number, Individual Taxpayer Identification Number (ITIN), or copy of completed/signed/filed ITIN application required.
- Form 8233 Exemption from Withholding on Compensation for Independent (and Certain Dependent) Personal Services of a Nonresident Alien Individual, if tax treaty exemption applies. To determine if tax treaty applies refer to IRS Publication 901, Table 2 (http://www.irs.gov/pub/irs-pdf/p901.pdf) or Accounting Services Policy and Procedure: 601-Tax Compliance, Reporting, and Withholding on Non-Salary Payments under Nonresident Aliens (NRA), Visas, Restrictions and Tax Treaties (direct link is Restrictions and Tax Treaties).
Travel Reimbursement
- For campuses using E-Reimbursement (UW-Madison):
- Documented travel expenses must be processed through E-reimbursement. See Policy: 203-Payment for Services and Travel and Expense Reimbursement for Non-employees.
- If payment involves travel related expenses/reimbursements please make read and follow Policy and Procedures: 203 Payment for Services and Travel and Expense Reimbursement for Non-employees.
- Documented travel expenses must be processed through E-reimbursement. See Policy: 203-Payment for Services and Travel and Expense Reimbursement for Non-employees.
- For campuses not using E-Reimbursement:
- Use a Payment to Individual Report (PIR)
- Immigration documentation required are outlined at Required Documents for Payment, including applying for U.S. Individual Taxpayer Identification Number (ITIN) (Flowchart).
- If payment involves travel related expenses/reimbursements please make read and follow Policy and Procedures: 203 Payment for Services and Travel and Expense Reimbursement for Non-employees. All Policy and Procedure 203 apply except that instead of using E-Reimbursement you use a PIR.
Participant Support
- Use a Payment to Individual Report (PIR)
- IRS Form W-8BEN for tax reportable payments.
- Immigration documentation outlined at Required Documents for Payment, including applying for U.S. Individual Taxpayer Identification Number (ITIN) (Flowchart).
- Social Security Number, Individual Taxpayer Identification Number (ITIN), or copy of completed/signed/filed ITIN application required.
- Form W-8BEN Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding, if tax treaty exemption applies. Treaty must include a provision for Scholarship/Fellowship Grants. To determine if tax treaty applies refer to IRS Publication 901, Table 2 (http://www.irs.gov/pub/irs-pdf/p901.pdf) or Accounting Services Policy and Procedure: 601-Tax Compliance, Reporting, and Withholding on Non-Salary Payments under Nonresident Aliens (NRA), Visas, Restrictions and Tax Treaties (direct link is Restrictions and Tax Treaties).
Tax Liability/Withholding:
Social Security
- No FICA withholding since no employment is permitted
Federal
- Documented travel expenses are considered business expenses of the UW and thus no federal tax is withheld
- Honorariums (Payment for Services) require withholding of 30% federal tax, unless tax treaty exemption applies and Form 8233 is filed. To determine if tax treaty applies refer to IRS Publication 901, Table 2 (http://www.irs.gov/pub/irs-pdf/p901.pdf) or Accounting Services Policy and Procedure: 601-Tax Compliance, Reporting, and Withholding on Non-Salary Payments under Nonresident Aliens (NRA), Visas, Restrictions and Tax Treaties (direct link is Restrictions and Tax Treaties).
- Participant support, 14% withholding, unless tax treaty exemption applies and Form W-8BEN is filed. To determine if tax treaty applies refer to IRS Publication 901, Table 2 (http://www.irs.gov/pub/irs-pdf/p901.pdf) or Accounting Services Policy and Procedure: 601-Tax Compliance, Reporting, and Withholding on Non-Salary Payments under Nonresident Aliens (NRA), Visas, Restrictions and Tax Treaties (direct link is Restrictions and Tax Treaties).
State
- None