Employees Working Outside the US – Initial Assessment Process and Cost

Global Tax Network (GTN) is the third-party vendor that the University utilizes for all employees working outside the United States. Initially, GTN reaches out to our employees to discuss their situation and tax implications for both the US and the working location. The initial assessment generally takes about 2 weeks. There is no set cost for GTN services. The cost is billed to the University department based on the amount of time spent making the initial assessment and maintaining tax compliance for each employee. 

The initial assessment, along with other annual maintenance costs range from $700.00 to $15,000.00. The annual costs cover items such as an annual management fee, US tax counseling sessions, research and correspondence with the University and/or employee and the country to determine tax filing requirements, etc. GTN bills the University when the work is completed. The charges are billed directly to the departments upon receipt of the invoice by HR Accounting. 

To help defray HR Accounting expenses, departments are charged an administrative fee of $115.00 per quarter per employee working outside of Alaska. HR Accounting will charge the fund and org provided for all charges including the initial assessment unless instructed otherwise by the department. If the fund and/or the org are closed at the time the quarterly JV or the GTN invoice is prepared, the default labor from NBAJOBS will be used. Notification can be sent via email (ua-hr-accounting@alaska.edu) to update the funding. The 15th of the last month of the quarter (March, June, September, December) is the deadline to submit the change for the quarter.  

Please note that employees are responsible for their own tax liabilities (cost of preparing their own U.S. or Country tax return). However, the department can choose to pay the cost for the employee. This will incur additional departmental expenses to those outlined above. In addition, the cost becomes a taxable fringe benefit to the employee that will be reported as a miscellaneous taxable benefit on the employee’s W2.

Remote Work Website is located here:  https://alaska.edu/remote-work/index.php

Remote Work Website 

Need additional help or have questions?

Please contact ua-hr-accounting@alaska.edu for additional assistance.  

To contact other UA HR teams, please visit our Contact Us page at https://alaska.edu/hr/contact.php

Details

Article ID: 1616
Created
Wed 11/1/23 10:12 AM
Modified
Thu 2/15/24 4:44 PM