Alien - How to Code a Foreign National for Tax Purposes

Upon initial hire, a foreign national who works in the United States should always be coded on Employee Data Base (EDB) as a nonresident for tax purposes. The foreign national should be advised to complete their GLACIER record as soon as possible and forward the GLACIER generated forms to Payroll Services as they are being withheld as the highest tax rate. Based on the information provided on the GLACIER forms and supporting documents, Payroll Services can determine residency for tax purposes and then update the employee’s EDB record with the appropriate codes.

Rehired foreign nationals require only a limited number of updates to their Employee Data Base record. Please call Payroll Services to confirm that GLACIER record is still active.

EALN Screen

The fields on the alien screen (EALN) need to be populated for a foreign national as follows:

Field Label

New Hire – Alien Coding 

Re-Hire – Alien Coding 

Citizenship

“N”

Do not change

Visa Type

Based on information provided with I-9 docs Enter “Visa Type”

 Based on information provided with I-9 docs Enter “Visa Type”

Work Permit End Date

Based on I-9 docs Enter “Work Permit End Date.”

 Based on I-9 docs Enter “Work Permit End Date.”

U.S. Date of Entry 

  • You may enter this date if given by the employee or leave blank
  • Payroll Services will confirm the date once the GLACIER Tax Summary and supporting paper work has been received

Do not change “U.S. Date of Entry” coding

Country of Residence

  • You may enter the country of residence if given by the employee or leave blank
  • Payroll Services will confirm once the GLACIER Tax Summary and supporting paper work has been received

Do not change “Country of  Residence” coding

Additional information on the EALN screen can be found in the EDB Manual, Section B2.

ETAX Screen 

New Hire coding for both Federal and State of S/0 (marital status and allowances) must remain in effect until residency for tax purposes can be determined and a valid W-4 and DE4 are submitted to Payroll Services. The following table illustrates the correct ETAX Screen coding for a new hire or rehire:

Field Label 

New Hire – Alien Coding 

Re-Hire – Alien Coding 

Federal & State
Marital Status & Personal Allowances
Federal S/0
State S/0
Do not change allowance coding unless a resident for tax purposes gives you an updated W-4 and/or DE4 form.

For additional information on the ETAX screen including a screen sample, refer to the EDB Manual, Section B3.

ERET Screen 

The retirement and FICA eligibility codes on the ERET Screen are auto derived based on the appointment of the individual and application of any federal exemptions by law. Please let the system determine the codes.

Additional information about the codes on the ERET screen is available in the EDB Manual, Section E2.

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