As a result of changes created by the American Competitiveness and Workforce Improvement Act of 1998, institutions of higher education or an affiliated nonprofit entity or nonprofit or governmental research organizations may now make payment of honoraria and associated incidental expenses to B - 1 or B - 2  visitors for “usual academic activity” lasting no longer than 9 days at a single academic institution. The only limitation  is that foreign nationals cannot accept honoraria from more than five institutions or organizations within a six-month period.

“Honoraria” are defined as “a gratuitous payment of money or other thing of value to a person for the person's participation in a usual academic activity for which no fee is legally required and that an honorarium may be of any dollar amount with no minimum or maximum dollar amount required.”

Payment of an honorarium is subject to taxes; therefore, the recipient needs to have either a valid social security number (SSN) or an individual tax identification number (ITIN) and must file a tax return at the end of the calendar year in which the honorarium was paid. If the recipient has neither an SSN nor an ITIN, then the host department needs to obtain a temporary KSU number through ISSS, which will act as a “place-holder” facilitating the payment until an ITIN has been issued.

As soon as feasible and prior to receiving the honorarium, the recipient must apply for an ITIN, noting the host KSU departmental address for notification. Sandy McKitrick in the Payroll Office can assist with the application process, which can also be accomplished directly through the IRS Office in Akron. The host department is then responsible for forwarding a copy of the ITIN application filed with the IRS along with the check request; please note that failure to do so may cause KSU to be fined for noncompliance with the amount of the fine charged back to the host department.  In the cases where the ITIN arrives after the recipient has completed the visit at Kent State University and departed, the department should open it and inform the Payroll Office (Sandy McKitrick) of the ITIN (actual number) before forwarding the ITIN documents on to the recipient. This will allow Payroll to amend the payment records accordingly.