Payment Categories

Awards and Prizes

Award and prize payees must have a Georgetown Management System (GMS) Supplier ID (SUP-XXXXXXX). For payment requests made through Accounts Payable:

  • Departments must check to see if the payee already has a Supplier ID by checking the "GU Find Supplier Report" in GMS or the "GMS Suppliers" report on the Chart of Accounts page. If the payee has a Supplier ID, make sure the recipient's address, payment information and supplier group is accurate before requesting payment. The payee can not be in the Non-Reportable Student or Reimbursement Supplier group. If the recipient is in one of the aforementioned supplier groups, use theTax Department Request Form to have the supplier record updated prior to requesting payment.
  • If the payee does not have a Supplier ID, the Department should request the individual to register for Supplier Setup. Allow 3 - 5 business days to obtain the SUP number. For Supplier Setup information see Supplier Setup web site

Use GMS spend category S0171 for academic prizes and awards when requesting payment through Accounts Payable. If the award or prize is not processed through Accounts Payable, the FA 162-B Gift Award Prize Policy Form must be completed and submited to the Tax Department for proper tax reporting.

It is important that the payee understands that if Form 1099-Misc reporting thresholds are met within the calendar year, the payee will receive Form 1099-Misc with income reported in box 3 from the University's Tax Department.

The following tax language should be in your award or prize letter:

This award represents taxable income to you and will be reported to the relevant taxing authorities as required by the IRS.  For U.S. persons, if the $600 Form 1099-Misc reporting threshold is met within the calendar year, you will receive a Form 1099-Misc from the University's Tax Department. Georgetown will not deduct any amounts from this payment or otherwise withhold any amounts on your behalf. Please note that payments made to foreign persons do not have a reporting threshold to the IRS and may be subject to tax withholding. The Tax Department encourages you to seek the advice of your tax advisor. Please review the Supplier Setup web page. If you have questions e-mail taxdepartmentadmin@georgetown.edu.

Donations

Donations and sponsorship recipient payees must have a Georgetown Management System (GMS) Supplier ID (SUP-XXXXXXX). For payment requests made through Accounts Payable, departments must check to see if the payee already has a Supplier ID by checking the "GU Find Supplier Report" in GMS or the "GMS Suppliers" report on the Chart of Accounts page. If the payee has a Supplier ID, make sure the recipient's address and payment information is accurate before requesting payment. If the recipient's Supplier ID needs to be updated, make the change request with the Tax Department Request Form. If the payee does not have a Supplier ID, the Department should request the individual to register via the Supplier Setup web site. Allow 3 - 5 business days to obtain the SUP number.

Use GMS Spend Category S0264 for donations, and S0013 for sponsorships made to external organizations.

Donations and sponsorships should be made to similarly missioned 501(c)(3) organizations.

Per the Approval/Signature Authorization, all donations and sponsorships made to external organizations $250 and over require Tax Department approval in GMS.

Per the Reimbursement Policy for Employees, donations and sponsorships are not permitted to be paid on a procard or reimbursed with University funds.

Please contact University's Tax Department before committing to making donations or sponsorships totalling over $5,000 in any fiscal year.

Goods And Services

Please consult contracting and purchasing policies and forms for guidance.

Georgetown Sourcing And Procurement Services(GS&PS), led by O.T. Wells, is comprised of the following teams:

  • Strategic Sourcing
  • Contracts and Purchasing
  • Accounts Payable

GS&PS personnel work collaboratively with colleagues across the university to source, contract, and pay for goods and services furnished by external providers (suppliers). Please consult the GS&PS websites for information regarding how to evaluate and select suppliers, when and how to contract for purchased goods and services, and how to submit and view the status of payment requests.

Honoraria

Honoraria payees must have a Georgetown Management System (GMS) Supplier ID (SUP-XXXXXXX). For honoraria payment requests made through Accounts Payable:

  • Departments must check to see if the payee already has a Supplier ID by checking the "GU Find Supplier Report" in GMS or the "GMS Suppliers" report on the Chart of Accounts page. If the payee has a Supplier ID, make sure the recipient's address, payment information, and supplier group are accurate before requesting payment. The payee may not be in the Non-Reportable Student or Reimbursement Supplier group. If the recipient is in one of the aforementioned supplier groups, use the Tax Department Request Form to have the supplier record updated prior to requesting payment.
  • If the payee does not have a Supplier ID, the Department should request the individual to register via the Supplier Setup web site. Allow 3 - 5 business days to obtain the SUP number.

Typically, an honoraria (GMS spend category S0256) is a one time payment made in appreciation to a speaker or individual participating in special events at the University. If the following statements are true, then an honoraria payment is appropriate and no additional review is required by the Tax Department:

  • The individual is not a current or former Georgetown University employee
  • The total payment is for $2,500 or less
  • The payment is not for multiple speeches, lectures or special events
  • A payment is not required or being negotiated by the individual
  • The payment will not be made to an entity other than the individual

If any of the aforementioned statements is NOT true please e-mail taxdepartment@georgetown.edu for review prior to committing to an honoraria payment. Additionally, please contact the Tax Department before committing to honoraria payments to foreign individuals - U.S. law imposes significant restrictions on honoraria payments to Non-U.S. citizens. Non-U.S. visitors eligible for honoraria payments must complete an Eligibility Form.

The Tax Department does not require a signed agreement or contract for approval of honoraria, however, departments may have procedures accounting for such payments.

It is important that the payee understands that if Form 1099-Misc reporting thresholds are met within a calendar year, the payee will receive form 1099-Misc with income reported in box 7 from the University's Tax Department.

The following tax language should be in an honoraria letter:

This honoraria payment represents taxable income to you and will be reported to the relevant taxing authorities. Georgetown will not deduct any amounts from this payment or otherwise withhold any amounts on your behalf. The Tax Department encourages honoraria recipients to consult with their personal tax advisor concerning any income reporting requirements. Please note that payments made to Non-US Citizens may be subject to tax withholding. Please review Supplier Setup web site and/or e-mail Tax Department if you have questions.

Research Participants

Stipends

For Non-Service Stipends  paid to degree seeking students (GMS Spend Category S0189):

Stipend recipients who are U.S. Citizens or permanent residents will not receive a tax form from the University. However, unless the stipend is used to pay for tuition, books, fees, supplies, and equipment required of all students in the recipient's courses, then, the stipend is taxable income. Additionally, to ensure compliance the IRS may audit the University to examine stipend award documentation.

Please use the following tax language in your award or prize letter or e-mail:

The stipend does not have a service obligation. Under current U.S. Tax Laws, a non-service stipend is considered a "non-qualified scholarship" provided for educational expenses (e.g. living expenses, etc.). Georgetown University does not report non-service stipends as taxable income for U.S. citizens or permanent residents. International students should note that this payment will be subject to any mandatory tax withholding, generally 14% or 30%, unless there is a treaty benefit available to the recipient and the required paperwork is completed before the payment is issued. All non-service stipend recipients must register as a "Supplier Payee" with the University. Please refer to the following site for instructions: Supplier Setup web site. Once you have your SUP number (SUP XXXXXXX), and if you believe you qualify under treaty benefits, please contact the Tax Department for instructions on completing the necessary paperwork. The Tax Department encourages stipend recipients to consult with their personal tax advisor concerning any income reporting requirements.

Reference: https://www.irs.gov/taxtopics/tc421.html

Other Non-Service Stipends

For certain Non-Service Stipends requiring tax reporting, these stipends are to be paid as Non-Service Stipends (GMS Spend Category S0190).

Please use the following tax language in your award or prize letter or e-mail:

This stipend represents taxable income to you and will be reported to the relevant taxing authorities. If you are a U.S. Citizen or permanent resident, Georgetown University will not deduct any amounts from this payment or otherwise withhold any amounts on your behalf. Non-U.S. individuals should note that this payment will be subject to any mandatory tax withholding, generally 14% or 30%, unless there is a treaty benefit available to the recipient and the required paperwork is completed before the payment is issued. All non-service stipend recipients must register as a "Supplier Payee" with the University. Please refer to the following site for instructions: Supplier Setup web site. Once you have your SUP number (SUP XXXXXXX), and if you believe you qualify under treaty benefits, please contact Tax Department for instructions on completing the necessary paperwork. The Tax Department encourages stipend recipients to consult with their personal tax advisor concerning any income reporting requirements.

Service Stipends

Stipends that have a service requirement are are paid through Payroll Services and receive a Form W-2 and/or Form 1042-S.