The following are important tax reminders for all University of Illinois System units and employees:
Year-End Tax Forms
If your unit receives year-end IRS tax forms from vendors, such as Forms 1099-MISC, 1099-NEC, 1099-INT, or 1099-R, please forward them to Office of Treasury Operations, Tax Compliance and Analysis (TCA) only if the forms indicate federal and/or state withholding. Otherwise, the forms may be shredded. Other tax forms, including Forms 1099-K, Schedules K-1, and any other questionable tax documents must be sent to TCA for further review.
System Tax Documents
Commonly requested tax documents, such as the system’s Form W-9, IRS exemption letter, and Illinois sales tax exemption certificate are available to employees for distribution to non-system users when requested. Access to these documents is restricted to employees. Please do not post the documents on any websites available to the general public.
See Section 18 of the Business and Financial Policies and Procedures for additional tax information and documents.
Sales Tax Exemptions
The system is exempt from sales tax on its purchases in Illinois and several other states. Units need to utilize the system's exemptions where available and when accepted by vendors for all payment methods, i.e., P-Card, T-Card, petty cash, and employee reimbursements. The system reserves the right to deduct the amount of sales tax paid when reimbursing individuals for cash purchases.
The exemptions must be used solely for authorized system business purposes. Other organizations are not authorized to utilize the system’s exemptions (e.g. any purchases from custodial funds). Personal purchases with the system's exemptions are prohibited and may result in disciplinary and other enforcement action.
Please refer to Section 18.6 of the Business and Financial Policies and Procedures for additional information on sales tax reporting and exemptions in various states.
Offices or Employees Working in Other States or Countries
If your unit has offices or employees working in states other than Illinois or in other countries, the rules and process are outlined in Sections 1.5.1 and 18.16 of the Business and Financial Policies and Procedures. These policies and procedures apply to domestic and foreign individuals, as well as full- and part-time employees. These matters are facts and circumstances specific as each state and country has its own laws.
The Tax Withholding Allowance Certificates website notes the states where the system is registered for employment purposes. Employees working in states other than Illinois must complete one of the applicable forms below based on their state of residence.
Contact
For questions regarding tax-related issues, please contact the Office of Treasury Operations, Tax Compliance and Analysis (TCA) at treasuryoperations@uillinois.edu or (217) 244-8359.
For questions regarding proper accounting for sales tax collection, please contact University Accounting and Financial Reporting (UAFR) at uafrtax@uillinois.edu or (217) 333-4568.
