UAMS ADMINISTRATIVE GUIDE ________ _
NUMBER: 4.5.29 DATE: 10/1/2006___
REVISION: PAGE: 1
EMPLOYMENT OF OUT-OF-STATE RESIDENTS
UAMS recognizes the occasional need to hire an employee who will continue to live outside Arkansas. In such instances, UAMS is required to treat the employee under certain laws of his resident state, including our obligation to withhold and remit state taxes to that state. Unemployment costs are incurred within the state of Arkansas, since this is the institutions base of operations, regardless of the employee’s resident state. Worker Compensation liability could fall under Arkansas and/or the employee’s resident state.
Applicants who reside out-of-state currently, but who will move into Arkansas if offered employment, are not affected by this policy.
Departments who wish to hire employees who will remain our-of-state residents should allow approximately six (6) weeks for UAMS to establish the proper relationships, especially tax ID, with the resident state, unless such relationship already exists or unless the state does not require withholding. If the employee is paid with such tax ID, the employee will contribute to Arkansas withholding and have to file Arkansas taxes, regardless of his resident state.
States for which UAMS currently has a Tax ID number
States which currently do not require withholding taxes