Before submitting a payment request to the Controller’s Office, it is very important to confirm the payment details with the payee. In particular, if a foreign entity or person submits an invoice or reimbursement request in US dollars, or requests payment in any other non-domiciled currency (e.g., Euros to a payee in Great Britain), the settlement currency should be confirmed by the payee. US dollar payments to accounts not specifically structured to receive them can be prohibitively expensive to the payee, can be delayed for weeks, and/or ultimately rejected. Non-domiciled currency transfers run the same risks and are much costlier than wires in the domiciled currency. Typically, the best alternative is for the College to convert the US dollar amount into the payee’s domestic currency at the rate available at the time of transfer. The Controller’s Office may charge the requesting project number for bank fees associated with non-domiciled currency transfers.
The other business process considerations and budgeting requirements for a foreign payment are the same as any other College expenditure. Payment requests must be properly documented, submitted with accounting detail and signed by an authorized person. All foreign payment requests should be sent to the Controller’s Office, Attention: Glenn Morin.
Bowdoin College is not exempt from foreign taxation. Charges for Value Added Tax (VAT), for example, are valid and must be paid.
Payments to foreign nationals or US citizens living abroad may be subject to US tax withholding or other restrictions. Please contact Lynne Toussaint for more information.