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This message is being distributed on behalf of
The Office of Disbursements.
New Policy and Procedure for Gift Cards
Business Affairs has published a new policy and procedure outlining the requirements to purchase, distribute, and record gift cards for official University business needs that are effective May 31, 2023.

It is highly recommended that the campus community become familiar with the requirements.

Gift Card Policy BF-PGS-PO-02<https://go.uta.edu/bfpgspo2>

  *   All gift cards and other cash equivalent methods may only be purchased with a ProCard.
  *   Allowable uses:
     *   Compensation for Research Participants with approved IRB.
     *   Prizes or recognition for students or UTA Community.
  *   Prohibitions
     *   University Employees.
     *   To pay/compensate student employees, independent contractors, and volunteers for services rendered.
     *   Holiday or other gifts to students.
     *   To pay for goods or services received.
  *   Recipients must complete BF-PGC-F3<https://resources.uta.edu/business-affairs/forms/purchase_goods_services/BF-PGC-F3.pdf> – Gift Certificate Form
     *   Completed forms for gift cards of $25 or more to student recipients must be emailed to the Scholarship Office ([log in to unmask]<mailto:[log in to unmask]>).
     *   All completed forms must also be sent to Payroll Services ([log in to unmask]<mailto:[log in to unmask]>).
  *   Taxation
     *   Recipients who are deemed a US person by the IRS receiving $600 or more in compensation, including gift cards, will receive a 1099-Misc.
        *   An exception must be requested for research participants where the study is approved as “Confidential.”
     *   All recipients who are nonresident aliens must have federal tax withheld.
        *   Gift cards must be grossed up 30% and reported to Payroll ([log in to unmask]<mailto:[log in to unmask]>).
           *   To properly gross up the amount: (net amount of gift card)/.70
              *   Ex: To distribute a net amount of $100 to a recipient, the total of the gift card must be $142.86. The tax to be charged will be $42.86.


Gift Card Procedure BF-PGS-PR13<https://policy.uta.edu/doctract/documentportal/08DAFB38089F481D9D727E2A0E02C71B>

  *   All Gift Card or cash equivalent methods require an approved Business Affairs Exception Tracker (BAET) before purchase.
     *   Use Subject Group: ProCards and Subject/Purpose Gift Cards & Certificates (ProCards).
  *   Distribution and Reconciliation
     *   All Cards must be distributed within thirty calendar days of approval unless an extension is approved via a BAET.
     *   Reconciliations be conducted when the Gift Cards are purchased and then monthly until they are all distributed.
  *   Lost or Damaged Cards
     *   If cards are lost or misplaced, the shortage must be reported immediately to the Controller.
  *   Voids/Cancelations
     *   Refunded gift cards must be credited to the original funding source from which they were expensed.
     *   If a refund cannot be obtained, all voided or canceled Gift Cards must be expensed to a locally funded cost center and reported to the Controller.
     *   Unused Gift Cards previously purchased for a sponsored project and assigned to a new project require a new BAET referencing the original approval.


If you have any questions or concerns, contact Knowledge Services at 817-272-2155<tel:817-272-2155>, [log in to unmask]<mailto:[log in to unmask]>, chat<https://www.uta.edu/business-affairs/training/training-chat-support.php> or open a Service Now Ticket<https://uta.service-now.com/selfservice>.
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