Valid forms of payment include:
- PCard
- Wire Draft to Foreign Countries
- Purchase Order (when a purchase order is required, a Wire form is still necessary)
All payments to vendors outside of Canada or US are paid by wire transfer or draft. Drafts are acceptable for certain countries.
An exception to this would be an institutional advance to an organization located in the US - this is done by wire transfer (see below).
Wire / Draft Transfers
For detailed information on the type of payment method (wire or draft) you should use and instructions on completing a wire/draft form read the SOP Wire Draft to Foreign Countries (PDF).
The preferred form of payment is wire transfer as it is:
- most secure
- traceable
- reliable as there are no issues with mail
For payments made to the US, EU countries (using Euro), Hong Kong, Australia, New Zealand, and Singapore - if payment is settled in the currency of that country, there are lower fees.
All payments should be accompanied with a valid invoice from the vendor in accordance with York University invoicing standards.
Exception: Expenses related to travel and business entertainment should be done through the Expense Reimbursement process.
HST may be applicable to goods or services provided by non-Canadian vendors:
- goods or services provided in (or brought into) Ontario by vendors who reside out of province and are registered for GST/HST, the GST/HST (if applicable) should be charged by the vendor should be the applicable rate in Ontario (i.e. generally 13%)
- for vendors who are not registered for HST, York is obligated to self assess the HST where applicable - where HST is self assessed, the non rebateable portion will be charged to your cost centre
Services provided in Canada may be subject to Canadian withholding tax at 15% of the value of the services provided (e.g. hiring a contractor that comes to York to provide their services such as instructor for non-credit course). Where purchases from a vendor include a mixture of goods and services (e.g. such as equipment with a training and installation services provided on site), please ensure that they clearly separate the services provided within Canada from the goods supplied and the services provided outside of Canada. Where withholding taxes apply, the cost centre is charged the gross amount of the invoice.
Payments to individuals should be processed through Payroll (except expense reimbursements).