Purchases and payments
When doing business in an international location, it is normal to need to purchase supplies, equipment, or other items. Consider both ASU’s and your sponsor’s procurement guidelines and requirements, any local consumption taxes, and the different available local procurement methods that may impact your project’s efficiency.
There are a variety of procurement methods that may or may not work in your project location. Many developing countries prefer purchases made by cash, while others may accept debit/credit cards. It is important to educate yourself on the local preferred procurement methods. Examples may include:
- International vendor registration in Workday.
- Opening a local bank account if there is a local entity or project exception.
- Cash advances to ASU employees.
- Wire transfers via Western Union or other provider.
- Prepaid debit cards.
- Reimbursement/spending accounts for PEO employees.
- Subcontracting with a local partner to oversee in-country procurement.
Check with Global Operations on which method is most appropriate for your project.
Purchasing assets
In some cases, projects may need to purchase assets such as a vehicle. These purchases must be budgeted for including any applicable taxes and insurance. Both the ASU Office of General Counsel and ASU Risk Management will be brought in to ensure all legal and insurance requirements are met.
In the event an asset needs to be purchased for a sponsored project, confirm you are following the sponsor’s rules and regulations regarding equipment purchases.
International goods and services taxes
Purchases of goods or services in other countries can include additional taxes. See international tax liabilities for more information.
Complying with anti-boycott regulations
If you participate in an international boycott that is not approved or sanctioned by the U.S. government, you may be violating U.S. anti-boycott regulations. The primary focus of these laws is the Arab League’s boycott of Israel. Violations are prosecuted under export control laws. To avoid violations, do not engage in business agreements or activities that discriminate against or support others’ discrimination against:
- Israel.
- Companies blacklisted by the Arab League.
- Individuals on the basis of race, religion, sex, national origin or nationality.
For more information on anti-boycott regulations, visit the U.S. Office of Antiboycott Compliance website or contact the Office of Research Integrity and Assurance.
Re-entering the U.S. with international purchases
When re-entering the U.S., customs fees may be imposed on certain purchases made abroad. As well, certain agricultural items are not allowed in the U.S. Visit the U.S. Customs and Border Protection Travel website for more information.
Sending international wire/money transfers
With a wire transfer, funds are electronically sent to the recipient’s bank account in either U.S. or foreign currency. With a foreign draft, a check is mailed to the payee in the foreign currency. You should opt to pay foreign consultants and suppliers by wire transfer whenever possible. Recipients’ banks routinely reject foreign drafts, and when this happens your account can be charged an administrative fee. Work with your Business Operations team on wired payments.
Complying with the Foreign Corrupt Practices Act
If you bribe a foreign official, you are violating the Foreign Corrupt Practices Act (FCPA). Violations can result in penalties for ASU and you. Not all payments to foreign officials are bribes. Some payments are “routine governmental actions” or “reasonable and bona fide expenditures.” To learn the difference and how to prevent FCPA violations, see ASU’s policy on FCPA Compliance.
Review ASU travel guidance regarding COVID-19 before planning your trip.
To submit a student or faculty-led international travel request for approval, register your trip with the Student International Travel Registration System.
To create a faculty or staff international travel request, visit My ASU Trip.