An honorarium is an ex gratia

Ex gratia

Ex gratia is Latin for "by favour", and is most often used in a legal context. When something has been done ex gratia, it has been done voluntarily, out of kindness or grace...

payment (i.e., a payment made without the giver recognizing themselves as having any liability or legal obligation) made to a person for their services in a volunteer capacity or for services for which fees are not traditionally required. This is used by groups such as schools or sporting clubs to pay coaches for their costs. Another example includes the payment to a guest speaker at a conference to cover their travel, accommodation, or preparation time.

Australia

An example of this are the payments made by Australian schools to their sporting coaches. They are ostensibly receiving a reimbursement for their costs in their voluntary role as coach. The concept of an honorarium has a tax implication. In Australia recipients of these funds make a tax declaration (known as the hobbyist form) to the tax office and therefore do not have to include this money in their annual tax return

Tax return (Australia)

Australian tax returns for the tax year ending 30 June are generally due on 31 October of the same calendar year. Extensions can be made available. Each year, the Australian Taxation Office publishes TaxPack, a free document designed to help individuals complete their return...

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Canada

In Canada, honoraria are considered as salary and thus, taxable income under the Income Tax Act. In the case where a gift is substituted for honorarium (gift in lieu of money), it is still classified as a taxable benefit by Canada Revenue Agency

Canada Revenue Agency

The Canada Revenue Agency is a federal agency that administers tax laws for the Government of Canada and for most provinces and territories, international trade legislation, and various social and economic benefit and incentive programs delivered through the tax system...

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In cases where an honorarium is paid to an individual who is not a resident of Canada, the honorarium is still subjected to income tax withholding (usually 15%) unless prior approval was obtained from Revenue Canada.

Hong Kong

Honoraria are subjected to taxation under HK Laws. Chap 112 Inland Revenue Ordinance and also subjected to the Mandatory Provident Fund

Mandatory provident fund

The Mandatory Provident Fund , often abbreviated as MPF , is a compulsory saving scheme for the retirement of residents in Hong Kong...

, a compulsory saving scheme for retirement.

Indonesia

Under Indonesian National Laws, honorarium recipients are subjected to withholding tax under Income Tax Article 21.

New Zealand

When honorarium is paid to an employee, such as mayors, chairpersons and local clubs and societies, it is not subject to withholding tax but is subject to income tax. However, if the payment was not made to the above mentioned category of people, it is subject to withholding tax rate between 33c to 48c.

United Kingdom

Honorarium is treated for tax purposes by HM Revenue and Customs as taxable income and national insurance

National Insurance

National Insurance in the United Kingdom was initially a contributory system of insurance against illness and unemployment, and later also provided retirement pensions and other benefits...

, if applicable. However payments are made based on services required and not bound by any contractual arrangements.

United States

An honorarium paid to a U.S. resident for services performed within or outside the U.S. is subject to federal (and in some cases state) income tax.