Producing F/EA Schedule R for Form 940


F/EAs must file Schedule R with their Forms 940. Vendor Fiscal/Employer Agents that operate in Self-Directed (also known as Participant-Directed and Consumer-Directed) programs operate under Section 3504 of the Internal Revenue Code and must file a Schedule R with their aggregate Form 940.

Schedule R (Form 940) is used to allocate the aggregate information reported on Form 940 to each participant employer.  For purposes of Schedule R (Form 940), the Internal Revenue Service refers to employers represented by agents as their 'clients'.  

When the F/EA serves 15 or more employer clients, complete as many Continuation Sheets for Schedule R as necessary.  Attached Schedule R (Form 940) and any Continuation Sheets to the aggregate Form 940F/EA should file Schedule R and Form 940 together with the Internal Revenue Service.