ADVISORY/Changes for 2001 IRS Tax Filing: New Internet Payment Option.

Business Editors

ADVISORY...

--(BUSINESS WIRE)

Reporters, editors and columnists who cover personal finance, tax preparation and consumer credit, please take note: a new federal tax payment option will be unveiled in January 2001 for the 2000 tax year. This new option will allow taxpayers to make their payments via the Internet by credit card. Beat journalists planning curtain-raiser tax season stories may want to plan for space for this new development.

Taxpayers will be able to make Form 1040 Balance Due Payments, Form 1040ES Estimated Payments and Form 4868 Extension Tax Payments on the Internet through a service authorized by the IRS and offered by Official Payments Corp. at www.officialpayments.com.

This is the first year that any taxpayer with access to an Internet browser will be able to make their tax payment by credit card via the Internet, regardless of the software or method of preparation they use. The Internet payment channel will be available to all taxpayers including paper filers, electronic/Internet filers, filers who use tax preparation software or filers whose returns are prepared by accountants and tax preparation professionals. The Internet credit card payment system is scheduled to go live on January 12, 2001.

The new Internet payment option by credit card expands on a program launched in 1999 which enabled taxpayers to make payments by credit card via telephone through Official Payments Corp., by calling 1-800-2PAY-TAX. During the first three quarters of 2000, Official Payments Corp. processed and collected over $630 million in federal balance-due, estimated, and extension tax payments on behalf of individual taxpayers making payments to the IRS.

In 2001, taxpayers can use their American Express, Discover Card or MasterCard to make their tax year 2000 Balance Due, tax year 2000 Extension and tax year 2001 Estimated Payments by calling 1-800-2PAY-TAX or by visiting www.officialpayments.com on the Internet. The IRS has included instructions on the credit card payment option in tax instruction booklets. Electronic copies of tax instruction booklets are available at www.irs.gov; printed copies will be made available later this year. Taxpayers using credit cards with bonus rewards programs can, depending on their card's program, earn rewards, points, and cash-back or airline frequent flyer miles for paying their taxes.

For additional information on the Internet and telephone tax payment channels offered by Official Payments Corp., please contact Bruce Zanca by e-mail at [e-mail], or by telephone at 203/356-4205. A press kit that fully describes the Internet and telephone tax payment channels offered by Official Payments Corp., including an Internet demo, will be available to the media in early January. News media can request a copy of the kit by sending an e-mail to: [e-mail].