ADVISORY/Pay Federal Income Taxes With Your Credit Card Via 1-888-2PAY-TAX.

Business Editors/Tax Industry Writers

ADVISORY...

--(BUSINESS WIRE)

This year taxpayers have the option of charging their federal income taxes by credit card. Through its toll-free number, 1-888-2-PAY-TAX, Official Payments Corporation (Nasdaq:OPAY), in conjunction with the Internal Revenue Service, provides taxpayers a channel to pay 1999 balance-due and automatic extensions, and tax year 2000 estimated/quarterly tax payments by credit card.

For consumers, this can translate into having their tax payments "work" for them. Individuals holding credit cards with incentive programs linked to spending will earn rewards for every tax dollar paid using their card (incentive programs vary from issuer to issuer). Also, since payments can be deferred, consumers can have access to and use of their funds during the deferral period. Information about this service is included in Forms 1040, 1040ES and 4868 (application for automatic extension of time to file individual U.S. income tax return).

The service is appropriate for various types of individuals including:

-- Individuals with a balance-due obligation who convert the credit card points from their payment into airline travel or other rewards.

-- Paper form or e-file taxpayers who have a small balance-due obligation and want the convenience of making payments by credit card. These filers may lack the funds to pay their obligation and prefer not to borrow money from a bank, work out a payment schedule with the government, or default on the payment.

-- Small business or professional practice owners with forthcoming receivables who can cover their obligation but do not have enough cash on hand to make their quarterly payments.

-- Taxpayers making estimated and extension payments, who want to eliminate filing the paper form.

-- Taxpayers who want to pay by credit card to time the transaction and take advantage of the float period to keep from making the payment for 30 or 60 days.

Last year the Internal Revenue Service conducted a pilot program allowing taxpayers to pay their balance-due 1998 tax payments by credit card. Official Payments Corp. (then called US Audiotex) provided the service for the IRS. This year, following the successful pilot program, Official Payments Corp. again provides the service in the first year of the full program, which includes payment channels for 1999 balance-due and automatic extensions, and tax year 2000 estimated/quarterly tax payments by credit card.

To arrange for an interview with a spokesperson or for a full press kit please contact Bruce Zanca of Official Payments Corp., 917.322.2540 e-mail: [e-mail]

Note to TV stations:

A Video News Release and a B-role package are also available from the contact above.