FOR IMMEDIATE RELEASE
Tuesday, May 30, 2000

Rebecca Smalley
DE Div. of Revenue
(302) 577-8667

David Sullivan
DE Division of Revenue
(302) 577-8230

Tim McLaughlin
Nationtax Online
(877) 368-5386

Division of Revenue to Offer Free Web-Based Tax Filing to Delaware Businesses www.revenue.delaware.gov

New filing option allows Delaware businesses to prepare, file and pay their taxes completely over the Internet

The Delaware Division of Revenue has approved a completely Web-based tax filing service that allows businesses to prepare, file and pay their state withholding, corporate estimated, and S-corporation estimated taxes completely over the Internet through Nationtax Online, a Birmingham, Ala.-based company.

To encourage electronic business tax filing, the state will underwrite the transaction fee costs for the first year, giving business taxpayers a free, one-year trial period from their date of registration. Businesses must register prior to December 31, 2000 to qualify for the year of free service. A special Web site has been created at http://www.revenue.delaware.gov/obt/businternet.html to provide business tax filers more information on the new service.

Delaware joins the Internal Revenue Service and seven other states — Florida, Rhode Island, Pennsylvania, Louisiana, Idaho, Hawaii and 90 cities and counties in Alabama — that already take advantage of the efficiencies of a completely Web-based business tax filing network.

"Delaware is a national leader in efficient business-to-government interaction. Web-based tax filing is just one example of how we are working to make conducting business with the state easier and this application is another step toward our goal of a totally electronic filing system," said John J. Maciejeski, Assistant Director, Delaware Division of Revenue. "By taking such a strong stance to encourage businesses to file electronically, the state will ultimately realize a more efficient, less costly way to process business tax filing — one that will greatly simplify the process for our taxpayers."

The Nationtax Network provides an efficient, accurate and paperless alternative to conventional tax filing methods. It simplifies the filing process and substantially reduces filing errors with automatic tax calculation and secure electronic fund transmission. Nationtax requires only a Web browser and Internet connection to use with no upfront costs or software to purchase or download.

The average business tax filer can spend an hour or more filling out each paper tax form without complete assurance that the return is accurate. Nationtax’s Web-based tax filing application takes less than five minutes and virtually eliminates errors, thereby saving businesses penalty fees and interest. Delaware businesses typically file withholding and corporate tentative tax returns an average of eight times a year with an estimated 500,000 total tax returns filed annually. The state estimates that it costs approximately $5 per paper file to process these returns; even more if the return is inaccurate.

"When public and private sectors work together using the latest technology, it makes doing business with the state much easier and less costly for all parties involved," said Nationtax Chairman and CEO Lee Walthall. "We are pleased to be working with the Delaware Division of Revenue to aggressively and proactively improve the process of business tax filing in the state."

About Nationtax Online

Nationtax Online is America’s leading Web-based business tax filing network. Based on a patent pending process, the Nationtax Network provides a simple, quick and accurate way for businesses to prepare, file and pay sales tax, income tax withholding and other state, federal and local business taxes completely on the Web for only $3.95 per transaction.

Nationtax’s service requires only an Internet connection and browser to use. Nationtax was founded in 1980 and is a privately held company. Headquartered in Birmingham, Alabama, it also has field offices located throughout the nation. To view a demonstration of Nationtax’s Web-based tax filing service, visit http://www.nationtax.com.

Last Modified: 06/13/2002 07:21:40 AM