Tracy, CA (January 7, 2004) -- Petz Enterprises, Inc., (PEI) producers of the popular TaxBrain Online Tax CenterT, announced today the opening of their online tax service - the first major provider to officially usher in the 2004 Tax Season.

Commenting on the launch, Leroy E. Petz, Sr., President and CEO of PEI, said, "Following on from the successes of 2003, TaxBrain becomes the first online tax preparation product available to the public for the forthcoming tax season. The 2004 tax season opens with the promise that more people than ever before will file their returns over the Internet."

"Last year, TaxBrain attracted over one million visitors to its website including over 50,000 unique visitors on April 15th. Despite the volume of visitors, our customer-focused philosophy, proved we designed a system able to cope admirably, without frustrating visitors," commented Petz, "TaxBrain's site performed with no downtime over the final 72 hours," he added.

"We have listened to our customers and will this year provide enhanced services including greater support for various federal and state forms, non-resident state returns, prior year past-due and amended returns, and year to year data transfer. For a full list of our extensive new services, log-on to www.taxbrain.com."

Awareness of Online Benefits Leading to Tidal Wave of Web Filers

"The popularity of the Internet has never been greater as consumers realize the cost savings and other benefits of Internet banking and shopping. TaxBrain last year reported a 300% increase in business compared to 2002 and recent surveys suggest that the volume of Internet transactions continues to grow."

"A recent ThumbsUP® survey, conducted by Wallace & Washburn of Wellesley, MA for PEI, determined that 56% of the respondents in 2003 were first time Internet tax filers. The majority previously prepared their taxes themselves at home, or used retail tax services like H&R Block."

"Preparing and filing a tax return over the Internet has never been easier. At the TaxBrain Online Tax Center taxpayers can now complete their Federal tax returns online for printing and filing on paper. The IRS and most state tax authorities will begin accepting electronic returns on January 16, and by January 24, taxpayers will be able to prepare and file electronic returns for every state."

The benefit to the IRS and the taxpaying public is clear - doing taxes online saves money. With the cost for preparing and filing Federal and state returns starting at around $30, online tax preparation is far less expensive than hiring a professional. As an added benefit, online preparation eliminates the time and complexity of buying, installing, updating and removing tax software - effort that doesn't add any value to the process.

At TaxBrain, the very same software used by PEI's popular professional tax software powers the online tax system. With an explosion in online resources to aid in the process, the outcome for the taxpayer is equal to professional preparation. Moving American's to online tax services will reduce compliance costs for the taxpayer and processing costs for the IRS.

More Than "Software on the Web"

TaxBrain is a full service online tax center delivering news, information, tax guidance and preparation services for tax returns at all levels of complexity. Achieving the full-service vision means providing the pre- and post-filing information and services needed to establish true piece of mind for the taxpayer.

As part of the drive to deliver outstanding customer satisfaction as a full-service provider, the TaxBrain Online Tax Center offers a variety of unique capabilities and services. These include:

More than 620 Federal and State Income Tax Forms: designed to cover more than 98% of taxpayer situations including first time filers, young families, small businesses, investors, and retirees.

Multi-State Return Preparation: fully integrated preparation of both resident and non-resident returns for each of the 44 states that have an income tax.

Year-to-Year Retention of Tax Records: long-term online storage of tax returns and records so clients know their records are always available.

Free Chat Support: instant, and free access to professional support staff at TaxBrain, helping to smooth the complexities of the process.

Services Beyond Software On the Web: Long Term Storage, Printed Copies, and SmartCoverage to name just a few of the value added services provided only by the TaxBrain Online Tax Center.

"As an industry we are expecting to see a record breaking year. Filing online with TaxBrain requires far less time, minimizes the tax liability, and reduces the cost of tax preparation. Now in its fourth year, we know that online tax filing is certainly the wave of the future," Petz concluded.

About TaxBrain® Online Tax Center
TaxBrain is a full service online tax center providing tax advice, tools, and resources all year to help taxpayers manage their tax burden with greater confidence and ease. TaxBrain is the only web-based tax solution that delivers online preparation, filing, professional assistance and representation for taxpayers in all 50 states. Launched in 2000, TaxBrain delivers the vision of a fully integrated tax center that accommodates the schedule and needs of the busy American lifestyle. In 2002, TaxBrain emerged as one of the most popular services for online tax preparation and filing available on the web. For more information, visit www.taxbrain.com.

About Petz Enterprises, Inc.
Petz Enterprises, Inc. (a closely held California corporation, PEI) is a leading provider of tax preparation and filing solutions for the professional and consumer markets helping to automate and simplify federal, state and local tax compliance. PEI's CrossLink® line of professional tax software products enable tax practitioners and service bureaus to accurately prepare and file large volumes of individual tax returns. Founded in 1974, and based in Tracy, California, PEI is dedicated to serving the needs of professional tax practitioners and individual taxpayers nationwide. For more information, visit www.petzent.com.