TRACY, Calif.--(Business Wire)--Mar. 9, 2005--Petz Enterprises, producers of the popular TaxBrain (R) Online Tax Service (www.taxbrain.com), reports electronic tax return preparation and filing is more than 50% ahead of the same period as last year.

According to Leroy E. Petz, Sr, president of TaxBrain.com, "As the third largest independent online tax service in the United States, we compete directly with the leading makers of boxed tax software. Recent reports from the two largest software producers indicate only a slight gain - and even a drop -indicating e-filing is gaining traction while boxed software is either flat or declining."

Intuit says results for the second quarter ended January 31 were higher than forecast three months ago, although earnings dropped to $147.3 million from $149.1 million a year earlier.

H&R Block's digital tax business reported a 9.1 percent decrease in paid clients served through Feb. 15. Modest growth in online clients was offset by a decline in software units sold.

"This year, in addition to many thousands of customers who simply file 1040 or 1040EZ forms, we're experiencing an increase in small businesses and individuals with more complicated tax situations. The combination of convenience - prepare your taxes any time and wherever you have Internet access - and the wide range of professional assistance through TaxBrain.com's unique chat and Instant Messaging, helps taxpayers maximize their refunds while receiving their money in record time," concluded Mr. Petz.

Recent national magazine reviews note e-filing advantages

Several of the nation's leading magazines devoted to computers and technology have reviewed e-filing against boxed software. For example, SMART COMPUTING magazine April 2005, (Vol. 16 Issue 4) said:

"Instead of installing software and being tied to one computer to fill out your tax forms, you can take advantage of a Web-based program that lets you complete your tax return from any Internet-connected PC. Welcome to TaxBrain, the Web site that stores your tax information and allows you to prepare returns online for the federal government and all 50 states."

About TaxBrain® Online Tax Service

TaxBrain Online is the only web-based tax solution delivering online preparation, filing, professional assistance and representation in all 50 states. 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. For more information visit www.taxbrain.com/press.

About Petz Enterprises, Inc.

Petz Enterprises, Inc. (a closely-held California corporation) is a software development company and 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, Tracy, CA-based PEI is dedicated to serving the needs of the professional tax community and individual taxpayers worldwide. For more information, visit http://www.petzent.com.