TRACY, Calif.--(BUSINESS WIRE)--Nov. 19, 2004--TaxBrain® Online Tax Preparation, the largest independent online tax software developer in the United States, is helping taxpayers understand the new Health Savings Accounts (HSA), an element of the Bush administration's ongoing initiative to reform the tax structure. Health Savings Accounts will cover 85% of America's small businesses and employees, except for people over 65.

According to Leroy Petz, Sr., president of Petz Enterprises, Inc., a software development company and producers of TaxBrain Online Tax Preparation, "Through the use of a Health Savings Account (HSA), the taxpayer can contribute up to $5,150 for a family or $2,600 for an individual and deduct an equal amount on the tax return, barring any contributions made by the employer, or if an Archer MSA is being maintained.

"Actually, it's very easy and provides great protection against the continually soaring costs of long-term medical care," added Mr. Petz. "The taxpayer establishes an HSA much like an IRA or SEP account. The current medical insurance policy must be defined as a High Deductible Health Plan (HDHP), with a minimum deductible of $2,000 for a family and $1,000 for an individual. The deductible cannot include insurance premiums.

"As medical bills come due now, or even in 10 years, the taxpayer can tap into the HSA to help cover medical expenses. Earnings, principal and interest continue to grow in tax-exempt status as long as you maintain the account," stated Mr. Petz.

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TaxBrain Online Tax Preparation 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 e-filing for the professional and consumer markets, helping to automate and simplify federal, state and local tax preparation. 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 preparer and individual taxpayers worldwide. For more information, visit www.petzent.com.