NATIONAL PAYROLL REPORTING CONFERENCE DEMONSTRATES PROGRESS ON THE WAGE AND TAX REPORTING E-FILING FRONT

Baltimore, MD, August 2, 2001 – The 2001 National Payroll Reporting Conference was held today at Social Security Administration Headquarters in Baltimore, Maryland. Over 300 people attended the conference and gained insight into the current progress and future direction of electronic filing and online services for wage and tax reporting. The Social Security Administration (SSA) and the Internal Revenue Service (IRS) hold the National Payroll Reporting Conference jointly.

Tax Technologies, Inc. was invited to participate in the conference. As an active participant in other IRS electronic filing related conferences and activities for corporate tax returns, Tax Technologies took the opportunity to gauge cross-industry e-filing trends and assess the payroll reporting landscape.

"As we consider expansion of our tax data warehouse, financial reporting, and e-filing components to support payroll, it is important that we fully understand how we can complement the effort of the SSA and IRS", says Jeff Wenger, Chief Technology Officer of Tax Technologies, Inc. "E-filing progress to-date is impressive and we want to make the reporting process as easy as possible for our clients."

SSA has leveraged the Internet to achieve extraordinary growth and acceptance of electronic filing. For Tax Year 2000, SSA has already received almost 27% of the anticipated W-2s electronically. The great response to electronic filing is attributable to its ease of use, accuracy, speed, security and availability. In addition, SSA offers a later filing deadline for electronic filers.

The conference also highlighted and demonstrated other online services in development within SSA. Enhancements planned for Employer Services On-line were shared with the audience and strategies for better integration with software developers discussed. All of the improvements should simplify electronic filing further and some industry analysts believe 95% of the W-2s may be filed electronically within six years.

Further information concerning wage and tax reporting can be found on the following web sites: www.ssa.gov and www.irs.gov.

About Tax Technologies

Tax Technologies, Inc. is a technology-driven tax services company and leading provider of Internet/Intranet-based tax software. With a variety of Fortune 500 clients using its suite of web-native tax software products (TaxSeries) and audit products (AuditTracker), Tax Technologies assists with the preparation of tax returns, the improvement of tax process, implementation of tax software, and the development of custom applications to meet client’s tax and financial reporting demands.

The company’s headquarters are in Haworth, New Jersey, with the technology headquarters in Bradenton, Florida. Further company information is available at www.taxtechnologies.com.