Official Payments Corporation announced it has signed an agreement with the Alabama Department of Revenue to collect balance-due and delinquent income tax payments by credit card, via Internet and telephone.
In the future, Alabama citizens will be able to make these payments over the Internet by visiting the Department of Revenue’s Internet site at or , or via telephone by calling 1-800-2PAY-TAX. The new payment channel is not currently operational but it is scheduled to be launched this fall. The state will include information about the new payment option in tax forms that will be mailed to citizens in January 2001. Official Payments provides similar services to the Internal Revenue Service, the District of Columbia, and the states of Arkansas, California, Connecticut, Illinois, Maryland, Minnesota, New Jersey, and Oklahoma.
! “We are delighted to add Alabama to our growing list of government clients,” said Thomas R. Evans, Chairman & Chief Executive Officer, Official Payments Corporation. “Alabama joins nine other states, over 550 municipalities, and the Internal Revenue Service in providing their taxpayers with flexibility and choice in satisfying their tax obligations. Our systems are proven to be convenient, secure, and reliable, and they are provided at no cost to the state government,” Evans added.
Alabama balance-due payments for tax year 2000 are due no later than April 16, 2001. The state of Alabama projects that $200 million in year 2000 balance-due payments will be collected from their citizens.
Official Payments will charge Alabama taxpayers a convenience fee for processing these credit card transactions. For example, a taxpayer who owed Alabama $900.00 and charged their taxes would find a total of $922.50 on their credit card statement: $900.00 for the tax bill and $22.50 for the convenience fee. American Express, Discover Card, and MasterCard are the credit cards accepted by the program. Taxpayers using credit cards with bonus rewards programs can, depending on their card’s program, earn rewards, points, and cash-back or airline frequent flyer miles for paying their taxes.
About Official Payments Corp.
Official Payments Corp. is the leading provider of electronic payment options to government entities. The company enables consumers to pay government fees and taxes via telephone or the Internet, using their credit cards. The company has partnered with the Internal Revenue Service; several state governments, including Arkansas, California, Connecticut, District of Columbia, Illinois, Maryland, Minnesota, New Jersey, and Oklahoma; and over 550 municipal and county entities, in which it collects income taxes, property taxes, real estate taxes, parking fines and other government fees by credit card over the telephone and the Internet. In the 1999 tax year, Official Payments collected and processed over $575 million in federal income tax payments on behalf of the Internal Revenue Service. The company is publicly traded on Nasdaq under the symbol OPAY. Official Payments Corp. is committed to making payments to the government go fast, smart and safe.