When little red packages called Taxwiz that look like bubble gum cards start popping up in Calgary convenience stores in January, Syd Hazan doesn’t advise trying to chew them.
But you can use them to chew on your Canadian tax forms online without worrying about parting with credit card information over the Internet, says the president of Toronto-based Taxmatic Inc.
The sealed bright red packages, each about the size of a package of Pokemon cards, will show up in Petro-Canada and Esso Tiger Express convenience stores in the Calgary area in January, Hazan told Business Edge on a recent visit to the city.
They’re a low-tech answer to a problem that’s causing high anxiety for high-tech companies: consumers who use the Internet, but are reluctant to divulge credit-card information online.
“Here’s the problem,” explained Hazan. “Over half the annual marketplace available to us will not use their credit card online.” The cards, which are bought in a conventional transaction in a retail store, allow wired consumers to use Taxmatic’s Taxwiz To Go Internet tax-preparation form to prepare and file their tax return to Revenue Canada.
For $9.95, the packages contain access codes that allow a consumer to go to the Taxwiz Internet site and prepare and file two tax forms. For the brave, Taxwiz To Go can also be purchased with a credit card over the Internet, and reusable Taxwiz software can be purchased in computer stores.
Hazan says Taxmatic’s system is secure — personal data can only be accessed by Revenue Canada and the person who prepared the tax form. And, he notes, it’s one of only four software packages approved for use by the tax-collection agency.
“Because our online cards are sold at the retail level for the first time ever, all fees are paid up front, allowing retailers to profit from third-party e-commerce,” Hazan added. “Taxwiz has come to the retailer and said: ‘Here you go!’ ”
Taxmatic is negotiating with several more retailers to carry the cards, he noted.
