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Amex rewards program offers tax-payment option

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NEW YORK (AP) — American Express Co. on Monday announced enhancements to the reward program for its payment card, including an option to use points toward paying off federal, state and local income taxes.

American Express called the tax option an industry first.

It said members could apply points toward tax payments if they file through the online tax payment services pay1040 and Official Payments Corp. Members can apply as few as 200 points toward a tax payment or toward any fees incurred when paying taxes online.

American Express announced several other program features and new partners, including hotels, retailers and restaurants. It said the program offers more than 1 million rewards from more than 500 brands.

American Express is among several card issuers that reward customer loyalty with cash rewards, frequent-flier miles or other perks in formal programs.

Shares of American Express fell 60 cents, or about 1.4 percent to $41.35 in afternoon trading.