Taxes have always been one of the hardest things to do, whether you’re running your own business or not. More so if you don’t have a degree in accounting or finance. Tax-related tasks can be overwhelming, especially when your whole day is filled with tasks to complete. When you’re not able to afford enough money to hire an accountant, making it yourself can be risky. If you miss one detail and you don’t know it, you may have to do it all over again!
Nearly everyone would prefer to skipping this step. However, since it’s mandatory and mandatory, there’s no other choice.
So , what can we do about it?
We can always make life easier by using tools like TaxJar.
This article will take a look at this popular life-saving tool and explain how it can benefit you. While this is a long read it is possible to assess whether TaxJar is exactly what you need today.
Prefer video streaming instead? Watch this video – by Marcus Stonelius on YouTube they also give a complete review of TaxJar’s features.
For those who like to read, let’s dive right in.
What exactly is TaxJar? Avatax Vs TaxJar
In 2013, TaxJar was established. TaxJar is an online platform that assists you in automating your reporting, filings and sales tax calculation. It is a solution for your entire sales tax life cycle. Furthermore, you can utilize it across all of your sales channels to make sure you’re in compliance with sales taxes. It simplifies the processes that take days to complete and is completed in just a few minutes.
TaxJar has been utilized in various industries like food and beverage companies, SaaS, retail, services, and even medical institutions.
What can it do to help you?
TaxJar is extensively used by owners of online businesses to make their business more organized and straightforward. Let’s explore their features and services.
Services and features
One of the first things you’ll need to ensure is your tax-reporting platform seamlessly works well in conjunction with the sales channels you use. If you’re using multiple sales channels, you need to maintain everything in line. The final thing you would like is to face a penalty due to not paying attention to a minor thing.
TaxJar allows you to show your critical metrics in one place. This means that there is no need to collect data in multiple channels and sort it into a single platform. All you need to do is connect TaxJar it will handle the rest.
Apart from that, TaxJar also integrates with other platforms that can help in the process of making payments. Here’s a list highlighting the platforms that they can connect with:
TaxJar lets customers make sales tax filings manually or through the AutoFile feature. In our review we’ll dig into both.
If you choose to manually file your tax returns, TaxJar will allow you to connect all of your sales platforms. When the time is right for filing tax returns for income TaxJar will train you on how to manage them. It is up for you and your team members to finish the tax returns within the timeframe. TaxJar is there to help you understand what you need to do but not handle it.
If you’d prefer an Auto file, TaxJar will do the filling for you. This means that you don’t have to submit the forms in a manual manner. With this feature, everything is automated, from calculating sales tax through recording, and then processing it. However, there might be additional charges if they are not included in the plan you select.
Sales Tax Reports
As I mentioned earlier that you can utilize TaxJar to assist you with your accounting problems. All orders made through your e-commerce channels can be put together into one dashboard using this platform. From there you and your team will have access to everything you require, including a list of your transactions, reports, and the data.
The most appealing aspect of this feature is that it lets you to automatically update every day. Not only can they help you know how much you’ve collected, but they also help you track when your following payments are due.
Their dashboard can also allow you to fully view the sales tax totals in your business. You can also export the data in the form of a CSV file, if you want to use it to aid in financial planning and accounting processes or if you require it for central reporting.
Training and Streamlining
TaxJar helps organize and keep the track of all the channels you sell through. That means you won’t have to hunt for your paperwork when you need them in the event of a need. Even when you already have your accounting firm, the feature will make them more efficient.
Moreover, knowing the estimates for your sales tax in advance will allow you to allocate your money more efficiently. You’ll be aware of the budget you have for other operating costs.
What’s more is that TaxJar offers training and tutorials and tutorials, not just for their platform but all things connected to sales tax. Check out their webinars, guides, and blog for more details. Additionally their sales tax calculator should be useful if you’re planning to take on the entire task yourself.
How much does TaxJar cost?
We understand how important it is to determine your budget. Some platforms offer superb features, but they’re sometimes too costly for the business you run. This is why in this section we’ll take a look at TaxJar’s pricing structures and what each of these plans can offer. At present, TaxJar offers three plans that are: Professional, Starter and Premium.
Their Starter plan starts at $19. They claim that it’s the most effective plan if you need help in filing and reporting. It includes taxes on sales and sales as well as 4 free yearly AutoFiles, and an CSV import. Even with the starter plan, you can access their AI tax recommendations.
If you’re a smaller company manager, the plan could be ideal for you. It may not have all the features offered by TaxJar, but it has all the basics you require.
In addition, you can reach their customer support via their email support chart. You’ll also have access to their integration tools.
If you’re looking to get that is more than the basic features and options, then the Professional plan may be the best option for you. The price starts at $99 however, it could go up if you add custom features.
What is the difference from the starter plan?
Apart from having access to each of Starter plan’s features, you also have their support via phone, API access, and advanced CSV import. They also allow you to have 12 free AutoFiles each year.
If you have a massive company, you may need to opt for an upgrade instead. It includes all of the features that you require to help with your taxes. Additionally, they permit unlimited integrations with data imports as well as Integrations with APIs, teams of users and AutoFiles.
There is also a team dedicated to managing your account. However, they don’t disclose the amount that the Premium plan costs you. Avatax Vs TaxJar
However, they did mention that this plan is tailor-fit for every user. Therefore, the cost will differ according to what you require for your business.
Fortunately, you don’t need to risk your money to find out if the platform is for you. If you’re still considering various options, they provide 30 days of free trial. This should be enough time to gauge whether the software is a good fit for you.
Pros and Pros and
After we’ve gone over everything you need to be aware of TaxJar let’s take a break. To summarize Here are the advantages and disadvantages of the use of TaxJar for your business.
- There is a Tax Advisor option for some plans
- AutoFile features help save time
- Available in most USA states
- Offers on the internet for sales tax calculator
- Support Service Team
- The dashboard is easy to navigate
- The company offers a 30-day trial for free.
- It is possible to integrate it with other platforms
- It allows you to monitor multiple sales channels
- AutoFile limit is based on the plan
- AutoFile has extra fees
- Certain countries will not be able to access the API feature.
- Only applicable to USA customers
- Needs accountants and owners to review local laws
The Final Verdict
With everything clearly laid out, TaxJar provides a fantastic platform to businesses with numerous sales channels, and that utilizes plenty of platforms. If that’s what you do, then you must try TaxJar.
It’s not just a way to help you track your revenue and products, but it can also help you meet your deadlines. It’s also an excellent platform for an accountant since they offer a Tax Advisor program. You can find tips and learn from their sessions on taxes by using it.
The use of TaxJar can help you get more done while keeping on top of each deadline and requirement you have to meet. If you’re in a region with a lot of tax laws, this can definitely help you get your mind around it. Avatax Vs TaxJar
If handling your taxes is straightforward and straightforward, then TaxJar may be an unnecessary expense. If you’re only dealing with one or two channels of sales, TaxJar won’t be needed to keep track of everything. In addition, if you’re finding the entire procedure easy to complete, you might be better in doing it all on your own.
FAQ Avatax Vs TaxJar
What are the areas in which TaxJar provide API assistance?
TaxJar currently works with countries like Australia, the United States, the EU, Australia, and Canada.
Do I have the ability to incorporate Shopify together with TaxJar?
Yes. You can sync your Shopify account to TaxJar to facilitate monitoring and updates.
Can I convert any type of currency using TaxJar?
Unfortunately, no. TaxJar does not convert currency values. All transactions’ amounts are in US$. If you’re using another currency, you’ll have to convert it to USUSD before TaxJar can calculate the tax.