Taxes are always one of the hardest things to do, whether you’re running a business or not. Even more so if you do not have any experience in accounting or finance. Tax-related issues can be overwhelming, particularly when you’re filled with tasks to complete. When you’re not able to afford the funds to engage an accountant doing it on yourself can be risky. If you miss one detail it could mean you need to repeat the process!
Nearly everyone would prefer to avoid this step. But , as it’s a requirement, we have no choice.
So , what can we do about it?
It is always possible to make life easier by using tools like TaxJar.
Here we’ll take a look at this popular life-saving tool and explain how it can help you. Although this is quite a long read but you’ll be able to determine if TaxJar is the tool you require today.
Are you looking watching videos rather than watch them? Check out this video – by Marcus Stonelius on YouTube they also do a full review of the features offered by TaxJar.
But for those who prefer to read, let’s dive right in.
What exactly is TaxJar? Can TaxJar Collect Taxes On Ebay
Founded in 2013, TaxJar is an online platform that assists you in automating your filings, reports, and sales tax calculation. TaxJar is a solution to the entire life cycle. Additionally, you can use it in all of your sales channels to ensure that you are in compliance with your sales taxes. It simplifies the processes that require days to complete and is completed in just a few minutes.
TaxJar has been used in different industries such as food and beverage businesses, SaaS, retail, services and even medical establishments.
What can it do to help you?
TaxJar is extensively used by business owners who run online businesses to keep everything simple and organized. Let’s look into the benefits and features of TaxJar.
Services and features
One of the most important things you’ll need to make sure is your tax-reporting system perfectly integrates along with sales funnels. If you have multiple sales channels, you must maintain everything in line. The most important thing is not to face a penalty due to missing a single minor point.
TaxJar allows you to show your key data in one location. That way, there’s no need to gather data in multiple channels and then organize it on a single platform. All you have to do is to integrate TaxJar, and the platform will handle all the rest.
Other than that, TaxJar also integrates with other platforms that help with payment processing. Here’s a list highlighting the platforms they can integrate with:
TaxJar allows customers to file their sales taxes either manually or via the AutoFile feature. For the purpose of this article, we’ll take a look into both.
If you decide to do it manually, TaxJar will allow you to connect all of those sales tools. Once the time comes for filing tax returns for income The team will guide you on how to manage the tax returns. But, it is up for you and your team to complete the process on time. TaxJar is there to guide you on what you should accomplish, but not manage it.
If you’d prefer an Auto file, TaxJar will do the filling, which means you don’t have to submit all forms by hand. Through this feature, everything will be automated, from calculating sales tax in order to record and process it. There could be extra fees if not part of the plan you chose.
Sales Tax Reports
As we mentioned that you can utilize TaxJar to ease your accounting woes. The orders you place through your online channels can be compiled into one dashboard using this platform. Once you’re on the platform you and your team will have access to everything you need, like a list of your transactions, reports, and information.
The best part about this option is the fact that they allow you to automatically update every day. Not only can they help you know how much you’ve collected and how much you’ve earned, but they also let you determine when your next payment is due.
Their dashboard can also allow you to see the total sales tax in your business. Additionally, you can export the information as a CSV file, if you want to use it in your process of financial planning and accounting or if you require it to run centralized reports.
Streamlining and Training
TaxJar assists in organizing and keeping on top of all the sales avenues you use. This means that you don’t have to search for your documents when you need them when you’re in a pinch. Even if you already have your accounting firm, the feature will aid them in being more efficient.
Moreover, knowing the estimates for your sales tax ahead of time will allow you to allocate your funds better. You’ll know exactly how much budget you have for other operating expenses.
What’s more is that TaxJar provides training and tutorials, not just for their platform , but also everything related to sales tax. Check out their webinars, guides as well as their blog to find more info. Apart from that their sales tax calculator should be beneficial when you’re planning to take on the entire task yourself.
How much does TaxJar cost?
We know how crucial it is to determine your budget. Some platforms provide amazing features, but they can be too costly for your business. For this reason we’ll take a look at TaxJar’s pricing levels and what each of those options can offer you. At present, TaxJar offers three plans: Starter, Professional, and Premium.
Their Starter plan starts at $19. They claim that it’s the most suitable plan for you to help you with filing requirements or reporting. It includes sales tax reporting, four annual AutoFiles for free, as well as a CSV import. Even with the basic plan, you can access their AI tax advice.
If you’re a smaller company proprietor, then this program should be perfect for you. It might not include all the features of TaxJar but it comes with the essentials that you need.
In addition, you can reach their support team with their support chart for email. Additionally, you’ll have access to their integration capabilities.
If you’re looking for something that is more than the basic features Professional could be the one for you. It starts at $99, but you can increase it when you add additional features.
How different is it from the starter plan?
In addition to having access to all of the Starter plan’s features, you also get access to the support of their customer service via phone Access to APIs, phone support, and the ability to do advanced CSV import. They also allow you to have 12 free AutoFiles each year.
If you run a large enterprise, you may want to opt for premium plans instead. It includes all of the features needed to aid in your tax preparation. Additionally, they permit unlimited integrations with data imports, API integrationsfor team members and AutoFiles.
They also have a team that is devoted for managing the account. But, they don’t divulge how much the Premium plan costs you. Can TaxJar Collect Taxes On Ebay
However, they did say that this plan is customized to each user. Therefore, the cost will differ depending on what you need for your business.
Luckily, you don’t have to gamble your money just to determine if this service is the right one for you. If you’re still looking into other options, they have 30 days of free trial. This should be enough time to gauge if the platform is a good fit for you.
Pros and Cons
We’ve covered everything you must know about TaxJar let’s take a break. To sum it all up we’ll go over the pros and cons of using TaxJar for your company.
- Has 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
- Offers a 30-day free trial
- It is possible to integrate it with other platforms.
- Allows you to track multiple sales channels
- Limits for AutoFile are based on the plan
- AutoFile has extra fees
- Some countries won’t have access to the API feature.
- Only valid for USA customers
- It is important for owners and accountants to recheck local legislations
The Final Verdict
With everything laid out, TaxJar can be a great platform businesses with multiple sales channels and uses numerous platforms. If that sounds like what you’re doing, then you must try TaxJar.
Not only will it help you track your products and revenue It can help you meet the deadlines you set. This is also an excellent platform for an accountant since they offer tax Advisor program. There are tips to follow and learn from their sessions regarding taxes via it.
The use of TaxJar can help you reduce time and keep track of every deadline and obligation you have to fulfill. If you’re in an area with complex tax laws, this will certainly help you to get your head around it. Can TaxJar Collect Taxes On Ebay
However, if managing your taxes is straightforward, then TaxJar may be an unnecessary expense. If you only have one or two sales channels, TaxJar won’t be needed to track all of it. If you find the whole procedure simple to follow and you’re comfortable with it, you may be better in doing it all by yourself.
FAQ Can TaxJar Collect Taxes On Ebay
Which areas does TaxJar offer API support?
TaxJar currently works with countries like the United States, the EU, Australia, and Canada.
Can I connect Shopify together with TaxJar?
Yes. You can link your Shopify account to TaxJar for easier monitoring and updates.
Can I convert any kind of currency with TaxJar?
Unfortunately, no. TaxJar cannot convert currency values. All of the transactions are in US$. If you’re using a different currency, you will need to convert it to USdollars prior to when TaxJar will calculate your tax.