Taxes are always one of the most difficult tasks to complete regardless of whether you run your own business or not. Even more so if you do not have any experience in finance or accounting. Tax-related tasks can be overwhelming, especially when you’re packed with things to do. In the event that you do not have the budget to engage an accountant doing it on your own could be dangerous. If you make a mistake, you might need to repeat the process!
Nearly everyone would prefer to skipping this step. However, since it’s mandatory to be done, we can’t choose not to.
What is the best way to deal with it?
We can always simplify our lives by using tools like TaxJar.
Here we’ll take a look at this well-known life-saving device and how it can help you. Although this is quite an extensive read but you’ll be able to gauge whether TaxJar is exactly what you need today.
Do you prefer video streaming instead? Take a look at 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 is TaxJar Cheaper Alternative To TaxJar
Founded in 2013, TaxJar is an online platform that assists you in automating your reports, filings, and sales tax calculations. TaxJar is a solution to your entire sales tax life cycle. In addition, you can apply it in all of your channels of sales to make sure you’re in compliance with your sales taxes. It makes the process simpler that could require days to complete and is completed in just a few only a few minutes.
TaxJar has been used in different industries such as food and beverage businesses, SaaS, retail, services and even medical establishments.
How can it help you?
TaxJar is widely used by business owners who run online businesses to keep everything simple and organized. Let’s take a look at their features and services.
Services and features
One of the first things you’ll need to ensure is your tax-reporting software seamlessly works well with your sales channel. If you’re selling through multiple channels, it is essential to ensure that everything is in order. The final thing you would like is to get a penalty for overlooking just one minor detail.
TaxJar lets you display your key data in one location. So, there’s no need to collect data in multiple channels and then organize it on one platform. All you have to do is to integrate TaxJar, it will take care of all the rest.
Other than that, TaxJar also integrates with other platforms that can help with payment processing. Here’s a list highlighting the platforms that they can connect with:
TaxJar allows clients to submit their sales tax manually or through the AutoFile feature. For our review we’ll take a look at both.
If you choose to do it manually, TaxJar will allow you to connect all of those sales tools. Once the time comes for the filing of income tax returns, the team will instruct you on how to manage them. It is up to you and your team to complete the process in time. TaxJar will only help you understand what you need to accomplish, but not manage it.
If you would prefer an Auto file, TaxJar will do the filling for you. This means that you don’t have to fill out all forms by hand. Through this feature, everything will be automated from calculating taxes on sales in order to record and process them. However, there might be additional costs if the feature is not included in the plan you choose.
Sales Tax Reports
As I mentioned earlier that you can utilize TaxJar to help you with your accounting issues. Your orders from your e-commerce channels can be combined into a single dashboard via this platform. Once you’re on the platform, you and your team will have access to all the information you need, like the list of transactions, reports, and the data.
The best part about this option is the fact that they allow you to update automatically every day. Not only will they let you keep track of how much you’ve earned however, they can also help you keep track of when the next payment is due.
The dashboard allows you to fully view the sales tax totals in your business. It is also possible to export the data in the form of a CSV file if you need it in your process of financial planning and accounting or if you require it for centralized reporting.
Streamlining and Training
TaxJar assists in organizing and keeping the track of all the sales avenues you use. It means you don’t need to scramble 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.
Additionally, knowing the figures for your sales tax ahead of time will allow you to allocate your money more efficiently. You’ll know exactly how much budget you have available for other operating expenses.
The best part is that TaxJar offers tutorials and training not only for their platform but all things related to sales tax. Check out their guides, webinars, as well as their blog to find more info. Apart from that their sales tax calculator is beneficial when you’re planning to take on the entire task yourself.
How much does TaxJar cost?
We understand how important it is to establish your budget. Some platforms offer superb capabilities, but they’re often too costly for your business. This is why in this section, we’ll look into TaxJar’s pricing tiers and the features that each of these plans can offer. At present, TaxJar offers three plans that are: Professional, Starter and Premium.
The Starter plan starts at $19. The company claims that it’s the best plan to help you with filing requirements and reporting. It also includes sales tax reporting, four annual AutoFiles for free, as well as the option of a CSV import. With the starter plan, you will be able to access their AI tax tips.
If you’re a small business manager, the plan should be ideal for you. It may not offer all the features offered by TaxJar however, it does include the essentials that you need.
In addition, you can reach the support team via their support chart for email. Additionally, you’ll have access to their integration capabilities.
If you’re looking for that is more than the standard features, then the Professional plan could be the one for you. The price starts at $99 but you can increase it if you add custom features.
What is the difference from the starter plan?
Apart from having access to every one of 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 have a massive company, you may need to opt for premium plans instead. It has all of the features needed to make your tax filing easier. Moreover, they allow unlimited integrations with data imports API integrations, team users, and AutoFiles.
They also have a staff dedicated in managing your accounts. They don’t reveal the amount that the Premium plan will cost you. Cheaper Alternative To TaxJar
But they did state that this plan is tailor-fit for each user. So the costs will vary in line with what you require for your business.
It’s a good thing that you don’t have to risk your money to determine if this service is the right one for you. If you’re still looking into various options, they provide a 30-day free trial. This should be enough time to gauge if the platform is a good fit for you.
Pros and Cons
Now that we’ve covered all you need to be aware of TaxJar let’s take a breather. To sum it all up we’ll go over the pros and cons of using TaxJar for your business.
- There is the Tax Advisor option for some plans
- AutoFile features help to reduce time
- Available in most USA states
- Provides on the internet for sales tax calculator.
- Support service team
- The dashboard is easy to navigate
- It offers a free trial of 30 days.
- 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
- Certain countries will not be able to access the API feature.
- Only applicable to 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 companies with many sales channels and utilizes plenty of platforms. If that’s what you do, then you should try this.
Not only can it assist you in keeping track of your products and revenue It can assist you in meeting the deadlines you set. It is also a great opportunity for accountants since they have tax Advisor program. You can find tips and learn from their sessions about taxes through it.
Utilizing TaxJar can help you save more time while keeping the track of each deadline or requirement you need to meet. If you live in a place with complicated tax regulations, this will definitely help you get your head around it. Cheaper Alternative To TaxJar
However, if managing your taxes is simple If it isn’t, then TaxJar may be an unnecessary investment. If you have only one or two channels for sales, TaxJar won’t be needed to keep track of everything. If you find the entire procedure easy to complete and you’re comfortable with it, you may be better to do it on your own.
FAQ Cheaper Alternative To TaxJar
What are the areas in which TaxJar offer API assistance?
TaxJar currently supports countries like Australia, the United States, the EU, Australia, and Canada.
Do I have the ability to integrate Shopify with TaxJar?
Yes. You can link your Shopify account to TaxJar for easier monitoring and updates.
Do I have the ability to convert every type of currency with TaxJar?
Unfortunately, no. TaxJar cannot convert currencies. The transaction amounts are n US$. If you’re using a different currency, you will need to convert it into USdollars before TaxJar can calculate the tax.