Taxes have always been one of the hardest things to do regardless of whether you run a business or not. Particularly if you don’t have any experience in accounting or finance. Tax-related issues can be overwhelming, particularly when your whole day is full of things to be done. When you’re not able to afford the funds to hire an accountant, doing it on yourself can be risky. If you miss one detail, you might have to redo things again!
Most people want to skipping this step. But since it’s required, we have no choice.
What is the best way to deal with it?
We can always simplify our lives with tools such as TaxJar.
This article will take a look at this well-known life-saving device and how it can assist you. While this is lengthy but you’ll be able to gauge whether TaxJar is the tool you require in the present.
Do you prefer watching videos rather than watch them? Watch this video – by Marcus Stonelius on YouTube they also provide a comprehensive review of the features offered by TaxJar.
But for those who prefer to read, we’ll dive right into.
What exactly is TaxJar? Collecting Sales Tax On Ebay TaxJar
Founded in 2013, TaxJar is a platform that helps automate your reporting, filings and sales tax calculation. TaxJar is a solution to your entire sales tax life cycle. Furthermore, you can utilize it across all of your channels of sales to ensure compliance with sales taxes. It makes the process simpler that could require days to complete and can be completed in a matter of minutes.
TaxJar has been used in different industries such as food and beverage companies, SaaS, retail, services and even medical establishments.
What can it do to help you?
TaxJar is widely used by online business owners to keep everything neat and simple. Let’s look into the benefits and features of TaxJar.
Features and services
One of the most important things you’ll need to make sure is that your accounting tax software seamlessly works well in conjunction with the sales channels you use. If you’re selling through multiple channels, you need to keep everything in place. The final thing you would like is to get a penalty for overlooking just one minor detail.
TaxJar lets you display your most important metrics in one spot. So, there’s no need to collect data from different channels and sort it into a single platform. All you need to do is integrate TaxJar, then the system will do all the rest.
Apart from that, TaxJar also integrates with other platforms that can help with payments. Here’s a list of the platforms that they can connect with:
TaxJar allows customers to file their sales taxes manually or through their AutoFile feature. In 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 those sales tools. When the time is right for filing tax returns for income, the team will instruct you on how to manage the tax returns. It is up for you and your team members to finish the tax returns in time. TaxJar is only there to provide guidance on what you have to do , but not to handle it.
If you would prefer an Auto file, TaxJar will do the filling for you. This means that you don’t have to submit all forms by hand. This feature will ensure that everything is automated, from calculating sales taxes to recording and processing it. But, it is possible to incur additional charges if they are you do not include this feature in the plan you chose.
Sales Tax Reports
As mentioned earlier, you can use TaxJar to help you with your accounting woes. All orders made through your e-commerce channels can be combined into one dashboard using 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 data.
The greatest benefit of the feature you’ve chosen is it lets you to update your account automatically each day. Not only will they let you know how much you’ve accumulated, but they also help you determine when your next payment is due.
Their dashboard can also allow you to fully view the total sales tax in your business. You can also export the information as the form of a CSV file if you need it for your process of financial planning and accounting or if you require it for centralized reporting.
Streamlining and Training
TaxJar assists in organizing and keeping track of all of the channels you sell through. That means you won’t have to search for your documents when you need them when you’re in a pinch. Even if you already have your accountant, this function can help them be more efficient.
Moreover, knowing the estimates for the sales tax you pay in advance will help you plan your funds more effectively. You’ll know exactly how much budget you have available for other operating expenses.
What’s more is that TaxJar provides training and tutorials not only for their platform but for anything connected to sales tax. Check out their webinars, guides as well as their blog to find more info. Additionally, their sales tax calculator is helpful if you’re planning on complete everything yourself.
How much does TaxJar cost?
We understand how important it is to set 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 look into TaxJar’s pricing levels and what each of these options can offer you. Currently, TaxJar offers three plans that are: Professional, Starter and Premium.
The Starter plan is priced at $19. The company claims that it’s the most effective plan if you need help in filing and reporting. It also includes the tax on sales, 4 autofiles for free each year, and the option of a CSV import. Even with the starter plan, you have access to their AI tax recommendations.
If you’re a small business proprietor, then this program should be perfect for you. It might not include all the features offered by TaxJar however, it does include all the basics you require.
You can also contact their support team with their support chart for email. You’ll also be able to use their integration features.
If you’re looking to get a bit more than just the basic features Professional could be the one for you. It’s priced at $99 but it can go higher if you add custom features.
How different is it from the starter plan?
Apart from having access to all of the Starter plan’s features, you also have the support of their customer service via phone, API access, and sophisticated CSV import. You can also get 12 AutoFiles for free each year.
If you have a massive enterprise, you may want to go for an upgrade instead. It has all of the features you need to aid in your tax preparation. In addition, they offer unlimited integrations with data imports as well as API integrations, team users and AutoFiles.
They also have a staff dedicated for managing the account. They don’t reveal how much the Premium plan costs you. Collecting Sales Tax On Ebay TaxJar
However, they did say that this plan is tailor-fit for every user. The cost of the plan will be different depending on what you need for your company.
Fortunately, you don’t need to bet your life on it to see if this platform is for you. If you’re still looking into various options, they provide the opportunity to try a free trial for 30 days. It should give you enough time to see if the platform is the right choice for you.
Pros and Pros and
We’ve covered everything you should know about TaxJar let’s take a breather. In order to sum up the whole thing Here are the advantages and disadvantages of using TaxJar to run your business.
- Does the plan include the Tax Advisor option for some plans
- AutoFile features help save time
- Available in most USA states
- Provides Taxes on sales online calculator.
- Support service team
- The dashboard is easy to navigate
- Offers a 30-day free trial
- It can be integrated 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 have access to the API feature
- Only applicable to USA customers
- Needs accountants and owners to review local laws
The Final Verdict
With everything clearly laid down, TaxJar can be a great platform companies that have many sales channels and utilizes plenty of platforms. If that’s what you’re doing, then you should try this.
Not only will it aid in tracking your revenue and products, but it can also help you meet the deadlines you set. It’s also an excellent option for accountants as they offer tax Advisor program. You can get tips and learn from their sessions on taxes by using it.
The use of TaxJar can help you get more done while keeping the track of each deadline or requirement you need to meet. If you’re living in a place with complicated tax regulations, this will surely help you wrap your mind around it. Collecting Sales Tax On Ebay TaxJar
However, if managing taxes is easy and straightforward, then TaxJar could be a waste of expense. If you only have one or two channels for sales, TaxJar won’t be needed to keep track of everything. In addition, if you find the entire process easy to do then you’re better in doing it all by yourself.
FAQ Collecting Sales Tax On Ebay TaxJar
Which areas does TaxJar provide API assistance?
TaxJar currently works with countries like the United States, the EU, Australia, and Canada.
Can I connect Shopify together with TaxJar?
Yes. You can connect your Shopify account with TaxJar for easier monitoring and updates.
Are there any ways to exchange one type of currency using TaxJar?
Unfortunately, no. TaxJar cannot convert currencies. All of the transactions’ amounts are in USdollars. If you’re using another currency, you’ll need to convert it into USdollars prior to when TaxJar can calculate your tax.