Taxes have always been one of the most difficult things to handle regardless of whether you run an enterprise or not. More so if you don’t have a degree in finance or accounting. Tax-related work can be overwhelming, particularly when you’re full of things to be done. When you’re not able to afford enough money to engage an accountant performing the task on your own can be dangerous. If you miss one detail, you might need to repeat the process!
Almost everyone wants to skipping this step. But since it’s required to be done, we can’t choose not to.
What is the best way to deal with it?
We can always make life easier by using tools like TaxJar.
Here we’ll take a look at this popular life-saving device and how it can help you. While this is lengthy it is possible to assess whether TaxJar is what you need today.
Are you looking to watch videos instead? Check out this video – by Marcus Stonelius on YouTube they also do a full analysis of TaxJar’s features.
For those who like to read, let’s get right into it.
What exactly is TaxJar? Etsy TaxJar
Founded in 2013, TaxJar is an online platform that assists you in automating your filings, reports, and sales tax calculations. It is a solution for the entire life cycle. Additionally, you can use it across all of the sales channels you use to ensure that you are in compliance with sales tax requirements. It streamlines processes that require days to complete and finish within just a few minutes.
TaxJar has been utilized in various industries like food and beverage companies, SaaS, retail, services as well as medical institutions.
How can this help you?
TaxJar is widely used by business owners who run online businesses to make their business more organized and straightforward. Let’s take a look at their features and services.
Services and features
One of the first things you’ll need to ensure is that your accounting tax system seamlessly works well in conjunction with the sales channels you use. If you’re selling through multiple channels, it is essential to keep everything in place. The final thing you would like is to get a penalty for not paying attention to a minor thing.
TaxJar lets you display your critical metrics in one place. That way, there’s no requirement to collect data in multiple channels and sort it into a single platform. All you have to do is to integrate TaxJar and the platform will do the rest.
Other than that, TaxJar also integrates with other platforms that help with payments. Here’s a list highlighting the platforms that they can connect with:
TaxJar allows clients to file their sales taxes manually or through their AutoFile feature. In our review we’ll take a look into both.
If you opt to manually file your tax returns, TaxJar will allow you to connect all those sales tools. Once the time comes for filing tax returns for income, the team will instruct you on how to handle these. It is up for you and your team to finish the tax returns in time. TaxJar will only help you understand what you need to accomplish, but not manage it.
If you’d prefer an Auto file, TaxJar will do the filling – that means you don’t have to fill out the forms in a manual manner. This feature will ensure that everything will be automated from calculating taxes on sales in order to record and process it. There could be additional costs if the feature is not part of the plan you choose.
Sales Tax Reports
As we mentioned it is possible to use TaxJar to help you with your accounting woes. Your orders from your e-commerce channels can be combined into a single dashboard through this platform. From there, you and your team will have access to everything you need, such as an inventory of your transactions, reports and data.
The greatest benefit of this feature is that they allow you to update your account automatically each day. They not only let you know how much you’ve earned however, they can also help you determine when your next payment is due.
Their dashboard also allows users to view in detail the overall sales taxes in your business. It is also possible to export your data to the form of a CSV file in case you require it to aid in financial planning and accounting processes or if your team requires it for centralized reporting.
Streamlining and Training
TaxJar helps you organize and keep track of all of the channels you sell through. It means you don’t need to hunt for your paperwork whenever you’re in a pinch. Even if you already have your accountant, this feature will aid them in being more efficient.
Additionally, knowing the figures for your sales tax ahead of time will help you plan your funds better. 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 just for their platform , but also everything related to sales tax. You can look through their webinars, guides, as well as their blog to find more details. Apart from that, their sales tax calculator is helpful if you’re planning on do everything on your own.
How much does TaxJar cost?
We are aware of how important it is to establish your budget. Some platforms offer superb capabilities, but they’re often too expensive for businesses. For this reason we’ll examine TaxJar’s pricing levels and the features that each of these choices can provide you. At present, TaxJar offers three plans including Professional, Starter and Premium.
Their Starter plan costs $19. The company claims that it’s the most suitable plan for you for those who need assistance in filing and reporting. It includes sales tax reporting, 4 annual AutoFiles for free, as well as a CSV import. Even with the starter plan, you will be able to access their AI tax recommendations.
If you’re a smaller business owner, this plan should be perfect for you. It may not offer all of TaxJar’s features, but it has all the basics you require.
You can also contact the support team via their email support chart. Additionally, you’ll have access to their integration tools.
If you’re looking to get a bit more than just the basics and options, then the Professional plan might be the right one for you. It starts at $99, however, it could go up when you add additional features.
How different is it from the starter plan?
In addition to accessing all of the Starter plan’s features, you also have their support via phone, API access, and the ability to do advanced CSV import. They also allow you to receive 12 free AutoFiles every year.
If you run a large business, you might need to opt for an upgrade instead. It includes all of the features you need to help with your taxes. In addition, they offer unlimited data import integrations, API integrationsfor team members as well as AutoFiles.
They also have a staff that is devoted for managing the account. But, they don’t divulge how much the Premium plan costs you. Etsy TaxJar
However, they did say that this plan is customized for every user. Therefore, the cost will differ in line with what you require for your business.
Luckily, you don’t have to risk your money to see if this platform is the right one for you. If you’re still considering other options, they have a 30-day free trial. It should give you enough time to see whether the service is a good fit for you.
Pros and Pros and
We’ve covered everything you must know about TaxJar Let’s relax. To summarize Here are the advantages and disadvantages of making use of TaxJar to run your business.
- Has a 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 simple to navigate
- The company offers a 30-day trial for free.
- It can be integrated with other platforms.
- Allows you to track multiple sales channels
- AutoFile limit is based on the plan
- AutoFile has extra fees
- Certain countries will not have access to the API feature.
- Only applicable to USA customers
- Owners and accountants should recheck local legislations
The Final Verdict
With everything clearly laid out TaxJar is an excellent platform for companies that have numerous sales channels, and that utilizes numerous platforms. If that sounds like what you’re doing, then you ought to try this.
Not only can it aid in tracking your products and revenue however, it will also help you meet the deadlines you set. It is also a great opportunity for accountants since they have a Tax Advisor program. You can find tips and get knowledge from their seminars on taxes by using it.
Using TaxJar can help you reduce time and keep on top of each deadline or requirement you need to meet. If you’re living in an area with complex tax laws, this can definitely help you get your head around it. Etsy TaxJar
However, if managing your taxes is straightforward, then TaxJar might not be a good expense. If you’re only dealing with one or two channels for sales, TaxJar won’t be needed to keep track of all of it. In addition, if you find the entire process easy to do then you’re better to do it on your own.
FAQ Etsy TaxJar
What are the areas in which TaxJar provide API support?
TaxJar currently works with countries like the United States, the EU, Australia, and Canada.
Can I incorporate Shopify together with TaxJar?
Yes. You can sync your Shopify account with TaxJar to make it easier to monitor and updates.
Are there any ways to exchange one kind of currency with TaxJar?
Unfortunately, no. TaxJar doesn’t convert currencies. All transactions’ amounts are in USdollars. If you’re using another currency, you will need to convert it into US$ prior to when TaxJar can calculate your tax.