Taxes are always one of the most difficult tasks to complete, whether you’re running your own business or not. Even more so if you do not have a degree in accounting or finance. Tax-related work aren’t easy, particularly when your whole day is full of things to be done. When you’re not able to afford the budget to engage an accountant doing it on your own can be dangerous. If you miss one detail and you don’t know it, you may need to repeat the process!
Most people want to skip this step. But , as it’s a requirement to be done, we can’t choose not to.
So 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 tool and explain how it can benefit you. Even though this is a long read, you should be able to assess whether TaxJar is the tool you require right now.
Do you prefer video streaming instead? Take a look at this video by Marcus Stonelius on YouTube they also do a full analysis of TaxJar’s features.
But for those who prefer to read, then let’s dive right in.
What is TaxJar? Facebook TaxJar
The company was founded in 2013 TaxJar is an online platform that assists you in automating your reporting, filings and sales tax calculations. TaxJar is a solution to the entire life cycle. Additionally, you can use it across all of the sales channels you use to ensure compliance with your sales taxes. It makes the process simpler that could can take days to complete, and can be completed in a matter of minutes.
TaxJar has been used in different industries such as food and beverage businesses, SaaS, retail, services as well as medical institutions.
How can it help you?
TaxJar is extensively used by business owners who run online businesses to ensure that everything is neat and simple. Let’s explore 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’re selling through multiple channels, you must keep everything in place. The most important thing is not to face a penalty due to missing a single minor point.
TaxJar allows you to display your most important metrics in one spot. So, there’s 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 do all the rest.
In addition, TaxJar also integrates with other platforms that help in the process of making payments. Here’s a list of the platforms they can integrate with:
TaxJar allows clients to make sales tax filings manually or through their AutoFile feature. For this review, we’ll dig into both.
If you opt to do it manually, TaxJar will allow you to connect all your sales platforms. When it comes time to filing income tax returns TaxJar will train you on managing them. However, it will be up to you and your staff to finish the tax returns in time. TaxJar is only there to provide guidance on what you should do but not handle it.
If you would prefer an Auto file, TaxJar will do the filling – that means you don’t have to fill out all forms by hand. With this feature, everything is automated, from calculating sales taxes in order to record and process them. However, there might be extra fees if not included in the plan you chose.
Sales Tax Reports
As I mentioned earlier it is possible to use TaxJar to help you with your accounting issues. 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, such as the list of transactions, reports and data.
The best part about this feature is that it allows you to update your account automatically each day. Not only will they let to know the amount you’ve earned, but they also help you determine when your next payment is due.
Their dashboard can also allow you to see the sales tax totals in your business. You can also export the data to CSV format. CSV file in case you require it in your accounting and financial planning processes or if your team needs it to run centralized reports.
Training and Streamlining
TaxJar helps you organize and keep on top of all the channels you sell through. It means you don’t need to hunt for your paperwork when you need them in a pinch. Even even if you already have an accounting firm, the feature can aid them in being more efficient.
Moreover, knowing the estimates for the sales tax you pay in advance can help you allocate your money more efficiently. You’ll know better how much budget you have for other operating expenses.
But what’s even better is that TaxJar offers training and tutorials, not just for their platform but for anything related to sales tax. Check out their webinars, guides as well as their blog to find more info. Additionally their sales tax calculator can be helpful if you’re planning on do everything on your own.
How much does TaxJar cost?
We know how crucial it is to establish your budget. Certain platforms have amazing capabilities, but they’re often too costly for the business you run. That’s why for this section we’ll take a look at TaxJar’s pricing tiers and the features that each of these plans can offer. At present, TaxJar offers three plans: Starter, Professional, and Premium.
Their Starter plan starts at $19. The company claims that it’s the most effective plan for those who need assistance with filing requirements or reporting. It also includes taxes on sales and sales as well as four autofiles for free each year, and a CSV import. With the starter plan, you can access their AI tax advice.
If you’re a small company proprietor, then this program should be ideal for you. It may not offer all of TaxJar’s features but it comes with the basic features you require.
You can also contact their customer support via their email support chart. You’ll also be able to use their integration capabilities.
If you’re looking for that is more than the standard features, then the Professional plan may be the best option for you. The price starts at $99 but it can go higher if you add custom features.
So how different is it from the original plan?
Apart from having access to every one of Starter plan’s features, you also get access to their phone customer support, API access, and sophisticated CSV import. Additionally, they allow you to get 12 AutoFiles for free each year.
If you run a large company, you may need to opt for premium plans instead. It has all of the features that you require to aid in your tax preparation. Additionally, they permit unlimited import integrations of data, Integrations with APIs, teams of users and AutoFiles.
There is also a team that is devoted in managing your accounts. But, they don’t divulge the amount that the Premium plan is going to cost. Facebook TaxJar
But they did state that this plan is customized for every user. So the costs will vary in line with what you require to run your business.
Luckily, you don’t have to bet your life on it to see if this platform is the right one for you. If you’re still looking into different options, they offer a 30-day free trial. It should give you enough time to gauge whether the service is a good fit for you.
Pros and Cons
We’ve covered everything you need to be aware of TaxJar Let’s relax. In order to sum up the whole thing we’ll go over the advantages and disadvantages of making use of TaxJar for your business.
- Does the plan include the Tax Advisor option for some plans
- AutoFile features help save time
- Available in most USA states
- Offers an online sales tax calculator.
- Has support service team
- The dashboard is simple to navigate
- Offers a 30-day free trial
- It is possible to integrate it with other platforms
- It allows you to monitor multiple sales channels
- Limits for AutoFile are based on the plan
- AutoFile has extra fees
- Some countries won’t be able to access the API feature.
- Only valid for USA customers.
- Needs accountants and owners to check local legislation
The Final Verdict
With everything laid down, TaxJar is an excellent platform for businesses with numerous sales channels, and that utilizes many platforms. If that’s what you do, then you must try TaxJar.
Not only will it assist you in keeping track of your products and revenue, but it can help you meet your deadlines. This is also an excellent opportunity for accountants since they provide tax Advisor program. You can get tips and gain knowledge from their workshops regarding taxes via it.
Using TaxJar can help you reduce time and keep the track of each deadline and obligation you have to meet. If you’re in a region with a lot of tax laws, this can certainly help you to get your mind around it. Facebook TaxJar
If handling your taxes is straightforward, then TaxJar could be a waste of investment. If you’re only dealing with one or two channels of sales, TaxJar won’t be needed to keep track of all of it. Moreover, if you find the whole procedure easy to complete and you’re comfortable with it, you may be better to do it by yourself.
FAQ Facebook TaxJar
Which areas does TaxJar provide API support?
TaxJar is currently assisting countries such as those of the United States, the EU, Australia, and Canada.
Do I have the ability to integrate Shopify together with TaxJar?
Yes. You can sync your Shopify account with TaxJar to facilitate monitoring and updates.
Can I convert any type of currency using TaxJar?
Unfortunately, no. TaxJar does not convert currencies. The transactions are in USdollars. If you’re using a different currency, you’ll have to convert it to US$ prior to when TaxJar can calculate your tax.