Taxes are always one of the most difficult things to handle regardless of whether you run your own business or not. More so if you don’t have a background in accounting or finance. Tax-related tasks can be overwhelming, especially when your whole day is packed with things to do. If you don’t have enough money to engage an accountant doing it on your own can be dangerous. If you make a mistake and you don’t know it, you may have to redo things again!
Almost everyone wants to avoid this step. But , as it’s a requirement and mandatory, there’s no other choice.
So 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 assist you. While this is an extensive read, you should be able to determine if TaxJar is 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 analysis of TaxJar’s features.
But for those who prefer to read, then let’s dive right in.
What is TaxJar How Legislation Is Affecting TaxJar
The company was founded in 2013 TaxJar is an application that automatizes your reports, filings, and sales tax calculations. It is a solution for your entire sales tax life cycle. Additionally, you can use it across all of your sales channels to ensure compliance with sales tax requirements. It simplifies the processes that take days to complete and can be completed in a matter of minutes.
TaxJar has been utilized in various industries like food and beverage businesses, SaaS, retail, services and even medical establishments.
How can it help you?
TaxJar is used extensively by business owners who run online businesses to ensure that everything is simple and organized. Let’s explore the benefits and features of TaxJar.
Features and services
One of the first things you’ll want to check you have a tax accounting platform is compatible in conjunction with the sales channels you use. If you have multiple sales channels, you must maintain everything in line. The most important thing is not to get a penalty for not paying attention to a minor thing.
TaxJar allows you to display your key metrics in one spot. That way, there’s no requirement to collect data from different channels and then organize it on one platform. All you have to do is connect TaxJar it will take care of the rest.
Other than that, TaxJar also integrates with other platforms that can help in the process of making payments. Here’s a list highlighting the platforms that they can connect with:
TaxJar lets customers file their sales taxes either manually or via TaxJar’s AutoFile feature. In our review we’ll dig at both.
If you decide to manually file your tax returns, TaxJar will allow you to connect all of those sales tools. When the time is right for the filing of income tax returns The team will guide you on how to manage the tax returns. However, it will be up for you and your team members to complete everything within the timeframe. TaxJar is there to help you understand what you have to do but not handle it.
If you would prefer an Auto file, TaxJar will do the filling – that means you don’t have to submit any forms manually. With this feature, everything will be automated from calculating sales taxes through recording, and then processing them. There could be additional charges if they are not part of the plan you choose.
Sales Tax Reports
As we mentioned, you can use TaxJar to assist you with your accounting woes. The orders you place through your online channels can be put together into a single dashboard through this platform. From there you and your staff can access everything you need, such as an inventory of your transactions, reports and the data.
The greatest benefit of the feature you’ve chosen is they allow you to update your account automatically each day. Not only can they help you know how much you’ve collected and how much you’ve earned, but they also let you track when your following payments are due.
Their dashboard also allows you to fully view the overall sales taxes in your business. It is also possible to export your data as a CSV file in case you require it in your accounting and financial planning processes or if your team needs it to run centralized reports.
Streamlining and Training
TaxJar helps you organize and keep the track of all your sales channels. That means you won’t have to hunt for your paperwork whenever you’re in a pinch. Even if you already have your accountant, this function will make them more efficient.
Additionally, knowing the figures for the sales tax you pay in advance will allow you to allocate your funds more effectively. You’ll know better how much budget you have to cover other operating expenses.
But what’s even better is that TaxJar offers tutorials and training, not just on their platform, but all things that has to do with sales tax. Check out their webinars, guides as well as their blog to find more info. In addition, their sales tax calculator is useful if you’re planning to take on the entire task yourself.
How much does TaxJar cost?
We know how crucial it is to establish your budget. Certain platforms have amazing features, but they’re sometimes too costly for the business you run. That’s why for this section, we’ll look into TaxJar’s pricing levels and the features that each of these plans can offer. Presently, TaxJar offers three plans that are: Professional, Starter and Premium.
The Starter plan is priced at $19. They say it’s the most suitable plan for you if you need help in filing and reporting. It comes with taxes on sales and sales as well as 4 autofiles for free each year, and a CSV import. Even with the basic plan, you will be able to access their AI tax advice.
If you’re a small-scale business owner, this plan will be perfect for you. It may not offer all the features offered by TaxJar but it comes with the basic features you require.
In addition, you can reach the support team via their support chart for email. You’ll also be able to use their integration tools.
If you’re looking for something a bit more than just the standard features, then the Professional plan might be the right one for you. It starts at $99, but you can increase it if you add custom features.
So how different is it from the starter plan?
In addition to accessing all of the Starter plan’s features, you also get access to their support via phone, API access, and advanced CSV import. Additionally, they allow you to receive 12 free AutoFiles every year.
If you run a large company, you may need to opt for the Premium plan instead. It has all of the features that you require to help with your taxes. In addition, they offer unlimited data import integrations, API integrationsfor team members, and AutoFiles.
They also have a staff who are devoted in managing your accounts. However, they don’t disclose the amount that the Premium plan costs you. How Legislation Is Affecting TaxJar
However, they did say that the plan is custom-made for every user. Therefore, the cost will differ in line with what you require for your business.
Fortunately, you don’t need to gamble your money just 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. It should give you enough time to gauge if the platform is the right choice for you.
Pros and Pros and
Now that we’ve covered all you must be aware of TaxJar Let’s relax. To summarize Here are the advantages and disadvantages of using TaxJar for your company.
- Has the Tax Advisor option for some plans
- AutoFile features can help you to reduce 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 able to be integrated 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 out, TaxJar is an excellent platform for businesses with many sales channels and utilizes many platforms. If this sounds like the way you do, then you must try TaxJar.
Not only will it help you track your products and revenue It can help you meet your deadlines. It’s also an excellent opportunity for accountants since they have the Tax Advisor program. You can get tips and gain knowledge from their workshops on taxes by using it.
Using TaxJar can allow you to reduce time and keep on top of each deadline and requirement you have to fulfill. If you’re in an area with complex tax regulations, this will certainly help you to get your head around it. How Legislation Is Affecting TaxJar
However, if managing your taxes is simple, then TaxJar could be a waste of expense. If you have only one or two channels for sales, TaxJar won’t be needed to track everything. Moreover, if you’re finding the entire procedure simple to follow and you’re comfortable with it, you may be better off doing it by yourself.
FAQ How Legislation Is Affecting TaxJar
What areas does TaxJar provide API assistance?
TaxJar currently supports countries like those of the United States, the EU, Australia, and Canada.
Can I connect Shopify with TaxJar?
Yes. You can sync your Shopify account to TaxJar to make it easier to monitor and updates.
Can I convert any kind of currency using TaxJar?
Unfortunately, no. TaxJar doesn’t convert currency values. All of the transactions’ amounts are in USdollars. If you’re using a different currency, you’ll have to convert it into USdollars prior to when TaxJar will calculate your tax.