Taxes have always been among the most difficult things to handle regardless of whether you run your own business or not. More so if you don’t have a degree in accounting or finance. Tax-related work aren’t easy, particularly when your whole day is filled with tasks to complete. When you’re not able to afford the funds to engage an accountant doing it on yourself can be risky. If you overlook one thing and you don’t know it, you may have to redo things again!
Nearly everyone would prefer to avoid this step. However, since it’s mandatory, we have no choice.
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. Although this is quite an extensive read but you’ll be able to gauge whether TaxJar is what you need in the present.
Do you prefer video streaming instead? Watch this video – by Marcus Stonelius on YouTube they also provide a comprehensive review of the features offered by TaxJar.
For those who like to read, then let’s dive right in.
What is TaxJar? Kentucky Nexus TaxJar
In 2013, TaxJar was established. TaxJar is a platform that helps automate your filings, reports, and sales tax calculation. TaxJar is a solution to your entire sales tax life cycle. Additionally, you can use it across all of your sales channels to ensure that you are in compliance with your sales taxes. It makes the process simpler that could take days to complete and finish within only a few minutes.
TaxJar has been used in various industries like food and beverage businesses, SaaS, retail, services, and even medical institutions.
What can it do to help you?
TaxJar is used extensively by owners of online businesses to keep everything neat and simple. Let’s look into their features and services.
Services and features
One of the first things you’ll need to ensure you have a tax accounting software seamlessly works well in conjunction with the sales channels you use. 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 be penalized for overlooking just one minor detail.
TaxJar lets you display your critical metrics in one spot. That way, there’s no need to collect data from different channels and then organize it on a single platform. All you need to do is integrate TaxJar, then the system will take care of all the rest.
Apart from that, TaxJar also integrates with other platforms that can help with payment processing. Here’s a list of platforms that they can connect with:
TaxJar lets customers file their sales taxes manually or through their AutoFile feature. For the purpose of this article, we’ll take a look at both.
If you opt to do it manually, TaxJar will allow you to connect those sales tools. When it comes time to filing tax returns for income The team will guide you on how to manage the tax returns. It is up for you and your team members to complete everything on time. TaxJar will only help you understand what you need to do but not handle it.
If you would prefer an Auto file, TaxJar will do the filling, which means you won’t need to fill out the forms in a manual manner. This feature will ensure that everything will be automated from calculating taxes on sales through recording, and then processing them. There could be additional charges if they are not part of the plan you select.
Sales Tax Reports
As we mentioned it is possible to use TaxJar to assist you with your accounting issues. All orders made through your e-commerce channels can be combined into a single dashboard via this platform. Once you’re on the platform you and your staff can access everything you need, such as a list of your transactions, reports, and information.
The best part about 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 earned and how much you’ve earned, but they also let you track when your following payment is due.
Their dashboard also allows you to see the sales tax totals for your business. You can also export the information to CSV format. CSV file if you need it for your accounting and financial planning processes or if your team requires it for centralized reporting.
Training and Streamlining
TaxJar assists in organizing and keeping track of all of the channels you sell through. That means you won’t have to hunt for your paperwork when you need them when you’re in a pinch. Even even if you already have an accounting firm, the feature will aid them in being more efficient.
Additionally, knowing the figures for the sales tax you pay in advance will help you plan your funds better. You’ll know exactly how much budget you have available for other operational expenses.
But what’s even better is that TaxJar offers training and tutorials and tutorials, not just for their platform but everything related to sales tax. You can check out their webinars, guides as well as their blog to find more details. Apart from that their sales tax calculator should be beneficial when you’re planning to complete everything yourself.
How much does TaxJar cost?
We know how crucial it is to set your budget. Some platforms offer superb capabilities, but they’re often too costly for the business you run. This is why in this section we’ll take a look at TaxJar’s pricing levels and what each of those choices can provide you. Currently, TaxJar offers three plans that are: Professional, Starter and Premium.
The Starter plan costs $19. They claim 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 an CSV import. With the starter plan, you can access their AI tax tips.
If you’re a small business owner, this plan could be ideal for you. It may not offer all the features of TaxJar, but it has the basic features you require.
Additionally, you can contact their support team with their email support chart. You’ll also have access to their integration capabilities.
If you’re looking for different from the standard features and options, then the Professional plan could be the one for you. It starts at $99, however, it could go up when you add additional features.
So how different is it from the basic plan?
In addition to having access to each of Starter plan’s features, you also get access to their phone customer support, API access, and advanced CSV import. You can also receive 12 free AutoFiles every year.
If you have a massive enterprise, you may want to go for premium plans instead. It includes all of the features that you require to make your tax filing easier. In addition, they offer unlimited data import integrations Integrations with APIs, teams of members as well as AutoFiles.
There is also a team dedicated to managing your account. They don’t reveal how much the Premium plan costs you. Kentucky Nexus TaxJar
But they did state 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.
Luckily, you don’t have to gamble your money just to find out if the platform is the right one for you. If you’re still looking into various options, they provide the opportunity to try a free trial for 30 days. This should be enough time to see if the platform is the right choice for you.
Pros and Cons
We’ve covered everything you should know about TaxJar let’s take a breather. To sum it all up we’ll go over the advantages and disadvantages of making use of TaxJar for your business.
- There is the Tax Advisor option for some plans
- AutoFile features can help you to reduce time
- Available in most USA states
- Provides Taxes on sales online calculator
- Support service team
- The dashboard is simple to navigate
- It offers a free trial of 30 days.
- It can be integrated with other platforms.
- It allows you to monitor 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 for USA customers
- Owners and accountants should recheck local legislations
The Final Verdict
With everything laid out, TaxJar is an excellent platform for companies that have many sales channels and utilizes plenty of platforms. If that sounds like what you’re doing, then should try this.
Not only will it assist you in keeping track of your products and revenue It can assist you in meeting the deadlines you set. This is also an excellent option for accountants as they provide tax Advisor program. You can get tips and get knowledge from their seminars about taxes through it.
Using TaxJar can allow you to save more time while keeping on top of each deadline or requirement you need to fulfill. If you’re living in a region with a lot of tax laws, this can definitely help you get your head around it. Kentucky Nexus TaxJar
However, if managing taxes is easy and straightforward, then TaxJar may be an unnecessary investment. If you’re only dealing with one or two channels of sales, TaxJar won’t be needed to track all of it. If you find the whole procedure easy to complete, you might be better to do it by yourself.
FAQ Kentucky Nexus TaxJar
What areas does TaxJar offer API support?
TaxJar currently supports countries like the United States, the EU, Australia, and Canada.
Do I have the ability to integrate Shopify into TaxJar?
Yes. You can sync your Shopify account with TaxJar to facilitate monitoring and updates.
Do I have the ability to convert every type of currency with TaxJar?
Unfortunately, no. TaxJar doesn’t convert currencies. All of the transactions’ amounts are in US$. If you’re using another currency, you’ll need to convert it into USUSD prior to when TaxJar can calculate your tax.