Taxes have always been among the most difficult things to handle regardless of whether you run a business or not. More so if you don’t have a background in accounting or finance. Tax-related issues can be overwhelming, especially when your whole day is packed with things to do. In the event that you do not have enough money to engage an accountant performing the task on your own could be dangerous. If you miss one detail, you might have to redo things again!
Nearly everyone would prefer to avoid this step. But since it’s required and mandatory, there’s no other choice.
So what can we do ?
We can make life easier by using tools like TaxJar.
This article will take a look at this life-saving device and how it can benefit you. Although this is quite an extensive read it is possible to determine if TaxJar is the tool you require today.
Do you prefer to watch videos instead? Watch this video – by Marcus Stonelius on YouTube they also give a complete analysis of TaxJar’s features.
If you prefer to read, then let’s get right into it.
What is TaxJar Like TaxJar
Founded in 2013, TaxJar is a platform that helps automate your reports, filings, and sales tax calculations. It is a solution for all aspects of your sales tax cycle. Additionally, you can use it across all your sales channels to ensure compliance with your sales taxes. It streamlines processes that take days to complete and finish within minutes.
TaxJar has been utilized in various industries like food and beverage companies, SaaS, retail, services as well as medical institutions.
What can it do to help you?
TaxJar is used extensively by owners of online businesses to ensure that everything is simple and organized. Let’s look into the features and services offered by TaxJar.
Features and services
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 have multiple sales channels, you must keep everything in place. The most important thing is not to be penalized for missing a single minor point.
TaxJar allows you to show your key metrics in one spot. So, there’s no need to gather data from different channels and then organize it on one platform. All you need to do is to integrate TaxJar it will do the rest.
In addition, TaxJar also integrates with other platforms to assist with payments. Here’s a list of the platforms that they can connect with:
TaxJar lets customers file their sales taxes by hand or using TaxJar’s AutoFile feature. For this review, we’ll look into both.
If you decide to manually file your tax returns, TaxJar will allow you to connect all of your sales platforms. Once the time comes for the filing of income tax returns The team will guide you on how to handle the tax returns. But, it is up for you and your team to complete the process within the timeframe. TaxJar will only guide you on what you have to do but not handle it.
If you prefer an Auto file, TaxJar will do the filling for you. This means that you don’t have to submit any forms manually. Through this feature, everything will be automated, from calculating taxes on sales to recording and processing them. There could be additional costs if the feature is not included in the plan you chose.
Sales Tax Reports
As mentioned earlier that you can utilize TaxJar to assist you with your accounting woes. All orders made through your e-commerce channels can be put together into one dashboard using this platform. From there, you and your team will have access to all the information you require, including a list of your transactions, reports and data.
The greatest benefit of this option is the fact that it allows you to update your account automatically each day. They not only let you know how much you’ve collected, but they also help you keep track of when the next payments are due.
The dashboard allows you to see the total sales tax within your company. Additionally, you can export the information to the form of a CSV file, if you want to use it for your financial planning and accounting processes or if you require it for central reporting.
Training and Streamlining
TaxJar helps organize and keep track of all of the sales avenues you use. It means you don’t need to search for your documents when you need them in the event of a need. Even even if you already have an accountant, this feature will aid them in being more efficient.
Furthermore, knowing the estimated amount for your sales tax in advance can help you allocate your money more efficiently. You’ll be aware of the budget you have available for other operating expenses.
But what’s even better is that TaxJar offers tutorials and training, not just for their platform but all things that has to do with sales tax. Check out their webinars, guides or blog posts for additional details. In addition the sales tax calculator is helpful if you’re planning on complete everything yourself.
How much does TaxJar cost?
We are aware of how important it is to set your budget. Some platforms provide amazing capabilities, but they’re often too costly for your business. That’s why for this section we’ll examine TaxJar’s pricing levels and the features that each of these options can offer you. Currently, TaxJar offers three plans including Professional, Starter and Premium.
Their Starter plan costs $19. They claim that it’s the best plan to help you in filing and reporting. It also includes taxes on sales and sales as well as 4 free yearly AutoFiles, and a CSV import. Even with the basic plan, you have access to their AI tax tips.
If you’re a small-scale business manager, the plan could be perfect for you. It might not include all the features of TaxJar however, it does include all the basics you require.
You can also contact their support team with their email support chart. You’ll also be able to use their integration features.
If you’re looking for that is more than the standard features, then the Professional plan may be the best option for you. It starts at $99, but it can go higher by adding custom features.
So how different is it from the basic plan?
In addition to accessing all of the Starter plan’s features, you also have the support of their customer service via phone Access to APIs, phone support, and sophisticated CSV import. They also allow you to receive 12 free AutoFiles every year.
If you have a massive enterprise, you may want to go for the Premium plan instead. It has all of the features needed to make your tax filing easier. Additionally, they permit unlimited import integrations of data Integrations with APIs, teams of members as well as AutoFiles.
They also have a staff that is devoted for managing the account. But, they don’t divulge the amount that the Premium plan costs you. Like TaxJar
But they did state that the plan is custom-made for every user. The cost of the plan will be different according to what you require for your business.
Fortunately, you don’t need to risk your money to determine if this service is right for you. If you’re still considering different options, they offer 30 days of free trial. This should be enough time to see if the platform is the right choice for you.
Pros and Cons
After we’ve gone over everything you must be aware of TaxJar let’s take a break. To sum it all up Here are the pros and cons of making use of TaxJar for your company.
- Has the Tax Advisor option for some plans
- AutoFile features help save time
- Available in most USA states
- Offers an online sales tax calculator.
- Support Service Team
- The dashboard is simple to navigate
- It offers a free trial of 30 days.
- It is possible to integrate it with other platforms
- You can track several sales channels
- AutoFile limit is based on the plan
- AutoFile has extra fees
- Some countries won’t be able to access the API feature
- Only applicable to USA customers
- Owners and accountants should check local legislation
The Final Verdict
With everything laid out TaxJar can be a great platform businesses with numerous sales channels, and that utilizes plenty of platforms. If that’s what you do, then you must try TaxJar.
It’s not just a way to aid in tracking your products and revenue It can assist you in meeting your deadlines. It’s also an excellent option for accountants as they have tax Advisor program. There are tips to follow and learn from their sessions about taxes through it.
Using TaxJar can allow you to save more time while keeping on top of each deadline and obligation you have to meet. If you live in a region with a lot of tax laws, this can definitely help you get your head around it. Like TaxJar
However, if managing your taxes is straightforward If it isn’t, then TaxJar may be an unnecessary investment. If you’re only dealing with one or two sales channels, TaxJar won’t be needed to track everything. Moreover, if you find the entire procedure simple to follow then you’re better in doing it all by yourself.
FAQ Like TaxJar
What are the areas in which TaxJar provide API support?
TaxJar currently supports countries like Australia, 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.
Can I convert any kind of currency using TaxJar?
Unfortunately, no. TaxJar does not convert currency values. All of the transactions are in USdollars. If you’re using a different currency, you’ll have to convert it into US$ prior to when TaxJar will calculate the tax.