Taxes have always been among the most difficult things to handle regardless of whether you run an enterprise or not. Particularly if you don’t have a background in finance or accounting. Tax-related issues aren’t easy, particularly when you’re packed with things to do. In the event that you do not have enough money to employ an accountant, making it yourself can be dangerous. If you make a mistake and you don’t know it, you may need to repeat the process!
Nearly everyone would prefer to avoid this step. However, since it’s mandatory to be done, we can’t choose not to.
So what can we do ?
We can make our lives easier by using tools like TaxJar.
This article will take a look at this life-saving tool and explain how it can help you. Although this is quite a long read, you should be able to determine if TaxJar is the tool you require today.
Do you prefer watching videos rather than watch them? Check out this video – by Marcus Stonelius on YouTube they also do a full review of the features offered by TaxJar.
If you prefer to read, then let’s dive right in.
What is TaxJar? Quickbooks Online Vs TaxJar
In 2013, TaxJar was established. TaxJar is a platform that helps automate your filings, reports, and sales tax calculations. It’s a solution for all aspects of your sales tax cycle. Furthermore, you can utilize it in all of your sales channels to make sure you’re in 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 is used in various industries like food and beverage businesses, SaaS, retail, services, and even medical institutions.
How can it help you?
TaxJar is extensively used by business owners who run online businesses to make their business more neat and simple. Let’s take a look at the benefits and features of TaxJar.
Services and features
One of the first things you’ll need to make sure you have a tax accounting software seamlessly works well along with sales funnels. If you’re using multiple sales channels, it is essential to keep everything in place. The most important thing is not to get a penalty for overlooking just one minor detail.
TaxJar lets you display your critical data in one location. So, there’s no need to gather data from different channels and sort it into a single platform. All you need to do is connect TaxJar it will handle the rest.
Apart from that, TaxJar also integrates with other platforms to assist with 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. In 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 all of the sales channels you use. Once the time comes for filing tax returns for income The team will guide you on managing these. But, it is up to you and your team to complete the process in time. TaxJar is there to guide you on what you need to do , but not to handle it.
If you’d prefer an Auto file, TaxJar will do the filling, which means you don’t have to fill out any forms manually. Through this feature, everything will be automated, from calculating sales tax to recording and processing it. However, there might be additional costs if the feature is not included in the plan you select.
Sales Tax Reports
As I mentioned earlier that you can utilize TaxJar to ease your accounting woes. Your orders from your e-commerce channels can be put together into one dashboard using this platform. From there you and your team will have access to everything you need, like a list of your transactions, reports, and data.
The best part about this option is the fact that it allows you to automatically update every day. Not only can they help you keep track of how much you’ve collected, but they also help you keep track of when the next payment is due.
The dashboard allows you to fully view the total sales tax in your business. Additionally, you can export the information as the form of a 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 the track of all the sales avenues you use. It means you don’t need to scramble for your documents when you’re in the event of a need. Even if you already have your accountant, this function will aid them in being more efficient.
Furthermore, knowing the estimated amount for your sales tax ahead of time will help you plan your funds better. You’ll be aware of the budget you have for other operational costs.
The best part is that TaxJar offers tutorials and training, not just for their platform , but also for anything related to sales tax. You can look through their webinars, guides, or blog posts for additional details. Additionally their sales tax calculator is helpful if you’re planning on do everything on your own.
How much does TaxJar cost?
We know how crucial it is to determine your budget. Some platforms provide amazing capabilities, but they’re often too expensive for businesses. For this reason, we’ll look into TaxJar’s pricing structures and the features that each of these options can offer you. Presently, TaxJar offers three plans including Professional, Starter and Premium.
Their Starter plan costs $19. They claim that it’s the most suitable plan for you to help you with filing requirements or reporting. It comes with the tax on sales, 4 autofiles for free each year, and a CSV import. Even with the basic plan, you will be able to access their AI tax tips.
If you’re a small-scale business manager, the plan will be ideal for you. It may not offer all the features offered by 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 have access to their integration tools.
If you’re looking to get that is more than the standard features, then the Professional plan could be the one for you. It starts at $99, however, it could go up by adding custom features.
How different is it from the starter plan?
Apart from having access to every one of Starter plan’s features, you also have their phone customer support, API access, and advanced CSV import. They also allow you to receive 12 free AutoFiles every year.
If you run a large company, you may need to go for the Premium plan instead. It includes all of the features needed to help with your taxes. Additionally, they permit unlimited integrations with data imports as well as API integrations, team users and AutoFiles.
They also have a team dedicated in managing your accounts. They don’t reveal the amount that the Premium plan is going to cost. Quickbooks Online Vs TaxJar
However, they did say that this plan is customized for each user. So the costs will vary depending on what you need for your business.
Luckily, you don’t have to bet your life on it to see if this platform is for you. If you’re still looking into different options, they offer 30 days of free trial. This should give you enough time to determine whether the service is an excellent fit for you.
Pros and Pros and
Now that we’ve covered all you must know about TaxJar let’s take a break. To summarize, here are the advantages and disadvantages of using TaxJar for your business.
- Does the plan include a Tax Advisor option for some plans
- AutoFile features to reduce time
- Available in most USA states
- Offers an online sales tax calculator
- Support Service Team
- The dashboard is easy 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
- Limits on AutoFile are determined by the plan
- AutoFile has extra fees
- Certain countries will not have access to the API feature.
- Only applicable for USA customers.
- It is important for owners and accountants to recheck local legislations
The Final Verdict
With everything laid out TaxJar is an excellent platform for companies with numerous sales channels, and that utilizes plenty of platforms. If that sounds like what you’re doing, then ought to try this.
It’s not just a way to aid in tracking the sales and profits of your business, but it can also help you meet the deadlines you set. It is also a great platform for an accountant since they have a Tax Advisor program. There are tips to follow and gain knowledge from their workshops about taxes through it.
The use of TaxJar can help you save more time while keeping the track of each deadline and obligation you have to fulfill. If you’re living in a place with complicated tax laws, this can certainly help you to get your head around the subject. Quickbooks Online Vs TaxJar
But if handling taxes is easy If it isn’t, then TaxJar might not be a good 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. If you find the entire procedure simple to follow, you might be better to do it on your own.
FAQ Quickbooks Online Vs TaxJar
Which areas does TaxJar offer API support?
TaxJar is currently assisting countries such as the United States, the EU, Australia, and Canada.
Do I have the ability to incorporate Shopify with TaxJar?
Yes. You can connect your Shopify account to TaxJar for easier monitoring and updates.
Can I convert any type of currency with TaxJar?
Unfortunately, no. TaxJar does not convert currency values. All transactions’ amounts are in USdollars. If you’re using a different currency, you will need to convert it into US$ prior to when TaxJar determines your tax.