Taxes have always been one of the most difficult tasks to complete regardless of whether you run your own business or not. Particularly 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 hire an accountant, doing it on your own could be risky. If you overlook one thing and you don’t know it, you may have to redo things again!
Almost everyone wants to skipping this step. However, since it’s mandatory, we have no choice.
What can we do ?
It is always possible to make life easier by using tools like TaxJar.
This article will take a look at this life-saving tool and how it can assist you. Even though this is a long read, you should be able to determine if TaxJar is exactly what you need in the present.
Are you looking watching videos rather than watch them? Watch this video – by Marcus Stonelius on YouTube they also provide a comprehensive review of TaxJar’s features.
But for those who prefer to read, we’ll dive right into.
What is TaxJar? Quickbooks Vs TaxJar Shopify
In 2013, TaxJar was established. TaxJar is an online platform that assists you in automating your reports, filings, and sales tax calculations. TaxJar is a solution to your entire sales tax life cycle. Additionally, you can use it across all your sales channels to ensure compliance with sales taxes. It simplifies the processes that take days to complete and can be completed in a matter of only a few minutes.
TaxJar is used in various industries like food and beverage companies, SaaS, retail, services as well as medical institutions.
How can this help you?
TaxJar is widely used by owners of online businesses to make their business more simple and organized. Let’s explore their features and services.
Features and services
One of the most important things you’ll need to ensure is your tax-reporting system seamlessly works well with your sales channel. If you’re using multiple sales channels, you must keep everything in place. The final thing you would like is to face a penalty due to missing a single minor point.
TaxJar allows you to show your most important data in one location. That way, there’s no need to collect data in multiple channels and sort it into one platform. All you have to do is integrate TaxJar, then the system will handle the rest.
Apart from that, TaxJar also integrates with other platforms that help with payment processing. Here’s a list highlighting the platforms they are able to integrate with:
TaxJar allows customers to submit their sales tax by hand or using their AutoFile feature. In this review, we’ll look at both.
If you decide to manually file your tax returns, TaxJar will allow you to connect all of the sales channels you use. Once the time comes for filing income tax returns The team will guide you on how to handle them. However, it will be up for you and your team to finish the tax returns in time. TaxJar is only there to provide guidance on what you need to do but not handle it.
If you’d prefer an Auto file, TaxJar will do the filling for you. This means that you don’t have to fill out all forms by hand. With this feature, everything will be automated, from calculating sales taxes through recording, and then processing them. There could be additional costs if the feature is you do not include this feature in the plan you choose.
Sales Tax Reports
As I mentioned earlier that you can utilize TaxJar to ease your accounting problems. 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 will have access to everything you require, including an inventory of your transactions, reports and information.
The most appealing aspect of this feature is that it lets you to update your account automatically each day. Not only will they let you know how much you’ve collected, but they also help you determine when your next payment is due.
The dashboard allows you to see the sales tax totals in your business. Additionally, you can export the data in a CSV file, if you want to use it for your financial planning and accounting processes or if your team requires it for centralized reporting.
Training and Streamlining
TaxJar helps organize and keep on top of all the channels you sell through. This means that you don’t have to scramble for your documents whenever you’re in a pinch. Even even if you already have an 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 know better how much budget you have to cover other operational expenses.
The best part is that TaxJar offers tutorials and training not only for their platform but all things that has to do with sales tax. You can check out their guides, webinars, as well as their blog to find more info. Apart from that, their sales tax calculator is helpful if you’re planning on take on the entire task yourself.
How much does TaxJar cost?
We are aware of how important it is to establish your budget. Certain platforms have amazing features, but they’re sometimes too costly for your business. That’s why for this section, we’ll look into TaxJar’s pricing tiers and the features that each of these options can offer you. At present, TaxJar offers three plans: Starter, Professional, and Premium.
Their Starter plan costs $19. They claim that it’s the most suitable plan for you if you need help with filing requirements and reporting. It includes taxes on sales and sales as well as 4 free yearly AutoFiles, and the option of a CSV import. Even with the basic plan, you have access to their AI tax advice.
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 but it comes with all the basics you require.
You can also contact their customer support via their support chart for email. You’ll also be able to use their integration tools.
If you’re looking for different from the standard features, then the Professional plan could be the one for you. The price starts at $99 however, it could go up by adding custom features.
So how different is it from the original plan?
Apart from having access to all of the Starter plan’s features, you also have their phone customer support, API access, and the ability to do advanced CSV import. They also allow you to get 12 AutoFiles for free each year.
If you run a large business, you might need to go for an upgrade instead. It comes with all the features you need to aid in your tax preparation. Additionally, they permit unlimited data import integrations API integrationsfor team users as well as AutoFiles.
They also have a staff that is devoted in managing your accounts. But, they don’t divulge how much the Premium plan costs you. Quickbooks Vs TaxJar Shopify
However, they did mention that the plan is custom-made to each user. The cost of the plan will be different according to what you require 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 the right choice for you.
Pros and Cons
Now that we’ve covered all you need to know about TaxJar Let’s relax. To summarize we’ll go over the pros and cons of the use of TaxJar for your business.
- There is the Tax Advisor option for some plans
- AutoFile features 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
- The company offers a 30-day trial for free.
- It is able to be integrated with other platforms.
- Allows you to track multiple sales channels
- AutoFile limit is based on the plan
- AutoFile has extra fees
- Certain countries will not 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 clearly laid down, TaxJar can be a great platform companies that have many sales channels and utilizes numerous platforms. If this sounds like the way you’re doing, then ought to try this.
Not only will it help you track the sales and profits of your business, but it can help you meet your deadlines. It is also a great option for accountants as they have a Tax Advisor program. There are tips to follow and gain knowledge from their workshops about taxes through it.
Utilizing TaxJar can allow you to reduce time and keep track of every deadline or requirement you need to fulfill. If you’re in a place with complicated tax laws, this will surely help you wrap your head around it. Quickbooks Vs TaxJar Shopify
But if handling your taxes is straightforward, 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 track all of it. In addition, if you’re finding the entire procedure simple to follow and you’re comfortable with it, you may be better in doing it all on your own.
FAQ Quickbooks Vs TaxJar Shopify
Which areas does TaxJar offer API assistance?
TaxJar currently works with countries like the United States, the EU, Australia, and Canada.
Can I connect Shopify together with TaxJar?
Yes. You can connect your Shopify account with TaxJar to make it easier to monitor and updates.
Are there any ways to exchange one type of currency with TaxJar?
Unfortunately, no. TaxJar cannot convert currency values. All of the transactions’ amounts are in USdollars. If you’re using another currency, you’ll have to convert it into US$ before TaxJar can calculate the tax.