Taxes have always been among the most difficult things to handle regardless of whether you run your own business or not. Particularly if you don’t have a degree in finance or accounting. Tax-related tasks can be overwhelming, particularly when your whole day is full of things to be done. When you’re not able to afford the funds to engage an accountant doing it on your own can be risky. If you make a mistake, you might need to repeat the process!
Most people want to avoid this step. But , as it’s a requirement to be done, we can’t choose not to.
So , what can we do about it?
We can make our lives easier with tools such as TaxJar.
Here we’ll take a look at this life-saving tool and explain how it can benefit you. While this is a long read but you’ll be able to gauge whether TaxJar is the tool you require in the present.
Do you prefer to watch videos instead? Check out this video – by Marcus Stonelius on YouTube they also provide a comprehensive review of TaxJar’s features.
But for those who prefer to read, let’s dive right in.
What is TaxJar States With Nexus TaxJar
The company was founded in 2013 TaxJar is a platform that helps automate your reporting, filings and sales tax calculation. It’s a solution for the entire life cycle. In addition, you can apply it across all of the sales channels you use to ensure compliance with sales tax requirements. It makes the process simpler that could can take days to complete, and finish within minutes.
TaxJar is used in a variety of industries, including food and beverage companies, SaaS, retail, services and even medical establishments.
How can it help you?
TaxJar is used extensively 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 most important things you’ll want to check you have a tax accounting platform seamlessly works well in conjunction with the sales channels you use. If you’re selling through multiple channels, it is essential to maintain everything in line. The last thing you want is to get a penalty for not paying attention to a minor thing.
TaxJar allows you to show your most important metrics in one place. This means that there is no requirement to collect data in multiple channels and organize it into one platform. All you need to do is to integrate TaxJar, it will do all the rest.
Other than that, TaxJar also integrates with other platforms to assist with payment processing. Here’s a list highlighting the platforms they can integrate with:
TaxJar allows clients to file their sales taxes by hand or using the AutoFile feature. In the purpose of this article, we’ll take a look into both.
If you decide to do it manually, TaxJar will allow you to connect all of those sales tools. Once the time comes for the filing of income tax returns TaxJar will train you on how to manage the tax returns. It is up to you and your staff to finish the tax returns in time. TaxJar is only there to help you understand what you should accomplish, but not manage it.
If you prefer an Auto file, TaxJar will do the filling – that means you don’t have to submit all forms by hand. This feature will ensure that everything will be automated, from calculating taxes on sales in order to record and process it. There could be extra fees if you do not include this feature in the plan you select.
Sales Tax Reports
As we mentioned, you can use TaxJar to help you with your accounting issues. All orders made through your e-commerce channels can be compiled into one dashboard using this platform. Once you’re on the platform, you and your team can access everything you need, like a list of your transactions, reports and the data.
The most appealing aspect of this option is the fact that it allows you to update automatically every day. Not only will they let you know how much you’ve collected however, they can also help you keep track of when the next payments are due.
Their dashboard also allows you to fully view the sales tax totals within your company. It is also possible to export the data to a CSV file, if you want to use it in your financial planning and accounting processes or if your team needs it to run centralized reports.
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 search for your documents whenever you’re in the event of a need. Even even if you already have an accountant, this function will make them 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 for other operating expenses.
What’s more is that TaxJar offers tutorials and training, not just on their platform, but for anything that has to do with sales tax. Check out their webinars, guides, and blog for more info. In addition, their sales tax calculator should be useful if you’re planning to do everything on your own.
How much does TaxJar cost?
We understand how important it is to set your budget. Some platforms offer superb features, but they can be too costly for the business you run. For this reason, we’ll look into TaxJar’s pricing levels and what each of these choices can provide you. Currently, TaxJar offers three plans: Starter, Professional, and Premium.
Their Starter plan starts at $19. They say it’s the most suitable plan for you for those who need assistance in filing and reporting. It includes taxes on sales and sales as well as four free yearly AutoFiles, and an CSV import. Even with the starter plan, you can access their AI tax recommendations.
If you’re a smaller business owner, this plan will be perfect for you. It might not include all the features of TaxJar, but it has the basic features you require.
You can also contact their support team with their email support chart. You’ll also be able to use their integration capabilities.
If you’re looking for something a bit more than just the basic features, then the Professional plan might be the right one for you. It’s priced at $99 but you can increase it by adding custom features.
What is the difference from the basic plan?
Apart from having access to all of the Starter plan’s features, you also get access to their support via phone Access to APIs, phone support, and advanced CSV import. Additionally, they allow you to get 12 AutoFiles for free each year.
If you have a massive enterprise, you may want to go for premium plans instead. It includes all of the features you need to aid in your tax preparation. In addition, they offer unlimited integrations with data imports, API integrations, team users and AutoFiles.
They also have a team that is devoted to managing your account. They don’t reveal how much the Premium plan is going to cost. States With Nexus TaxJar
However, they did mention that this plan is tailor-fit for every user. Therefore, the cost will differ depending on what you need for your business.
It’s a good thing that you don’t have to gamble your money just to find out if the platform is for you. If you’re still considering different options, they offer 30 days of free trial. This should give you enough time to gauge if the platform is a good fit for you.
Pros and Cons
After we’ve gone over everything you need to be aware of TaxJar Let’s relax. To summarize Here are the advantages and disadvantages of using TaxJar for your company.
- There is the 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 simple to navigate
- The company offers a 30-day trial for free.
- It is able to be integrated with other platforms.
- You can track several sales channels
- AutoFile limit is based on the plan
- AutoFile has extra fees
- Some countries won’t have access to the API feature.
- Only applicable to USA customers
- It is important for owners and accountants to check local legislation
The Final Verdict
With everything clearly laid down, TaxJar is an excellent platform for companies that have numerous sales channels, and that utilizes numerous platforms. If this sounds like the way you do, then you should try this.
Not only will it assist you in keeping track of your revenue and products It can also help you meet your deadlines. This is also an excellent option for accountants as they have the Tax Advisor program. You can get tips and get knowledge from their seminars about taxes through it.
Using TaxJar can help you save more time while keeping track of every deadline and requirement you have to meet. If you live in an area with complex tax laws, this will surely help you wrap your head around it. States With Nexus TaxJar
If handling taxes is easy, then TaxJar may be an unnecessary investment. If you only have one or two channels of sales, TaxJar won’t be needed to keep track of all of it. If you’re finding the entire procedure easy to complete and you’re comfortable with it, you may be better off doing it by yourself.
FAQ States With Nexus TaxJar
What areas does TaxJar provide API support?
TaxJar currently supports countries like the United States, the EU, Australia, and Canada.
Can I incorporate 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 does not convert currencies. The transactions are in US$. If you’re using another currency, you will need to convert it into USUSD before TaxJar determines the tax.