Taxes have always been among the hardest things to do regardless of whether you run your own business or not. More so if you don’t have a degree in finance or accounting. 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 budget to employ an accountant, making it your own could be risky. If you miss one detail, you might have to redo things again!
Nearly everyone would prefer to skipping this step. But since it’s required, we have no choice.
So what can we do about it?
We can make life easier by using tools like TaxJar.
This article will take a look at this popular life-saving tool and how it can benefit you. Even though this is lengthy but you’ll be able to gauge whether TaxJar is exactly what you need today.
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.
For those who like to read, then let’s dive right in.
What is TaxJar? Stripe Pitchbook TaxJar 179Mlundentechcrunch
The company was founded in 2013 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 across all your sales channels to ensure that you are in compliance with sales taxes. It streamlines processes that require days to complete and is completed in just a few only a few minutes.
TaxJar is used in different industries such as food and beverage companies, SaaS, retail, services, and even medical institutions.
How can this help you?
TaxJar is widely used by business owners who run online businesses to ensure that everything is simple and organized. Let’s look into the features and services offered by TaxJar.
Services and features
One of the most important things you’ll need to make sure is your tax-reporting software seamlessly works well with your sales channel. If you’re selling through multiple channels, it is essential to ensure that everything is in order. The last thing you want is to face a penalty due to missing a single minor point.
TaxJar allows you to show your most important metrics in one place. That way, there’s no need to gather data from different channels and organize it into a single platform. All you have to do is integrate TaxJar, it will handle the rest.
Apart from that, TaxJar also integrates with other platforms that can help with payments. Here’s a list of platforms they can integrate with:
TaxJar allows clients to submit their sales tax manually or through their AutoFile feature. In our review we’ll take a look into both.
If you opt to manually file your tax returns, TaxJar will allow you to connect all of your sales platforms. When the time is right for filing tax returns for income TaxJar will train you on managing them. But, it is up for you and your staff to finish the tax returns within the timeframe. TaxJar is there to provide guidance on what you need to accomplish, but not manage it.
If you’d prefer an Auto file, TaxJar will do the filling, which means you don’t have to fill out all forms by hand. With this feature, everything is automated, from calculating sales taxes through recording, and then processing it. But, it is possible to incur additional costs if the feature is not included in the plan you choose.
Sales Tax Reports
As we mentioned it is possible to use TaxJar to help you with your accounting woes. Your orders from your e-commerce channels can be combined into one dashboard using 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 the data.
The greatest benefit of the feature you’ve chosen is it allows you to update your account automatically each day. Not only will they let 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 users to view in detail the total sales tax in your business. It is also possible to export the information in CSV format. CSV file, if you want to use it for your financial planning and accounting processes or if your team requires it for central reporting.
Streamlining and Training
TaxJar helps organize and keep track of all of 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 even if you already have an accountant, this feature will help them be more efficient.
Furthermore, knowing the estimated amount for your sales tax in advance can help you allocate your funds more effectively. You’ll know better how much budget you have available for other operational expenses.
What’s more is that TaxJar offers tutorials and training and tutorials, not just for their platform , but also for anything related to sales tax. You can check out their webinars, guides as well as their blog to find more information. Apart from that their sales tax calculator can be 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 set your budget. Some platforms provide amazing features, but they’re sometimes too costly for your business. This is why in this section we’ll take a look at TaxJar’s pricing levels and the features that each of these choices can provide you. Currently, TaxJar offers three plans including Professional, Starter and Premium.
Their Starter plan is priced at $19. They claim that it’s the most effective plan to help you in filing and reporting. It also includes sales tax reporting, four free yearly AutoFiles, and a CSV import. Even with the starter plan, you will be able to access their AI tax advice.
If you’re a smaller company owner, this plan should be ideal for you. It might not include all the features offered by TaxJar, but it has all the basics you require.
In addition, you can reach their customer support via their email support chart. You’ll also have access to their integration tools.
If you’re looking to get a bit more than just the basic features and options, then the Professional plan might be the right one for you. It’s priced at $99 but it can go higher by adding custom features.
What is the difference from the starter plan?
Apart from having access to all of the Starter plan’s features, you also have the support of their customer service via phone, API access, and sophisticated CSV import. Additionally, they allow you to get 12 AutoFiles for free each year.
If you have a massive company, you may need to go for an upgrade instead. It includes all of the features that you require to make your tax filing easier. Additionally, they permit unlimited data import integrations, API integrationsfor team users and AutoFiles.
There is also a team who are devoted to managing your account. But, they don’t divulge the price of the Premium plan. will cost you. Stripe Pitchbook TaxJar 179Mlundentechcrunch
But they did state that the plan is custom-made for each user. The cost of the plan will be different in line with what you require to run your business.
It’s a good thing that you don’t have to bet your life on it to see if this platform is the right one for you. If you’re still looking into other options, they have 30 days of free trial. This should be enough time to gauge whether the software is a good fit for you.
Pros and Cons
After we’ve gone over everything you should know about TaxJar let’s take a breather. To sum it all up, here are the advantages and disadvantages of the use of TaxJar for your company.
- There is the Tax Advisor option for some plans
- AutoFile features can help you save time
- Available in most USA states
- Provides an online sales tax calculator
- Has support service team
- The dashboard is easy 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
- Limits for AutoFile are based on the plan
- AutoFile has extra fees
- Certain countries will not be able to access the API feature.
- Only valid for USA customers
- It is important for owners and accountants to recheck local legislations
The Final Verdict
With everything clearly laid down, TaxJar is an excellent platform for companies that have multiple sales channels and uses plenty of platforms. If that’s what you’re doing, then you ought to try this.
Not only will it help you track your revenue and products It can also help you meet the deadlines you set. It’s also an excellent platform for an accountant since they have a Tax Advisor program. There are tips to follow and get knowledge from their seminars about taxes through it.
Using TaxJar can help you save more time while keeping track of every deadline or requirement you need to fulfill. If you live in a region with a lot of tax regulations, this will definitely help you get your head around it. Stripe Pitchbook TaxJar 179Mlundentechcrunch
However, if managing your taxes is straightforward, then TaxJar may be an unnecessary expense. If you have only one or two sales channels, TaxJar won’t be needed to keep track of everything. If you find the entire procedure simple to follow then you’re better in doing it all on your own.
FAQ Stripe Pitchbook TaxJar 179Mlundentechcrunch
What are the areas in which TaxJar provide API support?
TaxJar currently works with countries like the United States, the EU, Australia, and Canada.
Can I connect Shopify together with TaxJar?
Yes. You can sync your Shopify account to TaxJar to facilitate monitoring and updates.
Are there any ways to exchange one kind of currency using TaxJar?
Unfortunately, no. TaxJar doesn’t convert currency values. The transaction amounts are n US$. If you’re using a different currency, you will need to convert it into US$ before TaxJar can calculate your tax.