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 accounting or finance. Tax-related work can be overwhelming, especially when your whole day is packed with things to do. If you don’t have enough money 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!
Most people want to avoid this step. However, since it’s mandatory and mandatory, there’s no other choice.
What is the best way to deal with it?
We can simplify our lives with tools such as TaxJar.
This article will take a look at this well-known life-saving tool and how it can benefit you. While this is an extensive read but you’ll be able to determine if TaxJar is exactly what you need in the present.
Prefer video streaming instead? Take a look at this video by Marcus Stonelius on YouTube they also provide a comprehensive review of TaxJar’s features.
If you prefer to read, then let’s get right into it.
What is TaxJar Taxcloud Vs TaxJar
Founded in 2013, TaxJar is a platform that helps automate your reporting, filings and sales tax calculation. TaxJar is a solution to the entire life cycle. In addition, you can apply it in all of your sales channels to ensure that you are in compliance with sales tax requirements. It simplifies the processes that require days to complete and can be completed in a matter of just a few minutes.
TaxJar has been utilized 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 online business owners to keep everything organized and straightforward. Let’s explore their features and services.
Features and services
One of the first things you’ll need to make sure is your tax-reporting platform perfectly integrates with your sales channel. If you’re selling through multiple channels, you need to maintain everything in line. The most important thing is not to be penalized for overlooking just one minor detail.
TaxJar lets you display your most important metrics in one spot. This means that there is no need to gather data in multiple channels and sort it into a single platform. All you have to do is to integrate TaxJar, it will do the rest.
In addition, TaxJar also integrates with other platforms to assist with payment processing. Here’s a list highlighting the platforms they are able to integrate with:
TaxJar allows clients to make sales tax filings manually or through their AutoFile feature. For this review, we’ll take a look into both.
If you choose to manually file your tax returns, TaxJar will allow you to connect the sales channels you use. When it comes time to filing income tax returns The team will guide you on how to manage these. It is up to you and your team to finish the tax returns in time. TaxJar is there to guide you on what you have to accomplish, but not manage it.
If you’d prefer an Auto file, TaxJar will do the filling – that means you don’t have to submit any forms manually. This feature will ensure that everything will be automated from calculating sales tax to recording and processing them. There could be additional charges if they are not included in the plan you select.
Sales Tax Reports
As I mentioned earlier that you can utilize TaxJar to ease your accounting problems. 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 team will have access to everything you need, like a list of your transactions, reports and the data.
The most appealing aspect of this option is the fact that they allow you to automatically update every day. Not only can they help you know how much you’ve collected, but they also help you keep track of when the next payment is due.
Their dashboard can also allow users to view in detail the sales tax totals for your business. You can also export the information to the form of a CSV file if you need it for your process of financial planning and accounting or if you require it to run centralized reports.
Streamlining and Training
TaxJar assists in organizing and keeping track of all of your sales channels. That means you won’t have to scramble for your documents when you need them in the event of a need. Even if you already have your accountant, this feature will help them be more efficient.
Additionally, knowing the figures for your sales tax ahead of time will help you plan your funds better. You’ll be aware of the budget you have to cover other operational 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. You can look through their webinars, guides, or blog posts for additional info. Apart from that their sales tax calculator should be useful if you’re planning to take on the entire task yourself.
How much does TaxJar cost?
We are aware of how important it is to establish your budget. Some platforms offer superb features, but they can be too costly for your business. For this reason we’ll take a look at TaxJar’s pricing structures and what each of these options can offer you. Presently, TaxJar offers three plans including Professional, Starter and Premium.
Their Starter plan is priced at $19. They say it’s the most suitable plan for you for those who need assistance with filing requirements or reporting. It also includes sales tax reporting, four free yearly AutoFiles, and an CSV import. Even with the basic plan, you will be able to access their AI tax advice.
If you’re a small-scale company manager, the plan will be perfect for you. It may not offer all the features offered by TaxJar, but it has the basic features you require.
Additionally, you can contact their customer support via their email support chart. Additionally, you’ll have access to their integration features.
If you’re looking for a bit more than just the standard features, then the Professional plan may be the best option for you. The price starts at $99 but it can go higher if you add custom features.
What is the difference from the basic plan?
In addition to having access to each of Starter plan’s features, you also have their support via phone access to APIs, as well as the ability to do advanced CSV import. Additionally, they allow you to have 12 free AutoFiles each year.
If you run a large company, you may need to choose premium plans instead. It has all of the features that you require to help with your taxes. Additionally, they permit unlimited data import integrations, API integrations, team users and AutoFiles.
They also have a staff who are devoted to managing your account. However, they don’t disclose how much the Premium plan costs you. Taxcloud Vs TaxJar
However, they did say that this plan is tailor-fit to each user. So the costs will vary depending on what you need for your company.
Luckily, you don’t have to risk your money to find out if the platform is the right one for you. If you’re still looking into other options, they have a 30-day free trial. This should give you enough time to gauge whether the software is the right choice for you.
Pros and Cons
Now that we’ve covered all you should know about TaxJar let’s take a breather. In order to sum up the whole thing, here are the pros and cons of the use of TaxJar to run your business.
- Does the plan include 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 can be integrated with other platforms.
- Allows you to track multiple sales channels
- Limits on AutoFile are determined by the plan
- AutoFile has extra fees
- Certain countries will not be able to access the API feature
- Only applicable to USA customers
- It is important for owners and accountants to recheck local legislations
The Final Verdict
With everything clearly laid out, TaxJar provides a fantastic platform to companies that have numerous sales channels, and that utilizes numerous platforms. If that sounds like what you’re doing, then should try this.
Not only can it aid in tracking your products and revenue however, it will help you meet your deadlines. This is also an excellent opportunity for accountants since they provide tax Advisor program. You can get tips and get knowledge from their seminars about taxes through it.
Utilizing TaxJar can help you reduce time and keep track of every deadline and requirement you have to meet. If you’re in a region with a lot of tax laws, this will definitely help you get your head around it. Taxcloud Vs TaxJar
However, if managing your taxes is simple If it isn’t, then TaxJar might not be a good investment. If you only have one or two channels for sales, TaxJar won’t be needed to keep track of everything. In addition, if you find the entire process easy to do then you’re better to do it by yourself.
FAQ Taxcloud Vs TaxJar
What areas does TaxJar offer API support?
TaxJar is currently assisting countries such as Australia, the United States, the EU, Australia, and Canada.
Can I integrate Shopify with TaxJar?
Yes. You can sync your Shopify account with TaxJar to facilitate monitoring and updates.
Are there any ways to exchange one kind of currency using TaxJar?
Unfortunately, no. TaxJar cannot convert currency values. The transactions are in US$. If you’re using another currency, you will need to convert it to US$ prior to when TaxJar determines the tax.