Taxes have always been among the most difficult things to handle regardless of whether you’re running an enterprise or not. More so if you don’t have a background in accounting or finance. Tax-related tasks 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 dangerous. If you overlook one thing and you don’t know it, you may have to redo things again!
Nearly everyone would prefer to skipping 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 always simplify our lives by using tools like TaxJar.
This article will take a look at this well-known life-saving tool and explain how it can benefit you. Although this is quite an extensive read, you should be able to gauge whether TaxJar is what you need right now.
Prefer watching videos rather than watch them? Watch this video – by Marcus Stonelius on YouTube they also provide a comprehensive analysis of TaxJar’s features.
If you prefer to read, then let’s dive right in.
What is TaxJar? TaxJar Acquired
The company was founded in 2013 TaxJar is an application that automatizes your reporting, filings and sales tax calculation. TaxJar is a solution to the entire life cycle. In addition, you can apply it across all your channels of sales to ensure compliance with your sales taxes. It makes the process simpler that could take days to complete and can be completed in a matter of just a few minutes.
TaxJar is used in different industries such as food and beverage businesses, SaaS, retail, services and even medical establishments.
How can this help you?
TaxJar is widely used by owners of online businesses to keep everything 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 is that your accounting tax software is compatible with your sales channel. If you have multiple sales channels, you need to ensure that everything is in order. The most important thing is not to get a penalty for overlooking just one minor detail.
TaxJar allows you to display your most important metrics in one place. That way, there’s no requirement to collect data from different channels and then organize it on a single platform. All you need to do is to integrate TaxJar it will do the rest.
Other than that, TaxJar also integrates with other platforms to assist in the process of making payments. Here’s a list highlighting the platforms that they can connect with:
TaxJar lets customers submit their sales tax by hand or using their AutoFile feature. In the purpose of this article, we’ll dig into both.
If you opt to manually file your tax returns, TaxJar will allow you to connect all of those sales tools. When the time is right for filing tax returns for income The team will guide you on managing the tax returns. But, it is up for you and your team members to complete everything on time. TaxJar is there to provide guidance on what you should do , but not to handle it.
If you’d prefer an Auto file, TaxJar will do the filling – that means you don’t have to fill out all forms by hand. This feature will ensure that everything will be automated from calculating sales tax through recording, and then processing them. There could be extra fees if you do not include this feature in the plan you choose.
Sales Tax Reports
As mentioned earlier that you can utilize TaxJar to assist you with your accounting issues. Your orders from your e-commerce channels can be compiled into a single dashboard via this platform. Once you’re on the platform you and your team will have access to all the information you require, including the list of transactions, reports and data.
The greatest benefit of the feature you’ve chosen is they allow you to automatically update every day. Not only will they let you know how much you’ve accumulated however, they can also help you track when your following payment is due.
Their dashboard can also allow users to view in detail the total sales tax for your business. Additionally, you can export the information in CSV format. CSV file if you need it in your financial planning and accounting processes or if your team requires it for central reporting.
Training and Streamlining
TaxJar helps you organize and keep on top of all the channels you sell through. It means you don’t need to scramble for your documents whenever you’re in the event of a need. Even even if you already have an accountant, this feature will aid them in being more efficient.
Additionally, knowing the figures for your sales tax in advance will allow you to allocate your funds more effectively. You’ll know exactly how much budget you have available for other operational costs.
But what’s even better is that TaxJar provides training and tutorials and tutorials, not just for their platform , but also all things connected to sales tax. Check out their webinars, guides, and blog for more info. In addition, their sales tax calculator can be helpful if you’re planning on take on the entire task yourself.
How much does TaxJar cost?
We understand how important it is to establish your budget. Some platforms provide amazing features, but they can be too costly for your business. That’s why for this section we’ll examine TaxJar’s pricing tiers and what each of these options can offer you. Currently, TaxJar offers three plans: Starter, Professional, and Premium.
Their Starter plan starts at $19. They claim that it’s the most effective plan if you need help with filing requirements or reporting. It comes with the tax on sales, 4 annual AutoFiles for free, as well as a CSV import. Even with the starter plan, you will be able to access their AI tax recommendations.
If you’re a small-scale company owner, this plan should be perfect for you. It may not offer all the features of TaxJar but it comes with the essentials that you need.
Additionally, you can contact the support team via their email support chart. Additionally, you’ll have access to their integration capabilities.
If you’re looking for different from the basic features and options, then the Professional plan may be the best option for you. The price starts at $99 but you can increase it by adding custom features.
So how different is it from the original 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. You can also have 12 free AutoFiles each year.
If you have a massive enterprise, you may want to opt for the Premium plan instead. It comes with all the features needed to make your tax filing easier. Moreover, they allow unlimited data import integrations, Integrations with APIs, teams of members and AutoFiles.
They also have a team dedicated for managing the account. However, they don’t disclose the price of the Premium plan. costs you. TaxJar Acquired
However, they did mention that the plan is custom-made for every user. So the costs will vary according to what you require for your business.
Fortunately, you don’t need to risk your money to see if this platform is right for you. If you’re still considering other options, they have the opportunity to try a free trial for 30 days. It should give you enough time to gauge if the platform is an excellent fit for you.
Pros and Cons
After we’ve gone over everything you need to know about TaxJar let’s take a break. In order to sum up the whole thing we’ll go over the advantages and disadvantages of making use of TaxJar for your company.
- Does the plan include the Tax Advisor option for some plans
- AutoFile features can help you save time
- Available in most USA states
- Provides on the internet for sales tax calculator.
- Has support service team
- The dashboard is easy to navigate
- It offers a free trial of 30 days.
- It is able to be integrated with other platforms
- Allows you to track multiple sales channels
- Limits for AutoFile are based on the plan
- AutoFile has extra fees
- Some countries won’t be able to access the API feature
- Only applicable to USA customers.
- It is important for owners and accountants to review local laws
The Final Verdict
With everything clearly laid out TaxJar provides a fantastic platform to businesses with multiple sales channels and uses numerous platforms. If this sounds like the way you do, then you ought to try this.
It’s not just a way to aid in tracking your revenue and products, but it can also help you meet your deadlines. This is also an excellent platform for an accountant since they offer the Tax Advisor program. There are tips to follow and learn from their sessions regarding taxes via it.
Using TaxJar can help you reduce time and keep the track of each deadline or requirement you need to fulfill. If you’re living in a place with complicated tax laws, this can surely help you wrap your head around it. TaxJar Acquired
However, if managing your taxes is simple, then TaxJar could be a waste of investment. If you have only one or two channels for sales, TaxJar won’t be needed to track all of it. Moreover, if you find the whole procedure easy to complete then you’re better off doing it on your own.
FAQ TaxJar Acquired
What are the areas in which TaxJar provide API support?
TaxJar currently supports countries like those of the United States, the EU, Australia, and Canada.
Do I have the ability to incorporate Shopify together with TaxJar?
Yes. You can link your Shopify account to TaxJar to make it easier to monitor and updates.
Can I convert any kind of currency with TaxJar?
Unfortunately, no. TaxJar does not convert currency values. All transactions are in US$. If you’re using a different currency, you’ll need to convert it to USUSD before TaxJar determines your tax.