Taxes are always one of the most difficult things to handle regardless of whether you run a business or not. Particularly if you don’t have a degree in finance or accounting. Tax-related work aren’t easy, particularly when you’re packed with things to do. If you don’t have the budget to engage an accountant making it your own could be risky. If you miss one detail it could mean you have to redo things again!
Most people want to avoid this step. But since it’s required and mandatory, there’s no other choice.
What is the best way to deal with it?
We can 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. Even though this is lengthy it is possible to assess whether TaxJar is what you need right now.
Are you looking video streaming instead? Watch this video – by Marcus Stonelius on YouTube they also do a full review of the features offered by TaxJar.
If you prefer to read, then let’s dive right in.
What is TaxJar? TaxJar Add-On
Founded in 2013, TaxJar is a platform that helps automate your filings, reports, and sales tax calculations. It is a solution for your entire sales tax life cycle. In addition, you can apply it in all of the sales channels you use to ensure compliance with your sales taxes. It makes the process simpler that could take days to complete and is completed in just a few just a few minutes.
TaxJar is used in various industries like food and beverage businesses, SaaS, retail, services and even medical establishments.
How can this help you?
TaxJar is extensively used by online business owners to ensure that everything is simple and organized. Let’s explore their features and services.
Services and features
One of the most important things you’ll need to ensure is that your accounting tax system is compatible with your sales channel. If you’re using multiple sales channels, it is essential to ensure that everything is in order. The final thing you would like is to be penalized for not paying attention to a minor thing.
TaxJar allows you to show your critical metrics in one place. This means that there is no need to collect information from multiple sources and organize it into one platform. All you need to do is integrate TaxJar, it will handle all the rest.
Other than that, TaxJar also integrates with other platforms that can help with payments. Here’s a list highlighting the platforms they are able to integrate with:
TaxJar allows clients to file their sales taxes either manually or via TaxJar’s AutoFile feature. For our review we’ll dig into both.
If you decide to go it alone, TaxJar will allow you to connect all the sales channels you use. When it comes time to the filing of income tax returns, the team will instruct you on managing the tax returns. However, it will be up for you and your team to finish the tax returns within the timeframe. TaxJar is there to help you understand what you should do but not handle it.
If you’d prefer an Auto file, TaxJar will do the filling, which means you don’t have to fill out the forms in a manual manner. Through this feature, everything will be automated from calculating taxes on sales through recording, and then processing them. However, there might be additional costs if the feature is not part of the plan you select.
Sales Tax Reports
As mentioned earlier, you can use TaxJar to ease your accounting issues. Your orders from your e-commerce channels can be combined into one dashboard using this platform. From there you and your team will have access to everything you require, including an inventory of your transactions, reports and the data.
The best part about the feature you’ve chosen is it lets you to automatically update every day. Not only can they help you keep track of how much you’ve accumulated, but they also help you determine when your next payment is due.
Their dashboard also allows users to view in detail the overall sales taxes within your company. You can also export your data as CSV format. CSV file in case you require it for your financial planning and accounting processes or if your team requires it to run centralized reports.
Streamlining and Training
TaxJar helps you organize and keep on top of all your sales channels. This means that you don’t have to hunt for your paperwork when you need them in the event of a need. Even even if you already have an accountant, this function can make them more efficient.
Furthermore, knowing the estimated amount for the sales tax you pay in advance will allow you to allocate your funds more effectively. You’ll know better how much budget you have available for other operational costs.
The best part is that TaxJar offers tutorials and training not only for their platform but all things connected to sales tax. You can look through their webinars, guides as well as their blog to find more info. Apart from that, their sales tax calculator should be helpful if you’re planning on do everything on your own.
How much does TaxJar cost?
We understand how important it is to establish your budget. Certain platforms have amazing features, but they’re sometimes too expensive for businesses. This is why in this section we’ll examine TaxJar’s pricing structures and what each of these options can offer you. At present, TaxJar offers three plans including Professional, Starter and Premium.
The 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 sales tax reporting, four free yearly AutoFiles, and an CSV import. Even with the starter plan, you can access their AI tax tips.
If you’re a small-scale business manager, the plan could be perfect for you. It may not have all the features offered by TaxJar, but it has the essentials that you need.
In addition, you can reach their support team with their email support chart. Additionally, you’ll have access to their integration capabilities.
If you’re looking for something that is more than the basics Professional might be the right one for you. The price starts at $99 however, it could go up when you add additional features.
What is the difference from the basic plan?
In addition to having access to each of Starter plan’s features, you also have the support of their customer service via phone access to APIs, as well as advanced CSV import. Additionally, they allow you to get 12 AutoFiles for free each year.
If you have a massive business, you might need to choose the Premium plan instead. It comes with all the features you need to aid in your tax preparation. Moreover, they allow unlimited import integrations of data API integrations, team members and AutoFiles.
They also have a staff that is devoted to managing your account. But, they don’t divulge the price of the Premium plan. will cost you. TaxJar Add-On
However, they did say that the plan is custom-made for every user. Therefore, the cost will differ depending on what you need to run your business.
Fortunately, you don’t need to risk your money to find out if the platform is for you. If you’re still looking into different options, they offer 30 days of free trial. This should be enough time to gauge whether the service is an excellent fit for you.
Pros and Pros and
After we’ve gone over everything you must be aware of TaxJar let’s take a break. In order to sum up the whole thing Here are the advantages and disadvantages of the use of TaxJar to run your business.
- Does the plan include a Tax Advisor option for some plans
- AutoFile features to reduce time
- Available in most USA states
- Provides an online sales tax calculator.
- Has support service team
- The dashboard is easy to navigate
- Offers a 30-day free trial
- 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 have access to the API feature.
- Only valid for USA customers.
- It is important for owners and accountants to check local legislation
The Final Verdict
With everything clearly laid out, TaxJar provides a fantastic platform to businesses with numerous sales channels, and that utilizes numerous platforms. If that’s what you do, then you ought to try this.
It’s not just a way to aid in tracking the sales and profits of your business It can also help you meet the deadlines you set. This is also an excellent platform for an accountant since they provide a Tax Advisor program. There are tips to follow and learn from their sessions regarding taxes via it.
Using TaxJar can help you get more done while keeping on top of each deadline and requirement you have to fulfill. If you live in an area with complex tax regulations, this will definitely help you get your head around the subject. TaxJar Add-On
However, if managing your taxes is simple and straightforward, then TaxJar could be a waste of investment. If you’re only dealing with one or two channels for sales, TaxJar won’t be needed to track everything. In addition, if you’re finding the entire procedure simple to follow then you’re better to do it on your own.
FAQ TaxJar Add-On
What are the areas in which TaxJar offer API support?
TaxJar is currently assisting countries such as those of the United States, the EU, Australia, and Canada.
Do I have the ability to connect Shopify with TaxJar?
Yes. You can connect your Shopify account with TaxJar to make it easier to monitor and updates.
Do I have the ability to convert every type of currency with TaxJar?
Unfortunately, no. TaxJar doesn’t convert currency values. All transaction amounts are n USdollars. If you’re using another currency, you will need to convert it to US$ prior to when TaxJar determines your tax.