Taxes have always been one of the hardest things to do regardless of whether you run your own business or not. More so if you don’t have a background in accounting or finance. Tax-related issues can be overwhelming, particularly when you’re packed with things to do. In the event that you do not have the funds to hire an accountant, making it your own can be risky. If you miss one detail and you don’t know it, you may need to repeat the process!
Nearly everyone would prefer to skipping this step. But since it’s required, we have no choice.
What is the best way to deal with it?
We can make life easier by using tools like TaxJar.
Here we’ll take a look at this life-saving tool and explain how it can help you. Although this is quite lengthy, you should be able to assess whether TaxJar is exactly what you need in the present.
Are you looking watching videos rather than watch them? Watch this video – by Marcus Stonelius on YouTube they also provide a comprehensive review of the features offered by TaxJar.
If you prefer to read, then let’s dive right in.
What is TaxJar? TaxJar And Filemaker
Founded in 2013, TaxJar is an online platform that assists you in automating your reports, filings, and sales tax calculations. It is a solution for all aspects of your sales tax cycle. Furthermore, you can utilize it across all your sales channels to make sure you’re in compliance with sales tax requirements. It makes the process simpler that could require days to complete and can be completed in a matter of only a few minutes.
TaxJar is used in various industries like food and beverage businesses, SaaS, retail, services, and even medical institutions.
What can it do to help you?
TaxJar is widely used by business owners who run online businesses to make their business more simple and organized. Let’s explore their features and services.
Features and services
One of the first things you’ll need to ensure is that your accounting tax software seamlessly works well in conjunction with the sales channels you use. If you’re selling through multiple channels, you need to keep everything in place. The last thing you want is to get a penalty for not paying attention to a minor thing.
TaxJar lets you display your critical data in one location. That way, there’s no requirement to collect information from multiple sources and then organize it on one platform. All you have to do is to integrate TaxJar then the system will do the rest.
In addition, TaxJar also integrates with other platforms that can help with payment processing. Here’s a list of the platforms that they can connect with:
TaxJar allows clients to submit their sales tax manually or through their AutoFile feature. In our review we’ll dig into both.
If you decide to go it alone, TaxJar will allow you to connect your sales platforms. When the time is right for filing income tax returns, the team will instruct you on how to manage these. But, it is up for you and your team to complete everything within the timeframe. TaxJar will only help you understand what you should do , but not to handle it.
If you would prefer an Auto file, TaxJar will do the filling – that means you don’t have to submit any forms manually. With this feature, everything is automated, from calculating sales taxes through recording, and then processing it. There could be extra fees if you do not include this feature in the plan you chose.
Sales Tax Reports
As mentioned earlier, you can use TaxJar to ease your accounting woes. Your orders from your e-commerce channels can be compiled into one dashboard using this platform. From there you and your team can access everything you need, such as the list of transactions, reports and data.
The most appealing aspect of this feature is that it allows you to update automatically every day. Not only can they help you know how much you’ve earned and how much you’ve earned, but they also let you keep track of when the next payment is due.
The dashboard allows users to view in detail the sales tax totals for your business. It is also possible to export the information in the form of a CSV file in case you require it for your financial planning and accounting processes or if your team requires it for centralized reporting.
Training and Streamlining
TaxJar assists in organizing and keeping on top of all your sales channels. It means you don’t need to hunt for your paperwork when you need them in a pinch. Even when you already have your accounting firm, the feature can make them more efficient.
Moreover, knowing the estimates for your sales tax ahead of time will help you plan your funds more effectively. You’ll be aware of the budget you have for other operating costs.
What’s more is that TaxJar offers tutorials and training, not just on their platform, but all things connected to sales tax. You can look through their webinars, guides or blog posts for additional info. Additionally their sales tax calculator is beneficial when you’re planning to complete everything yourself.
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 costly for the business you run. This is why in this section we’ll take a look at TaxJar’s pricing levels and what each of these choices can provide you. Currently, TaxJar offers three plans: Starter, Professional, and Premium.
The Starter plan starts at $19. They claim that it’s the most effective plan if you need help with filing requirements and reporting. It comes with taxes on sales and sales as well as 4 autofiles for free each year, and an CSV import. Even with the starter plan, you will be able to access their AI tax recommendations.
If you’re a smaller business manager, the plan should be perfect for you. It may not have all the features of TaxJar, but it has the basic features you require.
You can also contact their customer support via their support chart for email. You’ll also be able to use their integration features.
If you’re looking to get different from the standard features and options, then the Professional plan could be the one for you. It’s priced at $99 but you can increase it when you add additional features.
What is the difference from the original plan?
In addition to having access to every one of Starter plan’s options, you also have access to their support via phone Access to APIs, phone support, and sophisticated CSV import. They also allow you to have 12 free AutoFiles each year.
If you have a massive business, you might need to choose premium plans instead. It has all of the features needed to make your tax filing easier. In addition, they offer unlimited data import integrations as well as Integrations with APIs, teams of users, and AutoFiles.
They also have a staff who are devoted in managing your accounts. But, they don’t divulge how much the Premium plan costs you. TaxJar And Filemaker
But they did state that this plan is customized for each user. The cost of the plan will be different depending on what you need to run your business.
Fortunately, you don’t need to gamble your money just to see if this platform is the right one for you. If you’re still looking into 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 a good fit for you.
Pros and Cons
After we’ve gone over everything you must be aware of TaxJar let’s take a breather. In order to sum up the whole thing, here are the advantages and disadvantages of the use of TaxJar for your business.
- There is the Tax Advisor option for some plans
- AutoFile features help to reduce time
- Available in most USA states
- Provides Taxes on sales online calculator.
- Support service team
- The dashboard is easy 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
- Limits on AutoFile are determined by 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 recheck local legislations
The Final Verdict
With everything laid down, TaxJar provides a fantastic platform to companies with multiple sales channels and uses numerous platforms. If that’s what you’re doing, then you ought to try this.
It’s not just a way to help you track your revenue and products It can also help you meet your deadlines. This is also an excellent opportunity for accountants since they have a Tax Advisor program. You can get tips and learn from their sessions about taxes through it.
Using TaxJar can help you reduce time and keep the track of each 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 the subject. TaxJar And Filemaker
However, if managing taxes is easy If it isn’t, then TaxJar may be an unnecessary investment. If you’re only dealing with one or two channels for sales, TaxJar won’t be needed to track all of it. If you find the whole procedure easy to complete, you might be better in doing it all on your own.
FAQ TaxJar And Filemaker
What areas does TaxJar provide API assistance?
TaxJar currently works with countries like those of the United States, the EU, Australia, and Canada.
Can I connect Shopify together with TaxJar?
Yes. You can connect your Shopify account with TaxJar for easier monitoring and updates.
Can I convert any kind of currency with TaxJar?
Unfortunately, no. TaxJar cannot convert currencies. All transaction amounts are n US$. If you’re using a different currency, you’ll have to convert it into USUSD prior to when TaxJar can calculate your tax.