Taxes have always been one of the most difficult tasks to complete, whether you’re running 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 your whole day is packed with things to do. When you’re not able to afford enough money to employ an accountant, doing it on yourself can be risky. If you miss one detail, you might have to do it all over again!
Almost everyone wants to avoid this step. However, since it’s mandatory to be done, we can’t choose not to.
So what is the best way to deal with it?
We can make our lives easier with tools such as TaxJar.
Here we’ll take a look at this well-known life-saving tool and explain how it can help you. Although this is quite a long read but you’ll be able to determine if TaxJar is the tool you require today.
Are you looking to watch videos instead? Watch this video – by Marcus Stonelius on YouTube they also do a full analysis of TaxJar’s features.
For those who like to read, we’ll dive right into.
What is TaxJar TaxJar Api
The company was founded in 2013 TaxJar is a platform that helps automate your filings, reports, and sales tax calculation. TaxJar is a solution to 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 streamlines processes that require days to complete and can be completed in a matter of minutes.
TaxJar has been used in a variety of industries, including food and beverage businesses, SaaS, retail, services as well as medical institutions.
How can it help you?
TaxJar is used extensively by owners of online businesses to keep everything simple and organized. Let’s take a look at the benefits and features of TaxJar.
Features and services
One of the most important things you’ll need to ensure you have a tax accounting software is compatible along with sales funnels. If you have multiple sales channels, you must ensure that everything is in order. The final thing you would like is to get a penalty for not paying attention to a minor thing.
TaxJar allows you to display your key metrics in one spot. This means that there is no requirement to collect data from different channels and organize it into one platform. All you need to do is integrate TaxJar, then the system will do the rest.
Other than that, TaxJar also integrates with other platforms to assist with payment processing. Here’s a list highlighting the platforms they can integrate with:
TaxJar allows customers to file their sales taxes manually or through the AutoFile feature. For the purpose of this article, we’ll take a look into both.
If you decide to manually file your tax returns, TaxJar will allow you to connect your sales platforms. Once the time comes for filing income tax returns, the team will instruct you on how to manage the tax returns. It is up to you and your team to finish the tax returns in time. TaxJar is only there to help you understand what you have to do , but not to handle it.
If you would prefer an Auto file, TaxJar will do the filling for you. This means that you don’t have to submit any forms manually. This feature will ensure that everything will be automated from calculating taxes on sales to recording and processing them. But, it is possible to incur additional costs if the feature is not part of the plan you chose.
Sales Tax Reports
As mentioned earlier, you can use TaxJar to assist you with your accounting problems. The orders you place through your online channels can be compiled into one dashboard using this platform. From there you and your team will have access to all the information you require, including the list of transactions, reports and the data.
The most appealing aspect of this feature is that it lets you to update your account automatically each day. Not only can they help to know the amount you’ve accumulated, but they also help you track when your following payments are due.
The dashboard allows users to view in detail the sales tax totals for your business. You can also export your data as CSV format. CSV file in case you require it in your accounting and financial planning processes or if your team needs it for centralized reporting.
Streamlining and Training
TaxJar helps organize and keep the track of all the channels you sell through. 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 will make them more efficient.
Moreover, knowing the estimates for your sales tax ahead of time can help you allocate your money more efficiently. You’ll be aware of the budget you have for other operational expenses.
The best part is that TaxJar provides training and tutorials not only on their platform, but all things connected to sales tax. You can look through their webinars, guides, and blog for more information. Additionally, their sales tax calculator should be beneficial when you’re planning to do everything on your own.
How much does TaxJar cost?
We understand how important it is to determine your budget. Certain platforms have amazing features, but they’re sometimes too expensive for businesses. For this reason, we’ll look into TaxJar’s pricing levels and the features that each of these options can offer you. Presently, TaxJar offers three plans: Starter, Professional, and Premium.
The Starter plan is priced at $19. The company claims that it’s the most effective plan if you need help with filing requirements and reporting. It includes the tax on sales, four free yearly AutoFiles, and the option of a CSV import. Even with the basic plan, you can access their AI tax advice.
If you’re a small business proprietor, then this program could be ideal for you. It may not offer all the features of TaxJar but it comes with all the basics you require.
You can also contact the support team via their support chart for email. You’ll also be able to use their integration capabilities.
If you’re looking for something that is more than the basics Professional may be the best option for you. The price starts at $99 but you can increase it when you add additional features.
So how different is it from the basic plan?
In addition to having access to each of Starter plan’s features, you also get access to their phone customer support access to APIs, as well as advanced CSV import. You can also get 12 AutoFiles for free each year.
If you own a huge enterprise, you may want to opt for an upgrade instead. It includes all of the features you need to aid in your tax preparation. Moreover, they allow unlimited integrations with data imports API integrations, team members, and AutoFiles.
There is also a team that is devoted in managing your accounts. They don’t reveal how much the Premium plan is going to cost. TaxJar Api
However, they did mention that this plan is tailor-fit for every user. The cost of the plan will be different in line with what you require to run your business.
Fortunately, you don’t need to gamble your money just to determine if this service is right for you. If you’re still considering various options, they provide a 30-day free trial. This should give you enough time to gauge whether the service is the right choice for you.
Pros and Cons
We’ve covered everything you need to know about TaxJar Let’s relax. 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 help save time
- Available in most USA states
- Provides Taxes on sales online 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 have access to the API feature.
- Only valid for USA customers.
- It is important for owners and accountants to review local laws
The Final Verdict
With everything laid out, TaxJar can be a great platform businesses with numerous sales channels, and that utilizes plenty of platforms. If that sounds like what you do, then you should try this.
It’s not just a way to aid in tracking your revenue and products however, it will help you meet your deadlines. This is also an excellent option for accountants as they have tax Advisor program. There are tips to follow and learn from their sessions on taxes by using it.
The use of TaxJar will help you save more time while keeping on top of each deadline and obligation you have to fulfill. If you’re living in a place with complicated tax laws, this will surely help you wrap your head around the subject. TaxJar Api
But if handling your taxes is straightforward and straightforward, then TaxJar might not be a good investment. If you have only one or two sales channels, TaxJar won’t be needed to keep track of everything. If you find the entire process easy to do, you might be better to do it on your own.
FAQ TaxJar Api
What areas does TaxJar provide API assistance?
TaxJar currently supports countries like those of the United States, the EU, Australia, and Canada.
Do I have the ability to incorporate Shopify with TaxJar?
Yes. You can connect your Shopify account to TaxJar to facilitate monitoring and updates.
Can I convert any type of currency using TaxJar?
Unfortunately, no. TaxJar does not convert currencies. All transactions’ amounts are in USdollars. If you’re using another currency, you’ll need to convert it to US$ prior to when TaxJar determines your tax.