Taxes have always been one of the most difficult tasks to complete, whether you’re running an enterprise or not. Particularly if you don’t have a degree in finance or accounting. Tax-related work can be overwhelming, especially when your whole day is full of things to be done. If you don’t have enough money to hire an accountant, performing the task on your own can be dangerous. If you make a mistake, you might have to do it all over again!
Nearly everyone would prefer to skip this step. But , as it’s a requirement, we have no choice.
So , what can we do ?
We can make life easier with tools such as TaxJar.
This article will take a look at this popular life-saving tool and how it can assist you. Although this is quite lengthy but you’ll be able to determine if TaxJar is what you need in the present.
Prefer watching videos rather than watch them? Take a look at this video by Marcus Stonelius on YouTube they also give a complete review of TaxJar’s features.
But for those who prefer to read, then we’ll dive right into.
What is TaxJar TaxJar App
Founded in 2013, TaxJar is an application that automatizes your filings, reports, and sales tax calculation. TaxJar is a solution to all aspects of your sales tax cycle. In addition, you can apply it in all of your channels of sales to ensure that you are in compliance with sales taxes. It simplifies the processes that take days to complete and finish within just a few minutes.
TaxJar has been utilized in a variety of industries, including food and beverage businesses, SaaS, retail, services as well as medical institutions.
What can it do to help you?
TaxJar is widely used by owners of online businesses to make their business more simple and organized. Let’s explore their features and services.
Features and services
One of the most important things you’ll need to ensure you have a tax accounting platform perfectly integrates with your sales channel. If you’re selling through multiple channels, it is essential to keep everything in place. The most important thing is not to get a penalty for overlooking just one minor detail.
TaxJar lets you display your most important metrics in one place. That way, there’s no need to collect data in multiple channels and sort it into a single platform. All you need to do is integrate TaxJar and the platform will take care of the rest.
Apart from that, TaxJar also integrates with other platforms that can help with payment processing. Here’s a list of platforms they are able to integrate with:
TaxJar allows customers to file their sales taxes manually or through TaxJar’s AutoFile feature. In our review we’ll look into both.
If you decide to go it alone, TaxJar will allow you to connect the sales channels you use. Once the time comes for filing tax returns for income TaxJar will train you on how to handle the tax returns. It is up to you and your team to complete the process in time. TaxJar is only there to provide guidance on what you should do but not handle it.
If you would prefer an Auto file, TaxJar will do the filling – that means you don’t have to fill out any forms manually. Through this feature, everything is automated, from calculating taxes on sales to recording and processing them. However, there might be additional charges if they are not included in the plan you choose.
Sales Tax Reports
As I 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 a single dashboard through 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 the feature you’ve chosen is it allows you to update your account automatically each day. Not only can they help to know the amount you’ve collected and how much you’ve earned, but they also let you determine when your next payment is due.
The dashboard allows you to see the sales tax totals in your business. It is also possible to export the information as CSV format. CSV file in case you require it for your accounting and financial planning processes or if your team requires it for central reporting.
Streamlining and Training
TaxJar helps organize and keep the track of all the channels you sell through. That means you won’t have to search for your documents when you need them in a pinch. Even when you already have your accountant, this feature can help them be more efficient.
Furthermore, knowing the estimated amount for your sales tax in advance will help you plan your money more efficiently. You’ll know exactly how much budget you have available for other operating costs.
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 guides, webinars, and blog for more details. In addition their sales tax calculator can be beneficial when you’re planning to complete everything yourself.
How much does TaxJar cost?
We are aware of how important it is to establish your budget. Some platforms offer superb capabilities, but they’re often too costly for your business. This is why in this section we’ll take a look at TaxJar’s pricing levels and what each of these plans can offer. At present, TaxJar offers three plans including Professional, Starter and Premium.
Their Starter plan is priced at $19. They say it’s the most effective plan if you need help in filing and reporting. It includes sales tax reporting, four annual AutoFiles for free, as well as an CSV import. Even with the starter plan, you will be able to access their AI tax recommendations.
If you’re a smaller company proprietor, then this program will be ideal for you. It may not offer all of TaxJar’s features, but it has all the basics you require.
Additionally, you can contact their customer support via their email support chart. You’ll also be able to use their integration features.
If you’re looking to get different from the standard features, 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.
What is the difference from the basic plan?
Apart from having access to all of the 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 receive 12 free AutoFiles every year.
If you run a large business, you might need to go for premium plans instead. It includes all of the features needed to help with your taxes. Additionally, they permit unlimited data import integrations Integrations with APIs, teams of members, and AutoFiles.
There is also a team dedicated in managing your accounts. However, they don’t disclose the amount that the Premium plan is going to cost. TaxJar App
However, they did say that this plan is tailor-fit for every user. The cost of the plan will be different according to what you require to run your business.
It’s a good thing that you don’t have to risk your money to see if this platform is for you. If you’re still looking into various options, they provide a 30-day free trial. It should give you enough time to determine if the platform is a good fit for you.
Pros and Cons
We’ve covered everything you must know about TaxJar let’s take a break. To summarize, here are the advantages and disadvantages of making use of TaxJar for your business.
- Does the plan include a Tax Advisor option for some plans
- AutoFile features to reduce time
- Available in most USA states
- Offers Taxes on sales online calculator
- Support service team
- The dashboard is simple to navigate
- The company offers a 30-day trial for free.
- It is possible to integrate it with other platforms.
- It allows you to monitor multiple sales channels
- AutoFile limit is based on the plan
- AutoFile has extra fees
- Some countries won’t have access to the API feature.
- Only applicable for 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 with numerous sales channels, and that utilizes plenty of platforms. If that’s what you’re doing, then you must try TaxJar.
It’s not just a way to aid in tracking your products and revenue, but it can assist you in meeting your deadlines. It is also a great opportunity for accountants since they offer the Tax Advisor program. There are tips to follow and learn from their sessions regarding taxes via it.
The use of TaxJar can allow you to get more done while keeping track of every deadline and requirement you have to fulfill. If you’re in a region with a lot of tax regulations, this will certainly help you to get your mind around it. TaxJar App
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 of sales, TaxJar won’t be needed to keep track of everything. If you find the entire procedure simple to follow and you’re comfortable with it, you may be better in doing it all by yourself.
FAQ TaxJar App
What areas does TaxJar offer API support?
TaxJar currently works with countries like Australia, the United States, the EU, Australia, and Canada.
Can I incorporate Shopify together with TaxJar?
Yes. You can link your Shopify account with TaxJar to facilitate monitoring and updates.
Do I have the ability to convert every type of currency with TaxJar?
Unfortunately, no. TaxJar doesn’t convert currency values. All transactions are in US$. If you’re using another currency, you will need to convert it to USUSD before TaxJar can calculate the tax.