Taxes are always one of the most difficult things to handle regardless of whether you run an enterprise or not. More so if you don’t have a degree in finance or accounting. Tax-related work can be overwhelming, especially when your whole day is filled with tasks to complete. If you don’t have the funds to hire an accountant, making it your own could be risky. If you miss one detail, you might need to repeat the process!
Most people want to avoid this step. But since it’s required, we have no choice.
What is the best way to deal with it?
We can always make life easier by using tools like TaxJar.
This article will take a look at this well-known life-saving tool and how it can help you. Although this is quite lengthy, you should be able to assess whether TaxJar is the tool you require right now.
Prefer 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.
For those who like to read, then let’s dive right in.
What is TaxJar TaxJar Business Being Hurt By Amazon
Founded in 2013, TaxJar is an online platform that assists you in automating your reporting, filings and sales tax calculation. It is a solution for the entire life cycle. In addition, you can apply it across all of the sales channels you use to ensure that you are in compliance with sales taxes. It makes the process simpler that could take days to complete and finish within minutes.
TaxJar is used in various industries like food and beverage companies, SaaS, retail, services and even medical establishments.
What can it do to help you?
TaxJar is used extensively by owners of online businesses to ensure that everything is neat and simple. Let’s take a look at the benefits and features of TaxJar.
Services and features
One of the first things you’ll need to ensure is your tax-reporting platform seamlessly works well along with sales funnels. If you’re selling through multiple channels, you need to keep everything in place. The final thing you would like is to get a penalty for not paying attention to a minor thing.
TaxJar lets you display your critical metrics in one place. This means that there is no requirement to collect data from different channels and sort it into one platform. All you need to do is connect TaxJar, and the platform will handle the rest.
Apart from that, TaxJar also integrates with other platforms to assist with payment processing. Here’s a list of the platforms they are able to integrate with:
TaxJar lets customers make sales tax filings by hand or using TaxJar’s AutoFile feature. In the purpose of this article, we’ll dig into both.
If you choose to do it manually, TaxJar will allow you to connect all of those sales tools. Once the time comes for filing income tax returns TaxJar will train you on managing these. It is up for you and your team members to complete the process on time. TaxJar is there to provide guidance on what you should do but not handle it.
If you’d prefer an Auto file, TaxJar will do the filling – that means you don’t have to submit any forms manually. With this feature, everything will be automated from calculating sales tax to recording and processing it. There could be extra fees if you do not include this feature in the plan you choose.
Sales Tax Reports
As we mentioned, you can use TaxJar to assist you with your accounting woes. The orders you place through your online channels can be put together into a single dashboard via this platform. Once you’re on the platform, you and your team will have access to everything you require, including an inventory of your transactions, reports, as well as data.
The greatest benefit of the feature you’ve chosen is they allow you to update automatically every day. They not only let to know the amount you’ve collected and how much you’ve earned, but they also let you keep track of when the next payment is due.
The dashboard allows you to see the sales tax totals for your business. You can also export your data in CSV format. CSV file in case you require it in your accounting and financial planning processes or if you require it for centralized reporting.
Streamlining and Training
TaxJar assists in organizing and keeping the track of all your sales channels. It means you don’t need to search for your documents when you need them in the event of a need. Even if you already have your accountant, this feature will help them be more efficient.
Furthermore, knowing the estimated amount for your sales tax ahead of time will allow you to allocate your money more efficiently. You’ll know exactly how much budget you have for other operational costs.
The best part is that TaxJar offers training and tutorials not only for their platform but all things connected to sales tax. You can check out their webinars, guides, or blog posts for additional information. Apart from that, their sales tax calculator can be beneficial when you’re planning to take on the entire task yourself.
How much does TaxJar cost?
We know how crucial it is to determine your budget. Certain platforms have amazing capabilities, but they’re often too costly for your business. That’s why for this section, we’ll look into TaxJar’s pricing structures and the features that each of these options can offer you. At present, TaxJar offers three plans including Professional, Starter and Premium.
The Starter plan costs $19. They say it’s the most suitable plan for you if you need help in filing and reporting. It includes taxes on sales and sales as well as four autofiles for free each year, and the option of a CSV import. With the starter plan, you will be able to access their AI tax advice.
If you’re a small company manager, the plan should be ideal for you. It may not offer all the features offered by TaxJar however, it does include the basic features you require.
Additionally, you can contact their support team with their support chart for email. You’ll also be able to use their integration tools.
If you’re looking for that is more than the basics, then the Professional plan could be the one for you. The price starts at $99 but you can increase it when you add additional features.
So how different is it from the starter plan?
In addition to having access to each of Starter plan’s options, you also have access to their support via phone, API access, and sophisticated CSV import. Additionally, they allow you to have 12 free AutoFiles each year.
If you have a massive business, you might need to opt for premium plans instead. It comes with all the features needed to help with your taxes. Moreover, they allow unlimited integrations with data imports, API integrations, team users and AutoFiles.
They also have a team that is devoted for managing the account. But, they don’t divulge the price of the Premium plan. costs you. TaxJar Business Being Hurt By Amazon
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 bet your life on it to find out if the platform 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 if the platform is an excellent fit for you.
Pros and Pros and
We’ve covered everything you must be aware of TaxJar Let’s relax. To summarize we’ll go over the advantages and disadvantages of using TaxJar to run your business.
- Does the plan include the Tax Advisor option for some plans
- AutoFile features help to reduce time
- Available in most USA states
- Offers an online sales tax calculator
- Support Service Team
- The dashboard is simple to navigate
- Offers a 30-day free trial
- It is possible to integrate it 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 be able to access the API feature.
- Only applicable to USA customers.
- Owners and accountants should check local legislation
The Final Verdict
With everything laid out TaxJar is an excellent platform for businesses with multiple sales channels and uses many platforms. If this sounds like the way you’re doing, then you must try TaxJar.
It’s not just a way to help you track your revenue and products however, it will also help you meet your deadlines. It’s also an excellent opportunity for accountants since they have tax Advisor program. You can find tips and gain knowledge from their workshops about taxes through it.
Using TaxJar can help you save more time while keeping the track of each deadline or requirement you need to fulfill. If you’re living in an area with complex tax laws, this can definitely help you get your head around it. TaxJar Business Being Hurt By Amazon
But if handling your taxes is simple, then TaxJar could be a waste of expense. If you only have one or two sales channels, TaxJar won’t be needed to keep track of all of it. In addition, if you’re finding the entire procedure easy to complete and you’re comfortable with it, you may be better off doing it by yourself.
FAQ TaxJar Business Being Hurt By Amazon
What are the areas in which TaxJar offer API support?
TaxJar currently supports countries like those of the United States, the EU, Australia, and Canada.
Do I have the ability to integrate Shopify together with TaxJar?
Yes. You can link your Shopify account with TaxJar to make it easier to monitor and updates.
Are there any ways to exchange one type of currency using 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 will calculate your tax.