Taxes are always one of the most difficult tasks to complete 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 work can be overwhelming, especially when your whole day is filled with tasks to complete. In the event that you do not have the funds to hire an accountant, making it your own could be risky. If you overlook one thing it could mean you have to do it all over again!
Nearly everyone would prefer to skip this step. But , as it’s a requirement to be done, we can’t choose not to.
What can we do about it?
It is always possible to simplify our lives with tools such as TaxJar.
We’ll look at this well-known life-saving tool and how it can benefit you. Even though this is a long read, you should be able to gauge whether TaxJar is what you need today.
Are you looking to watch videos instead? Take a look at this video by Marcus Stonelius on YouTube they also do a full analysis of TaxJar’s features.
If you prefer to read, then let’s dive right in.
What is TaxJar? TaxJar Calc
Founded in 2013, TaxJar is a platform that helps automate your filings, reports, and sales tax calculations. TaxJar is a solution to the entire life cycle. Additionally, you can use it in all of your channels of sales to make sure you’re in compliance with sales tax requirements. It simplifies the processes that take days to complete and is completed in just a few 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.
How can it help you?
TaxJar is extensively used by business owners who run online businesses to keep everything neat and simple. Let’s explore the features and services offered by TaxJar.
Features and services
One of the most important things you’ll need to ensure is your tax-reporting software seamlessly works well in conjunction with the sales channels you use. If you’re using multiple sales channels, you need to maintain everything in line. The last thing you want is to get a penalty for overlooking just one minor detail.
TaxJar allows you to show your most important metrics in one spot. So, there’s no requirement to collect data from different channels and sort it into a single platform. All you have to do is to integrate TaxJar, and the platform will do all the rest.
In addition, TaxJar also integrates with other platforms that can help with payment processing. Here’s a list of the platforms they are able to integrate with:
TaxJar lets customers make sales tax filings either manually or via TaxJar’s AutoFile feature. In our review we’ll take a look into both.
If you opt to manually file your tax returns, TaxJar will allow you to connect your sales platforms. Once the time comes for filing tax returns for income, the team will instruct you on how to handle the tax returns. It is up for you and your team members to complete the process on time. TaxJar is there to guide you on what you have to do , but not to handle it.
If you’d prefer an Auto file, TaxJar will do the filling – that means you don’t have to fill out any forms manually. With this feature, everything will be automated from calculating sales tax to recording and processing them. There could be additional costs if the feature is not part of the plan you chose.
Sales Tax Reports
As mentioned earlier that you can utilize TaxJar to assist you with your accounting problems. The orders you place through your online channels can be put together into one dashboard using this platform. Once you’re on the platform you and your team will have access to everything you need, such as an inventory of your transactions, reports, as well as data.
The greatest benefit of this option is the fact that they allow you to update automatically every day. Not only will they let you keep track of how much you’ve collected, but they also help 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. Additionally, you can export the information to a CSV file in case you require it for your accounting and financial planning processes or if you require it for centralized reporting.
Training and Streamlining
TaxJar assists in organizing and keeping the track of all your sales channels. This means that you don’t have to scramble for your documents when you need them in the event of a need. Even when you already have your accountant, this feature will help them be 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 to cover other operating expenses.
But what’s even better is that TaxJar provides training and tutorials and tutorials, not just for their platform but everything related to sales tax. Check out their guides, webinars, and blog for more details. In addition their sales tax calculator can be helpful if you’re planning on complete everything yourself.
How much does TaxJar cost?
We know how crucial it is to determine your budget. Some platforms offer superb capabilities, but they’re often too expensive for businesses. This is why in this section we’ll examine TaxJar’s pricing structures and what each of those options can offer you. Currently, TaxJar offers three plans including Professional, Starter and Premium.
The Starter plan is priced at $19. The company claims that it’s the best plan if you need help with filing requirements or reporting. It comes with taxes on sales and sales as well as four autofiles for free each year, and a CSV import. Even with the basic plan, you can access their AI tax tips.
If you’re a small-scale business manager, the plan should be ideal for you. It may not offer all the features of TaxJar however, it does include the essentials that you need.
You can also contact their support team with their support chart for email. You’ll also have access to their integration tools.
If you’re looking for something that is more than the basics Professional could be the one for you. It starts at $99, however, it could go up if you add custom features.
What is the difference from the starter plan?
In addition to having access to all of the Starter plan’s features, you also have their support via phone, API access, and sophisticated CSV import. You can also get 12 AutoFiles for free each year.
If you have a massive business, you might need to go for the Premium plan instead. It includes all of the features you need to aid in your tax preparation. In addition, they offer unlimited import integrations of data, API integrations, team members, and AutoFiles.
They also have a staff who are devoted to managing your account. They don’t reveal the price of the Premium plan. costs you. TaxJar Calc
However, they did say that the plan is custom-made for every user. So the costs will vary in line with what you require to run your business.
It’s a good thing that you don’t have to bet your life on it to find out if the platform is the right one for you. If you’re still looking into various options, they provide the opportunity to try a free trial for 30 days. This should give you enough time to see whether the software is the right choice for you.
Pros and Cons
We’ve covered everything you need to know about TaxJar let’s take a breather. In order to sum up the whole thing Here are the advantages and disadvantages of making use of TaxJar for your business.
- Does the plan include the Tax Advisor option for some plans
- AutoFile features save time
- Available in most USA states
- Provides on the internet for sales tax calculator.
- Support service team
- The dashboard is simple to navigate
- The company offers a 30-day trial for free.
- It is able to be integrated with other platforms.
- Allows you to track multiple sales channels
- Limits for AutoFile are based on the plan
- AutoFile has extra fees
- Some countries won’t have access to the API feature
- Only applicable to USA customers.
- Needs accountants and owners to review local laws
The Final Verdict
With everything clearly laid down, TaxJar provides a fantastic platform to businesses with numerous sales channels, and that utilizes plenty of platforms. If that sounds like what you’re doing, then you ought to try this.
Not only will it help you track the sales and profits of your business however, it will assist you in meeting the deadlines you set. This is also an excellent opportunity for accountants since they provide a Tax Advisor program. There are tips to follow and get knowledge from their seminars on taxes by using it.
The use of TaxJar can allow you to save more time while keeping the track of each deadline or requirement you need to fulfill. If you live in a place with complicated tax laws, this will definitely help you get your head around the subject. TaxJar Calc
But if handling your taxes is simple and straightforward, then TaxJar may be an unnecessary expense. 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 and you’re comfortable with it, you may be better in doing it all by yourself.
FAQ TaxJar Calc
What areas does TaxJar offer API assistance?
TaxJar currently supports countries like the United States, the EU, Australia, and Canada.
Can I integrate Shopify 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 with TaxJar?
Unfortunately, no. TaxJar cannot convert currencies. The transaction amounts are n US$. If you’re using a different currency, you will need to convert it to USUSD before TaxJar can calculate your tax.