Taxes have always been among the hardest things to do regardless of whether you’re running a business or not. Particularly if you don’t have any experience in accounting or finance. Tax-related work can be overwhelming, particularly when your whole day is packed with things to do. When you’re not able to afford the budget to engage an accountant making it your own can be dangerous. If you make a mistake it could mean you need to repeat the process!
Nearly everyone would prefer to skipping this step. However, since it’s mandatory, we have no choice.
What can we do about it?
We can always simplify our lives by using tools like TaxJar.
Here we’ll take a look at this life-saving tool and explain how it can help you. Even though this is an extensive read but you’ll be able to gauge whether TaxJar is exactly what you need right now.
Prefer to watch videos instead? Take a look at this video by Marcus Stonelius on YouTube they also do a full review of the features offered by TaxJar.
But for those who prefer to read, let’s get right into it.
What is TaxJar TaxJar Collecting Sales Tax Pa
In 2013, TaxJar was established. TaxJar is an online platform that assists you in automating your reporting, filings and sales tax calculations. It’s a solution for your entire sales tax life cycle. Additionally, you can use it across all your channels of sales to ensure that you are in compliance with sales tax requirements. It streamlines processes that can take days to complete, and finish within minutes.
TaxJar has been used in different industries such as food and beverage businesses, SaaS, retail, services and even medical establishments.
What can it do to help you?
TaxJar is used extensively by business owners who run online businesses to keep everything organized and straightforward. Let’s take a look at their features and services.
Services and features
One of the most important things you’ll need to ensure you have a tax accounting platform seamlessly works well along with sales funnels. If you have multiple sales channels, you must ensure that everything is in order. The last thing you want is to face a penalty due to not paying attention to a minor thing.
TaxJar allows you to show your key data in one location. That way, there’s no requirement to collect data from different channels and then organize it on a single platform. All you need to do is connect TaxJar it will do the rest.
Apart from that, TaxJar also integrates with other platforms to assist with payments. Here’s a list of platforms they are able to integrate with:
TaxJar allows clients to submit their sales tax manually or through their AutoFile feature. In the purpose of this article, we’ll look at both.
If you choose to manually file your tax returns, TaxJar will allow you to connect all those sales tools. When it comes time to filing tax returns for income The team will guide you on how to handle them. However, it will be up for you and your team members to complete the process on time. TaxJar will only provide guidance on what you should accomplish, but not manage it.
If you prefer an Auto file, TaxJar will do the filling, which means you don’t have to fill out all forms by hand. With this feature, everything will be automated, from calculating taxes on sales in order to record and process them. However, there might be additional costs if the feature is not included in the plan you chose.
Sales Tax Reports
As we mentioned, you can use TaxJar to ease your accounting problems. All orders made through your e-commerce channels can be put together into a single dashboard via this platform. From there you and your staff will have access to everything you need, like an inventory of your transactions, reports, as well as the data.
The most appealing aspect of this option is the fact that they allow you to update automatically every day. They not only let to know the amount you’ve accumulated and how much you’ve earned, but they also let you determine when your next payment is due.
Their dashboard can also allow you to see the total sales tax for your business. You can also export your data to the form of a CSV file in case you require it to aid in financial planning and accounting processes or if you require it for central reporting.
Streamlining and Training
TaxJar assists in organizing and keeping track of all of the channels you sell through. That means you won’t have to scramble for your documents when you’re when you’re in a pinch. Even if you already have your accounting firm, the feature will make them more efficient.
Moreover, knowing the estimates for your sales tax in advance will allow you to allocate your funds better. You’ll know better how much budget you have available for other operating expenses.
The best part is that TaxJar offers tutorials and training, not just on their platform, but for anything related to sales tax. Check out their guides, webinars, as well as their blog to find more information. In addition their sales tax calculator is useful if you’re planning to take on the entire task yourself.
How much does TaxJar cost?
We know how crucial it is to establish your budget. Some platforms offer superb features, but they’re sometimes too costly for the business you run. For this reason, we’ll look into TaxJar’s pricing structures and what each of these options can offer you. At present, TaxJar offers three plans that are: Professional, Starter and Premium.
The Starter plan is priced at $19. The company claims that it’s the most suitable plan for you to help you in filing and reporting. It includes the tax on sales, four autofiles for free each year, and a CSV import. With the starter plan, you can access their AI tax recommendations.
If you’re a smaller business owner, this plan will be ideal for you. It might not include all of TaxJar’s features but it comes with the essentials that you need.
Additionally, you can contact their support team with their support chart for email. You’ll also have access to their integration tools.
If you’re looking to get a bit more than just the basic features and options, then the Professional plan could be the one for you. It starts at $99, however, it could go up when you add additional features.
What is the difference from the starter plan?
In addition to having access to all of the Starter plan’s options, you also have access to the support of their customer service via phone Access to APIs, phone support, and sophisticated CSV import. They also allow you to have 12 free AutoFiles each year.
If you own a huge enterprise, you may want to opt for premium plans instead. It comes with all the features you need to make your tax filing easier. In addition, they offer unlimited integrations with data imports as well as API integrations, team users, and AutoFiles.
They also have a staff that is devoted to managing your account. However, they don’t disclose the amount that the Premium plan will cost you. TaxJar Collecting Sales Tax Pa
However, they did mention that this plan is tailor-fit for every user. The cost of the plan will be different according to what you require for your business.
Luckily, you don’t have to bet your life on it to see if this platform is for you. If you’re still looking into different options, they offer 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 should know about TaxJar let’s take a breather. To sum it all up Here are the advantages and disadvantages of making use of TaxJar for your company.
- Has the Tax Advisor option for some plans
- AutoFile features help to reduce time
- Available in most USA states
- Offers an online sales tax calculator.
- Has support service team
- The dashboard is simple to navigate
- The company offers a 30-day trial for free.
- 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 be able to access the API feature.
- Only valid for USA customers
- It is important for owners and accountants to recheck local legislations
The Final Verdict
With everything laid out, TaxJar provides a fantastic platform to businesses with many sales channels and utilizes plenty of platforms. If this sounds like the way you do, then you must try TaxJar.
It’s not just a way to help you track your products and revenue however, it will also help you meet the deadlines you set. This is also an excellent opportunity for accountants since they provide tax Advisor program. There are tips to follow and gain knowledge from their workshops on taxes by using it.
Using TaxJar can allow you to save more time while keeping on top of each deadline and requirement you have to meet. If you’re living in a place with complicated tax laws, this can surely help you wrap your head around it. TaxJar Collecting Sales Tax Pa
If handling your taxes is straightforward and straightforward, then TaxJar might not be a good expense. If you’re only dealing with one or two channels for sales, TaxJar won’t be needed to keep track of all of it. In addition, if you find the entire procedure simple to follow, you might be better to do it on your own.
FAQ TaxJar Collecting Sales Tax Pa
Which areas does 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 connect Shopify with TaxJar?
Yes. You can sync your Shopify account with TaxJar to make it easier to monitor and updates.
Do I have the ability to convert every type of currency using TaxJar?
Unfortunately, no. TaxJar does not convert currency values. All of the transactions are in US$. If you’re using another currency, you’ll need to convert it into USUSD prior to when TaxJar can calculate the tax.