Taxes have always been among the hardest things to do, whether you’re running your own business or not. More so if you don’t have a degree in finance or accounting. Tax-related issues can be overwhelming, especially when you’re full of things to be done. If you don’t have enough money to employ an accountant, performing the task on your own could be risky. If you overlook one thing and you don’t know it, you may have to do it all over again!
Almost everyone wants to avoid this step. However, since it’s mandatory, we have no choice.
So what can we do about it?
We can always make our lives easier by using tools like 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 an extensive read it is possible to gauge whether TaxJar is the tool you require in the present.
Prefer video streaming instead? Watch this video – by Marcus Stonelius on YouTube they also do a full review of TaxJar’s features.
But for those who prefer to read, we’ll dive right into.
What is TaxJar? TaxJar Colorado
The company was founded in 2013 TaxJar is a platform that helps automate your reporting, filings and sales tax calculation. It is a solution for your entire sales tax life cycle. Furthermore, you can utilize it in all of your sales channels to make sure you’re in compliance with your sales taxes. It makes the process simpler that could require days to complete and is completed in just a few minutes.
TaxJar is used in a variety of industries, including food and beverage companies, SaaS, retail, services and even medical establishments.
What can it do to help you?
TaxJar is widely used by owners of online businesses to ensure that everything is simple and organized. Let’s take a look at the benefits and features of TaxJar.
Features and services
One of the first things you’ll need to make sure you have a tax accounting platform is compatible with your sales channel. If you have multiple sales channels, it is essential to keep everything in place. The most important thing is not to face a penalty due to overlooking just one minor detail.
TaxJar lets you display your key metrics in one place. So, there’s no need to gather data from different channels and organize it into one platform. All you have to do is integrate TaxJar then the system will take care of the rest.
Apart from that, TaxJar also integrates with other platforms that help with payments. Here’s a list of platforms that they can connect with:
TaxJar allows customers to make sales tax filings by hand or using their AutoFile feature. For this review, we’ll look into both.
If you choose to manually file your tax returns, TaxJar will allow you to connect all of your sales platforms. When the time is right for the filing of income tax returns, the team will instruct you on how to manage them. But, it is up for you and your team members to finish the tax returns within the timeframe. TaxJar is only there to guide you on what you have to do but not handle it.
If you would prefer an Auto file, TaxJar will do the filling for you. This means that you don’t have to fill out all forms by hand. With this feature, everything will be automated from calculating taxes on sales to recording and processing it. There could be additional charges if they are you do not include this feature in the plan you select.
Sales Tax Reports
As I mentioned earlier it is possible to use TaxJar to assist you with your accounting issues. Your orders from your e-commerce channels can be compiled into a single dashboard via this platform. Once you’re on the platform you and your staff can access everything you require, including an inventory of your transactions, reports, as well as data.
The most appealing aspect of the feature you’ve chosen is they allow you to update automatically every day. Not only will they let you keep track of how much you’ve accumulated however, they can also help you keep track of when the next payments are due.
Their dashboard also allows you to see the total sales tax within your company. Additionally, you can export the information as the form of a CSV file in case you require it to aid in process of financial planning and accounting or if your team needs it for central reporting.
Training and Streamlining
TaxJar assists in organizing and keeping the track of all the sales avenues you use. This means that you don’t have to scramble for your documents when you’re when you’re in a pinch. Even when you already have your accounting firm, the feature can make them more efficient.
Furthermore, knowing the estimated amount for your sales tax in advance can help you allocate your money more efficiently. You’ll know exactly how much budget you have to cover other operating costs.
The best part is that TaxJar offers tutorials and training, not just for their platform but everything related to sales tax. You can check out their guides, webinars, as well as their blog to find more details. In addition the sales tax calculator is useful if you’re planning to complete everything yourself.
How much does TaxJar cost?
We understand how important it is to determine your budget. Some platforms offer superb capabilities, but they’re often too costly for the business you run. For this reason, we’ll look into TaxJar’s pricing tiers and the features that each of these options can offer you. Presently, TaxJar offers three plans that are: Professional, Starter and Premium.
Their Starter plan is priced at $19. The company claims that it’s the most suitable plan for you if you need help with filing requirements and reporting. It comes with taxes on sales and sales as well as four free yearly AutoFiles, and a CSV import. Even with the starter plan, you will be able to access their AI tax recommendations.
If you’re a small-scale business proprietor, then this program will be ideal for you. It might not include all the features of TaxJar, but it has all the basics you require.
In addition, you can reach the support team via their support chart for email. You’ll also have access to their integration tools.
If you’re looking for different from the basic features and options, then the Professional plan may be the best option for you. It starts at $99, but you can increase it by adding custom features.
How different is it from the starter plan?
In addition to having access to each of Starter plan’s features, you also get access to the support of their customer service via phone access to APIs, as well as the ability to do advanced CSV import. They also allow you to receive 12 free AutoFiles every year.
If you have a massive business, you might need to go for premium plans instead. It comes with all the features you need to make your tax filing easier. Additionally, they permit unlimited integrations with data imports Integrations with APIs, teams of users, and AutoFiles.
There is also a team dedicated in managing your accounts. However, they don’t disclose the amount that the Premium plan will cost you. TaxJar Colorado
But they did state that this plan is customized to each user. Therefore, the cost will differ according to what you require for your company.
Luckily, you don’t have to gamble your money just to determine if this service is for you. If you’re still considering other options, they have a 30-day free trial. This should give you enough time to determine whether the service is a good fit for you.
Pros and Cons
We’ve covered everything you need to be aware of TaxJar let’s take a breather. To sum it all up, here are the pros and cons of the use of TaxJar for your business.
- Has a Tax Advisor option for some plans
- AutoFile features can help you save time
- Available in most USA states
- Provides Taxes on sales online calculator
- Support Service Team
- The dashboard is easy to navigate
- The company offers a 30-day trial for free.
- It is able to be integrated with other platforms.
- You can track several 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 review local laws
The Final Verdict
With everything laid down, TaxJar provides a fantastic platform to businesses with numerous sales channels, and that utilizes many platforms. If that’s what you’re doing, then you should try this.
Not only can it help you track your products and revenue It can also help you meet the deadlines you set. This is also an excellent opportunity for accountants since they provide a Tax Advisor program. You can get tips and gain knowledge from their workshops about taxes through it.
Utilizing TaxJar can help you reduce time and keep the track of each deadline and obligation you have to fulfill. If you’re in a region with a lot of tax laws, this can certainly help you to get your head around it. TaxJar Colorado
If handling your taxes is simple and straightforward, then TaxJar may be an unnecessary investment. If you’re only dealing with one or two channels of sales, TaxJar won’t be needed to keep track of all of it. If you’re finding the entire procedure easy to complete then you’re better off doing it on your own.
FAQ TaxJar Colorado
What areas does TaxJar provide API support?
TaxJar currently works with countries like Australia, the United States, the EU, Australia, and Canada.
Can I incorporate Shopify with TaxJar?
Yes. You can sync your Shopify account with TaxJar to make it easier to monitor and updates.
Are there any ways to exchange one kind of currency using TaxJar?
Unfortunately, no. TaxJar does not convert currency values. The transaction amounts are n USdollars. If you’re using a different currency, you will need to convert it into USUSD prior to when TaxJar will calculate your tax.