Taxes have always been among the most difficult tasks to complete regardless of whether you’re running a business or not. Even more so if you do not have a degree in finance or accounting. Tax-related work can be overwhelming, particularly when you’re full of things to be done. When you’re not able to afford the funds to employ an accountant, doing it on your own can be dangerous. If you make a mistake it could mean you have to do it all over again!
Nearly everyone would prefer to avoid this step. But , as it’s a requirement, we have no choice.
So , what can we do about it?
We can make life easier by using tools like TaxJar.
Here we’ll take a look at this life-saving device and how it can help you. While this is a long read but you’ll be able to gauge whether TaxJar is exactly what you need right now.
Do you prefer video streaming instead? Check out 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 we’ll dive right into.
What exactly is TaxJar? TaxJar For Etsy
In 2013, TaxJar was established. TaxJar is an online platform that assists you in automating your reporting, filings and sales tax calculation. It’s a solution for your entire sales tax life cycle. Additionally, you can use it across all of the sales channels you use to ensure that you are in compliance with your sales taxes. It simplifies the processes that require days to complete and finish within minutes.
TaxJar is used in a variety of industries, including food and beverage companies, SaaS, retail, services, and even medical institutions.
What can it do to help you?
TaxJar is used extensively by owners of online businesses to make their business more organized and straightforward. Let’s look into their features and services.
Features and services
One of the most important things you’ll need to make sure is that your accounting tax platform perfectly integrates in conjunction with the sales channels you use. 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 lets you display your critical metrics in one place. So, there’s no requirement to collect information from multiple sources and organize it into a single platform. All you have to do is to integrate TaxJar, and the platform will take care of the rest.
Other than that, 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 file their sales taxes either manually or via the AutoFile feature. For this review, we’ll dig into both.
If you choose to do it manually, TaxJar will allow you to connect all the sales channels you use. When the time is right for filing tax returns for income The team will guide you on managing these. But, it is up to you and your staff to complete everything in time. TaxJar will only provide guidance on what you need to accomplish, but not manage it.
If you prefer an Auto file, TaxJar will do the filling, which means you don’t have to submit any forms manually. This feature will ensure that everything will be automated, from calculating taxes on sales to recording and processing it. But, it is possible to incur extra fees if not part of the plan you chose.
Sales Tax Reports
As we mentioned it is possible to use TaxJar to ease your accounting woes. All orders made through your e-commerce channels can be compiled into a single dashboard through this platform. From there, you and your team can access everything you need, such as the list of transactions, reports and information.
The greatest benefit of the feature you’ve chosen is they allow you to update automatically every day. They not only let you keep track of how much you’ve accumulated, but they also help you keep track of when the next payments are due.
The dashboard allows you to fully view the total sales tax within your company. Additionally, you can export the information in the form of a CSV file if you need it for your financial planning and accounting processes or if your team needs it for central reporting.
Streamlining and Training
TaxJar assists in organizing and keeping the track of all the channels you sell through. 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 accountant, this feature will make them more efficient.
Additionally, knowing the figures for your sales tax in advance will help you plan your money more efficiently. You’ll be aware of the budget you have for other operating expenses.
The best part is that TaxJar offers training and tutorials not only for their platform but all things that has to do with sales tax. You can check out their webinars, guides and blog for more information. Apart from that the sales tax calculator should be useful if you’re planning to take on the entire task yourself.
How much does TaxJar cost?
We understand how important it is to set your budget. Certain platforms have amazing features, but they can be too costly for the business you run. For this reason we’ll examine TaxJar’s pricing levels and what each of these plans can offer. Currently, TaxJar offers three plans that are: Professional, Starter and Premium.
Their Starter plan starts at $19. The company claims that it’s the most effective plan to help you in filing and reporting. It includes taxes on sales and sales as well as four annual AutoFiles for free, as well as an CSV import. Even with the basic plan, you will be able to access their AI tax advice.
If you’re a smaller company proprietor, then this program could be perfect for you. It may not offer all the features of TaxJar, but it has all the basics you require.
Additionally, you can contact their support team with their email support chart. You’ll also have access to their integration capabilities.
If you’re looking for something that is more than the basic features Professional might be the right one for you. It’s priced at $99 but it can go higher when you add additional features.
What is the difference from the original plan?
Apart from having access to each of Starter plan’s features, you also get access to the support of their customer service via phone, API access, and the ability to do advanced CSV import. You can also get 12 AutoFiles for free each year.
If you run a large company, you may need to opt for an upgrade instead. It has all of the features you need to make your tax filing easier. Additionally, they permit unlimited data import integrations API integrationsfor team users and AutoFiles.
There is also a team dedicated in managing your accounts. But, they don’t divulge the amount that the Premium plan will cost you. TaxJar For Etsy
However, they did mention that this plan is customized for every user. So the costs will vary depending on what you need for your company.
Luckily, you don’t have to bet your life on it to determine if this service is for you. If you’re still considering other options, they have the opportunity to try a free trial for 30 days. This should give you enough time to determine whether the service is the right choice for you.
Pros and Cons
Now that we’ve covered all you should know about TaxJar Let’s relax. In order to sum up the whole thing we’ll go over the advantages and disadvantages of the use of TaxJar to run your business.
- There is a Tax Advisor option for some plans
- AutoFile features help to reduce time
- Available in most USA states
- Offers Taxes on sales online calculator.
- Support service team
- The dashboard is simple to navigate
- It offers a free trial of 30 days.
- It can be integrated with other platforms
- Allows you to track multiple sales channels
- AutoFile limit is based on the plan
- AutoFile has extra fees
- Some countries won’t be able to access the API feature
- Only valid for USA customers
- Owners and accountants should review local laws
The Final Verdict
With everything clearly laid out, TaxJar is an excellent platform for companies that have many sales channels and utilizes plenty of platforms. If that sounds like what you’re doing, then you should try this.
It’s not just a way to help you track the sales and profits of your business, but it can also help you meet your deadlines. This is also an excellent opportunity for accountants since they provide tax Advisor program. You can get tips and get knowledge from their seminars on taxes by using it.
The use of TaxJar can help you reduce time and keep track of every deadline or requirement you need to meet. If you’re living in an area with complex tax laws, this can definitely help you get your head around it. TaxJar For Etsy
But if handling taxes is easy and straightforward, then TaxJar might not be a good investment. If you only have one or two channels of sales, TaxJar won’t be needed to track all of it. If you’re finding the entire procedure easy to complete, you might be better to do it on your own.
FAQ TaxJar For Etsy
Which areas does TaxJar offer API support?
TaxJar currently works with countries like the United States, the EU, Australia, and Canada.
Do I have the ability to incorporate Shopify into TaxJar?
Yes. You can sync your Shopify account with TaxJar for easier monitoring and updates.
Do I have the ability to convert every type of currency with TaxJar?
Unfortunately, no. TaxJar does not convert currencies. The transaction amounts are n US$. If you’re using another currency, you’ll have to convert it to USUSD prior to when TaxJar will calculate the tax.