Taxes are always one of the most difficult things to handle regardless of whether you run a business or not. More so if you don’t have any experience in finance or accounting. Tax-related issues can be overwhelming, especially when you’re filled with tasks to complete. In the event that you do not have the budget to hire an accountant, performing the task on your own can be risky. If you make a mistake it could mean you have to do it all over again!
Most people want to avoid this step. However, since it’s mandatory and mandatory, there’s no other choice.
So , what can we do ?
We can simplify our lives with tools such as TaxJar.
This article will take a look at this well-known life-saving tool and explain how it can benefit you. While this is an extensive read, you should be able to gauge whether TaxJar is what you need today.
Prefer watching videos rather than watch them? Take a look at this video by Marcus Stonelius on YouTube they also give a complete review of the features offered by TaxJar.
If you prefer to read, then we’ll dive right into.
What is TaxJar TaxJar For Shopify
In 2013, TaxJar was established. TaxJar is a platform that helps automate your reporting, filings and sales tax calculations. TaxJar is a solution to the entire life cycle. Additionally, you can use it across all of your sales channels to make sure you’re in compliance with sales taxes. It simplifies the processes that take days to complete and finish within minutes.
TaxJar has been used in various industries like food and beverage companies, SaaS, retail, services and even medical establishments.
How can this help you?
TaxJar is extensively used by owners of online businesses to ensure that everything is organized and straightforward. Let’s explore their features and services.
Features and services
One of the most important things you’ll need to ensure you have a tax accounting software seamlessly works well along with sales funnels. If you’re using multiple sales channels, you must keep everything in place. The final thing you would like is to get a penalty for overlooking just one minor detail.
TaxJar allows you to show your critical metrics in one spot. So, there’s no need to gather data from different channels and then organize it on 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 can integrate with:
TaxJar allows clients to make sales tax filings by hand or using TaxJar’s AutoFile feature. For the purpose of this article, we’ll take a look into both.
If you opt to do it manually, TaxJar will allow you to connect the sales channels you use. When it comes time to filing income tax returns, the team will instruct you on how to manage them. However, it will be up to you and your team members to complete everything in time. TaxJar will only guide you on what you have to do but not handle it.
If you’d prefer an Auto file, TaxJar will do the filling – that means you don’t have to fill out all forms by hand. This feature will ensure that everything will be automated from calculating sales taxes through recording, and then processing them. However, there might be additional costs if the feature is not part of the plan you select.
Sales Tax Reports
As I mentioned earlier, you can use TaxJar to help you with your accounting problems. Your orders from your e-commerce channels can be combined into one dashboard using this platform. From there you and your team will have access to everything you need, like an inventory of your transactions, reports, as well as data.
The most appealing aspect of this option is the fact that it lets you to automatically update every day. Not only can they help you keep track of how much you’ve earned and how much you’ve earned, but they also let you track when your following payment is due.
Their dashboard can also allow you to see the total sales tax in your business. Additionally, you can export the data in CSV format. CSV file if you need it to aid in financial planning and accounting processes or if your team requires it for centralized reporting.
Streamlining and Training
TaxJar helps organize and keep track of all of your sales channels. That means you won’t have to scramble for your documents when you’re in the event of a need. Even even if you already have an accountant, this feature will make them more efficient.
Additionally, knowing the figures for your sales tax ahead of time will help you plan your funds more effectively. You’ll know exactly how much budget you have to cover other operating costs.
What’s more is that TaxJar provides training and tutorials not only for their platform but all things connected to sales tax. Check out their webinars, guides as well as their blog to find more information. In addition, their sales tax calculator is useful if you’re planning to complete everything yourself.
How much does TaxJar cost?
We know how crucial it is to determine your budget. Certain platforms have amazing features, but they can be too expensive for businesses. This is why in this section we’ll take a look at TaxJar’s pricing structures and what each of those choices can provide you. Presently, TaxJar offers three plans that are: Professional, Starter and Premium.
The Starter plan costs $19. They claim that it’s the most suitable plan for you for those who need assistance with filing requirements and reporting. It includes taxes on sales and sales as well as 4 free yearly AutoFiles, and the option of a CSV import. Even with the starter plan, you can access their AI tax tips.
If you’re a smaller company proprietor, then this program will 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 tools.
If you’re looking for something that is more than the basic features, then the Professional plan could be the one for you. It starts at $99, but it can go higher by adding custom features.
What is the difference from the basic plan?
In addition to having access to every one of Starter plan’s options, you also have access to their support via phone, API access, and advanced CSV import. Additionally, they allow you to receive 12 free AutoFiles every year.
If you run a large business, you might need to opt for an upgrade instead. It includes all of the features needed to aid in your tax preparation. In addition, they offer unlimited data import integrations, API integrationsfor team users as well as AutoFiles.
They also have a staff dedicated in managing your accounts. But, they don’t divulge the price of the Premium plan. is going to cost. TaxJar For Shopify
However, they did say that this plan is customized for each user. The cost of the plan will be different depending on what you need to run 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 other options, they have a 30-day free trial. This should give you enough time to see whether the software is an excellent fit for you.
Pros and Cons
After we’ve gone over everything you need to be aware of TaxJar Let’s relax. To summarize we’ll go over the advantages and disadvantages of using TaxJar for your business.
- Has the Tax Advisor option for some plans
- AutoFile features help save time
- Available in most USA states
- Provides an online sales tax calculator
- Support Service Team
- The dashboard is easy to navigate
- Offers a 30-day free trial
- It is able to be integrated with other platforms.
- It allows you to monitor multiple sales channels
- Limits on AutoFile are determined by the plan
- AutoFile has extra fees
- Certain countries will not have access to the API feature.
- Only applicable for USA customers
- Owners and accountants should recheck local legislations
The Final Verdict
With everything clearly laid down, TaxJar is an excellent platform for companies with numerous sales channels, and that utilizes numerous platforms. If that’s what you’re doing, then you must try TaxJar.
It’s not just a way to assist you in keeping track of the sales and profits of your business It can also help you meet the deadlines you set. This is also an excellent platform for an accountant since they provide a Tax Advisor program. There are tips to follow and learn from their sessions about taxes through it.
Utilizing TaxJar can allow you to get more done while keeping on top of each deadline or requirement you need to meet. If you’re living in a place with complicated tax regulations, this will definitely help you get your head around the subject. TaxJar For Shopify
But if handling taxes is easy and straightforward, then TaxJar might not be a good expense. If you have only one or two sales channels, TaxJar won’t be needed to track everything. In addition, if you find the entire process easy to do then you’re better to do it on your own.
FAQ TaxJar For Shopify
What are the areas in which 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 together with TaxJar?
Yes. You can connect 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 currency values. All of the transaction amounts are n US$. If you’re using a different currency, you’ll have to convert it to USdollars before TaxJar will calculate the tax.