Taxes have always been one of the most difficult things to handle regardless of whether you run an enterprise or not. More so if you don’t have a degree in finance or accounting. Tax-related tasks aren’t easy, particularly when you’re full of things to be done. In the event that you do not have the budget to hire an accountant, performing the task on your own can be dangerous. If you make a mistake and you don’t know it, you may have to redo things again!
Nearly everyone would prefer to skip this step. However, since it’s mandatory and mandatory, there’s no other choice.
So , what can we do ?
It is always possible to simplify our lives with tools such as TaxJar.
Here we’ll take a look at this well-known life-saving tool and explain how it can benefit you. Although this is quite lengthy it is possible to assess whether TaxJar is exactly what you need today.
Prefer to watch videos instead? Watch this video – by Marcus Stonelius on YouTube they also provide a comprehensive analysis of TaxJar’s features.
For those who like to read, then let’s get right into it.
What exactly is TaxJar? TaxJar Gem
Founded in 2013, TaxJar is an application that automatizes your reports, filings, and sales tax calculations. TaxJar is a solution to your entire sales tax life cycle. Additionally, you can use it in all of your channels of sales to ensure compliance with sales taxes. It makes the process simpler that could can take days to complete, and is completed in just a few minutes.
TaxJar is used in various industries like food and beverage businesses, SaaS, retail, services as well as medical institutions.
How can this help you?
TaxJar is used extensively by online business owners to keep everything neat and simple. Let’s look into their features and services.
Features and services
One of the first things you’ll need to ensure is your tax-reporting software is compatible with your sales channel. If you’re selling through multiple channels, you need to ensure that everything is in order. The last thing you want is to get a penalty for not paying attention to a minor thing.
TaxJar allows you to show your most important metrics in one place. So, there’s no need to gather data in multiple channels and then organize it on a single platform. All you need to do is connect TaxJar, and the platform will do the rest.
Apart from that, TaxJar also integrates with other platforms that help with payments. Here’s a list of the platforms they can integrate with:
TaxJar allows clients to file their sales taxes by hand or using TaxJar’s AutoFile feature. For our review we’ll take a look into both.
If you opt to go it alone, TaxJar will allow you to connect those sales tools. When it comes time to the filing of income tax returns The team will guide you on managing the tax returns. But, it is up for you and your staff to complete everything in time. TaxJar is only there to provide guidance on what you should do , but not to handle it.
If you would prefer an Auto file, TaxJar will do the filling – that means you won’t need to fill out the forms in a manual manner. This feature will ensure that everything will be automated from calculating sales tax through recording, and then processing it. However, there might be extra fees if not part of the plan you choose.
Sales Tax Reports
As mentioned earlier it is possible to use TaxJar to help you with your accounting problems. All orders made through your e-commerce channels can be combined into one dashboard using this platform. Once you’re on the platform you and your team will have access to all the information you require, including a list of your transactions, reports and information.
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, but they also help you track when your following payment is due.
Their dashboard also allows you to see the total sales tax within your company. It is also possible to export your data as CSV format. CSV file in case you require it to aid in process of financial planning and accounting or if you require it to run centralized reports.
Streamlining and Training
TaxJar assists in organizing and keeping on top of all the sales avenues you use. That means you won’t have to hunt for your paperwork when you’re when you’re in a pinch. Even if you already have your accountant, this feature will make them more efficient.
Furthermore, knowing the estimated amount for your sales tax in advance can help you allocate your funds more effectively. You’ll be aware of the budget you have available for other operating costs.
But what’s even better is that TaxJar offers tutorials and training, not just on their platform, but for anything related to sales tax. Check out their webinars, guides or blog posts for additional details. Additionally the sales tax calculator can be useful if you’re planning to take on the entire task yourself.
How much does TaxJar cost?
We know how crucial it is to determine your budget. Some platforms offer superb features, but they’re sometimes too costly for the business you run. That’s why for this section we’ll take a look at TaxJar’s pricing tiers and what each of those plans can offer. At present, TaxJar offers three plans: Starter, Professional, and Premium.
Their Starter plan starts at $19. They claim that it’s the most suitable plan for you to help you in filing and reporting. It includes the tax on sales, four annual AutoFiles for free, as well as an CSV import. With the starter plan, you will be able to access their AI tax recommendations.
If you’re a small business proprietor, then this program will be ideal for you. It may not offer all the features offered by TaxJar, but it has all the basics you require.
Additionally, you can contact the support team via their email support chart. You’ll also have access to their integration tools.
If you’re looking for something a bit more than just the standard features Professional could be the one for you. It starts at $99, but it can go higher by adding custom features.
How different is it from the starter plan?
In addition to having access to every one of Starter plan’s features, you also have their support via phone Access to APIs, phone support, and sophisticated CSV import. You can also receive 12 free AutoFiles every year.
If you own a huge company, you may need to go for the Premium plan instead. It comes with all the features you need to aid in your tax preparation. Additionally, they permit unlimited import integrations of data as well as Integrations with APIs, teams of members, and AutoFiles.
They also have a team dedicated for managing the account. But, they don’t divulge the price of the Premium plan. is going to cost. TaxJar Gem
However, they did say that this plan is tailor-fit for each user. Therefore, the cost will differ in line with what you require for your company.
It’s a good thing that you don’t have to risk your money to determine if this service is for you. If you’re still considering other options, they have 30 days of free trial. This should give you enough time to determine whether the software is a good fit for you.
Pros and Cons
After we’ve gone over everything you should be aware of TaxJar let’s take a break. In order to sum up the whole thing, here are the advantages and disadvantages of using TaxJar for your business.
- Has a Tax Advisor option for some plans
- AutoFile features can help you to reduce time
- Available in most USA states
- Offers on the internet for sales tax calculator
- Has support service team
- The dashboard is easy to navigate
- Offers a 30-day free trial
- 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
- Certain countries will not 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 clearly laid out, TaxJar is an excellent platform for businesses with multiple sales channels and uses many platforms. If that sounds like what you’re doing, then you must try TaxJar.
It’s not just a way to aid in tracking your products and revenue however, it will help you meet your deadlines. This is also an excellent platform for an accountant since they offer tax Advisor program. You can get tips and get knowledge from their seminars regarding taxes via it.
The use of TaxJar can allow you to save more time while keeping the track of each deadline and requirement you have to meet. If you’re in a region with a lot of tax laws, this can surely help you wrap your head around the subject. TaxJar Gem
But if handling your taxes is straightforward If it isn’t, then TaxJar may be an unnecessary expense. If you have only one or two channels for sales, TaxJar won’t be needed to keep track of all of it. Moreover, if you’re finding the entire procedure easy to complete and you’re comfortable with it, you may be better off doing it on your own.
FAQ TaxJar Gem
Which areas does TaxJar provide API support?
TaxJar is currently assisting countries such as those of the United States, the EU, Australia, and Canada.
Can I connect Shopify into TaxJar?
Yes. You can link your Shopify account to 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 currencies. All transaction amounts are n USdollars. If you’re using another currency, you’ll need to convert it to USUSD prior to when TaxJar can calculate the tax.