Taxes have always been among the hardest things to do regardless of whether you run an enterprise or not. More so if you don’t have a degree in finance or accounting. Tax-related work can be overwhelming, particularly when your whole day is filled with tasks to complete. In the event that you do not have enough money to employ an accountant, performing the task on yourself can be dangerous. If you miss one detail and you don’t know it, you may have to redo things again!
Most people want to skip this step. However, since it’s mandatory, we have no choice.
What is the best way to deal with it?
We can always make our lives easier by using tools like TaxJar.
This article will take a look at this popular life-saving tool and how it can assist you. Even though this is lengthy it is possible to assess whether TaxJar is what you need right now.
Are you looking video streaming instead? Check out this video – by Marcus Stonelius on YouTube they also give a complete review of TaxJar’s features.
If you prefer to read, then let’s get right into it.
What is TaxJar TaxJar Integration With Xero
The company was founded in 2013 TaxJar is an application that automatizes your reports, filings, and sales tax calculation. TaxJar is a solution to all aspects of your sales tax cycle. In addition, you can apply it across all your sales channels to ensure that you are in compliance with sales tax requirements. It simplifies the processes that take days to complete and finish within only a few minutes.
TaxJar has been used in various industries like food and beverage companies, SaaS, retail, services, and even medical institutions.
How can it help you?
TaxJar is widely used by owners of online businesses to make their business more organized and straightforward. Let’s explore their features and services.
Features and services
One of the first things you’ll need to ensure you have a tax accounting system is compatible with your sales channel. If you’re using multiple sales channels, it is essential to maintain everything in line. The final thing you would like is to face a penalty due to overlooking just one minor detail.
TaxJar allows you to show your most important data in one location. That way, there’s no need to gather information from multiple sources and sort it into one platform. All you have to do is to integrate TaxJar, then the system will do all the rest.
Other than that, TaxJar also integrates with other platforms to assist with payment processing. Here’s a list highlighting the platforms they are able to integrate with:
TaxJar lets customers file their sales taxes by hand or using the AutoFile feature. In the purpose of this article, we’ll look into both.
If you choose to do it manually, TaxJar will allow you to connect all of the sales channels you use. When the time is right for the filing of income tax returns The team will guide you on managing these. But, it is up for you and your team to finish the tax returns on time. TaxJar is there to guide you on what you need to do but not handle it.
If you would prefer an Auto file, TaxJar will do the filling – that means you don’t have to fill out any forms manually. With this feature, everything will be automated from calculating sales taxes in order to record and process them. There could be additional costs if the feature is not included in the plan you chose.
Sales Tax Reports
As mentioned earlier it is possible to use TaxJar to help you with your accounting woes. Your orders from your e-commerce channels can be combined into a single dashboard through this platform. From there you and your staff will have access to all the information you require, including a list of your transactions, reports, as well as data.
The greatest benefit of the feature you’ve chosen is 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 also allows you to see the overall sales taxes within your company. It is also possible to export the data in CSV format. CSV file in case you require it to aid in financial planning and accounting processes or if you require it for centralized reporting.
Training and Streamlining
TaxJar helps you organize and keep the track of all the channels you sell through. It means you don’t need to hunt for your paperwork when you’re in a pinch. Even if you already have your accounting firm, the feature will aid them in being more efficient.
Furthermore, knowing the estimated amount for the sales tax you pay in advance will help you plan your money more efficiently. You’ll be aware of the budget you have available for other operating costs.
But what’s even better is that TaxJar provides training and tutorials and tutorials, not just on their platform, but all things related to sales tax. You can check out their guides, webinars, or blog posts for additional information. Additionally the sales tax calculator should be helpful if you’re planning on complete everything yourself.
How much does TaxJar cost?
We understand how important it is to set your budget. Some platforms provide amazing capabilities, but they’re often too costly for the business you run. This is why in this section we’ll take a look at TaxJar’s pricing structures and the features that each of these options can offer you. At present, TaxJar offers three plans including Professional, Starter and Premium.
Their Starter plan is priced at $19. They claim that it’s the most effective plan for those who need assistance 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 starter plan, you can access their AI tax tips.
If you’re a small-scale business manager, the plan could be ideal for you. It may not offer all the features offered by TaxJar, but it has the essentials that you need.
You can also contact the support team via their email support chart. Additionally, you’ll have access to their integration capabilities.
If you’re looking for something different from the basic features Professional may be the best option for you. The price starts at $99 however, it could go up by adding custom features.
So how different is it from the starter plan?
In addition to accessing every one of Starter plan’s features, you also have their phone customer support, API access, and the ability to do advanced CSV import. They also allow you to have 12 free AutoFiles each year.
If you have a massive enterprise, you may want to go for an upgrade instead. It comes with all the features you need to aid in your tax preparation. Additionally, they permit unlimited integrations with data imports as well as API integrationsfor team users and AutoFiles.
They also have a staff that is devoted in managing your accounts. But, they don’t divulge the amount that the Premium plan will cost you. TaxJar Integration With Xero
However, they did mention that this plan is tailor-fit for every user. The cost of the plan will be different in line with what you require for your business.
Luckily, you don’t have to bet your life on it to see if this platform is the right one for you. If you’re still looking into different options, they offer a 30-day free trial. This should be enough time to determine if the platform is the right choice for you.
Pros and Cons
After we’ve gone over everything you should know about TaxJar let’s take a breather. To summarize, here are the advantages and disadvantages of using TaxJar for your company.
- Has the Tax Advisor option for some plans
- AutoFile features can help you to reduce time
- Available in most USA states
- Provides on the internet for sales tax calculator.
- Support Service Team
- The dashboard is simple to navigate
- The company offers a 30-day trial for free.
- It is able to 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 have access to the API feature.
- Only valid for USA customers.
- Needs accountants and owners to recheck local legislations
The Final Verdict
With everything laid out, TaxJar provides a fantastic platform to companies that have many sales channels and utilizes plenty of platforms. If that sounds like what you’re doing, then you must try TaxJar.
It’s not just a way to assist you in keeping track of your revenue and products, but it can also help you meet the deadlines you set. It is also a great option for accountants as they provide the Tax Advisor program. There are tips to follow and learn from their sessions about taxes through it.
The use of TaxJar can help you reduce time and keep the track of each deadline and requirement you have to fulfill. If you’re living in a region with a lot of tax laws, this can surely help you wrap your head around it. TaxJar Integration With Xero
However, if managing your taxes is simple and straightforward, then TaxJar might not be a good investment. If you’re only dealing with one or two channels of sales, TaxJar won’t be needed to track all of it. If you find the whole procedure simple to follow then you’re better in doing it all by yourself.
FAQ TaxJar Integration With Xero
Which areas does TaxJar provide API assistance?
TaxJar currently supports countries like Australia, the United States, the EU, Australia, and Canada.
Can I connect Shopify into 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 doesn’t convert currencies. The transactions are in US$. If you’re using another currency, you’ll need to convert it into USUSD prior to when TaxJar determines your tax.