Taxes are always one of the most difficult tasks to complete, whether you’re running your own business or not. More so if you don’t have a background in accounting or finance. Tax-related work aren’t easy, particularly when you’re full of things to be done. In the event that you do not have the budget to engage an accountant making it yourself can be risky. If you make a mistake it could mean you have to redo things again!
Most people want to skip this step. However, since it’s mandatory, we have no choice.
So what can we do ?
We can simplify our lives by using tools like TaxJar.
We’ll look at this well-known life-saving tool and how it can assist you. Even though this is lengthy it is possible to determine if TaxJar is exactly what you need today.
Prefer to watch videos instead? Check out this video – by Marcus Stonelius on YouTube they also provide a comprehensive review of TaxJar’s features.
For those who like to read, let’s dive right in.
What exactly is TaxJar? TaxJar Labs
In 2013, TaxJar was established. TaxJar is an online platform that assists you in automating your reports, filings, and sales tax calculations. It is a solution for all aspects of your sales tax cycle. Furthermore, you can utilize it across all your channels of sales to ensure that you are in compliance with sales taxes. It streamlines processes that can take days to complete, and is completed in just a few minutes.
TaxJar is used in various industries like food and beverage companies, SaaS, retail, services, and even medical institutions.
How can it help you?
TaxJar is used extensively by business owners who run online businesses to make their business more neat and simple. Let’s explore the features and services offered by TaxJar.
Features and services
One of the most important things you’ll need to make sure you have a tax accounting platform is compatible with your sales channel. If you’re selling through multiple channels, you need to keep everything in place. The most important thing is not to be penalized for missing a single minor point.
TaxJar lets you display your key metrics in one place. That way, there’s no need to collect information from multiple sources and sort it into one platform. All you need to do is to integrate TaxJar, then the system will do the rest.
In addition, TaxJar also integrates with other platforms that help with payment processing. Here’s a list highlighting the platforms they can integrate with:
TaxJar allows clients to make sales tax filings either manually or via their AutoFile feature. For this review, we’ll dig at both.
If you opt to manually file your tax returns, TaxJar will allow you to connect all of your sales platforms. When the time is right for filing income tax returns The team will guide you on managing these. But, it is up to you and your team to finish the tax returns within the timeframe. TaxJar will only help you understand what you have to do , but not to handle it.
If you prefer an Auto file, TaxJar will do the filling for you. This means that you don’t have to fill out any forms manually. Through this feature, everything will be automated, from calculating sales tax in order to record and process it. But, it is possible to incur additional costs if the feature is not part of the plan you select.
Sales Tax Reports
As mentioned earlier, you can use TaxJar to assist 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 team can access everything you need, like the list of transactions, reports and data.
The best part about this feature is that they allow you to automatically update every day. Not only can they help to know the amount you’ve collected however, they can also help you determine when your next payments are due.
The dashboard allows users to view in detail the sales tax totals for your business. Additionally, you can export the information as CSV format. CSV file, if you want to use it for your accounting and financial planning processes or if your team requires it for central reporting.
Training and Streamlining
TaxJar helps you organize and keep the track of all the channels you sell through. That means you won’t have to hunt for your paperwork whenever you’re in the event of a need. Even if you already have your accountant, this function can aid them in being more efficient.
Moreover, knowing the estimates for the sales tax you pay in advance can help you allocate your money more efficiently. You’ll be aware of the budget you have available for other operational costs.
But what’s even better is that TaxJar offers tutorials and training, not just for their platform but for anything that has to do with sales tax. You can check out their webinars, guides, as well as their blog to find more information. In addition their sales tax calculator can be beneficial when you’re planning to complete everything 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 expensive for businesses. That’s why for this section we’ll examine TaxJar’s pricing tiers and what each of those plans can offer. Presently, TaxJar offers three plans including Professional, Starter and Premium.
The Starter plan starts at $19. They claim that it’s the most suitable plan for you to help you with filing requirements and reporting. It includes sales tax reporting, four autofiles for free each year, and the option of a CSV import. Even with the starter plan, you will be able to access their AI tax tips.
If you’re a small-scale business manager, the plan will be perfect for you. It might not include all of TaxJar’s features however, it does include all the basics you require.
You can also contact their support team with their email support chart. You’ll also be able to use their integration capabilities.
If you’re looking for something different from the basics Professional may be the best option for you. The price starts at $99 but it can go higher if you add custom features.
What is the difference from the starter plan?
In addition to accessing each of Starter plan’s features, you also have their support via phone access to APIs, as well as sophisticated CSV import. Additionally, they allow you to have 12 free AutoFiles each year.
If you run a large business, you might need to choose premium plans instead. It comes with all the features needed to make your tax filing easier. In addition, they offer unlimited integrations with data imports API integrationsfor team members and AutoFiles.
They also have a staff who are devoted for managing the account. They don’t reveal the price of the Premium plan. is going to cost. TaxJar Labs
But they did state that this plan is tailor-fit for each user. The cost of the plan will be different depending on what you need for your business.
Luckily, you don’t have to bet your life on it to find out if the platform is for you. If you’re still considering different options, they offer a 30-day free trial. It should give you enough time to determine whether the software is a good fit for you.
Pros and Cons
We’ve covered everything you must be aware of TaxJar let’s take a break. To summarize Here are the advantages and disadvantages of making use of TaxJar for your company.
- Does the plan include the Tax Advisor option for some plans
- AutoFile features save time
- Available in most USA states
- Provides an online sales tax calculator
- Support Service Team
- The dashboard is simple to navigate
- The company offers a 30-day trial for free.
- It can 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
- Some countries won’t be able to access the API feature.
- Only applicable to USA customers
- Owners and accountants should review local laws
The Final Verdict
With everything laid out, TaxJar can be a great platform businesses with many sales channels and utilizes plenty of platforms. If this sounds like the way you’re doing, then you ought to try this.
Not only will it aid in tracking your revenue and products, but it can assist you in meeting your deadlines. It’s also an excellent platform for an accountant since they have tax Advisor program. There are tips to follow and learn from their sessions on taxes by using it.
The use of TaxJar can help you get more done while keeping the track of each deadline and obligation you have to meet. If you’re living in a place with complicated tax laws, this will certainly help you to get your mind around it. TaxJar Labs
However, if managing taxes is easy and straightforward, then TaxJar might not be a good expense. If you’re only dealing with one or two channels of sales, TaxJar won’t be needed to track everything. If you find the entire procedure easy to complete and you’re comfortable with it, you may be better to do it on your own.
FAQ TaxJar Labs
Which areas does TaxJar offer API assistance?
TaxJar currently supports countries like those of the United States, the EU, Australia, and Canada.
Do I have the ability to integrate Shopify into TaxJar?
Yes. You can sync your Shopify account to TaxJar to make it easier to monitor and updates.
Do I have the ability to convert every kind of currency with TaxJar?
Unfortunately, no. TaxJar does not convert currencies. All of the transactions are in US$. If you’re using a different currency, you’ll need to convert it to US$ before TaxJar can calculate your tax.