Taxes are always one of the most difficult things to handle regardless of whether you run a business or not. Even more so if you do not have a degree in finance or accounting. Tax-related tasks aren’t easy, particularly when you’re packed with things to do. When you’re not able to afford the budget to employ an accountant, making it yourself can be dangerous. If you make a mistake it could mean you have to redo things again!
Almost everyone wants to skip this step. But since it’s required and mandatory, there’s no other choice.
So , what can we do ?
We can always make our lives easier by using tools like TaxJar.
We’ll look at this well-known life-saving device and how it can benefit you. Even though this is lengthy but you’ll be able to gauge whether TaxJar is exactly what you need right now.
Do you prefer watching videos rather than watch them? Watch this video – by Marcus Stonelius on YouTube they also give a complete review of the features offered by TaxJar.
If you prefer to read, we’ll dive right into.
What exactly is TaxJar? TaxJar Linking Where Taxes Need To Be Collected
Founded in 2013, TaxJar is an online platform that assists you in automating your reporting, filings and sales tax calculation. It’s a solution for the entire life cycle. Furthermore, you can utilize it across all of your sales channels to make sure you’re in compliance with sales tax requirements. It makes the process simpler that could require days to complete and finish within just a few minutes.
TaxJar has been used in different industries such as food and beverage companies, SaaS, retail, services and even medical establishments.
What can it do to help you?
TaxJar is extensively used by owners of online businesses to ensure that everything is organized and straightforward. Let’s look into the benefits and features of TaxJar.
Services and features
One of the first things you’ll need to ensure you have a tax accounting platform perfectly integrates along with sales funnels. If you’re selling through multiple channels, it is essential to keep everything in place. The final thing you would like is to get a penalty for not paying attention to a minor thing.
TaxJar allows you to show your key metrics in one spot. That way, there’s no need to gather data in multiple channels and then organize it on one platform. All you have to do is integrate TaxJar, it will handle the rest.
Other than that, TaxJar also integrates with other platforms that help with payment processing. Here’s a list highlighting the platforms that they can connect with:
TaxJar allows clients to submit their sales tax either manually or via TaxJar’s AutoFile feature. In the purpose of this article, we’ll look at both.
If you choose to do it manually, TaxJar will allow you to connect all those sales tools. When the time is right for the filing of income tax returns The team will guide you on how to manage them. But, it is up to you and your team to complete everything within the timeframe. TaxJar will only help you understand what you need to do but not handle it.
If you’d prefer an Auto file, TaxJar will do the filling, which means you don’t have to fill out all forms by hand. With this feature, everything will be automated, from calculating sales taxes through recording, and then processing it. But, it is possible to incur extra fees if not part of the plan you select.
Sales Tax Reports
As we mentioned that you can utilize TaxJar to ease your accounting woes. Your orders from your e-commerce channels can be combined into a single dashboard through this platform. Once you’re on the platform, you and your team will have access to everything you need, such as a list of your transactions, reports, as well as the data.
The most appealing aspect of this feature is that they allow you to update your account automatically each day. Not only can they help you know how much you’ve accumulated however, they can also help you determine when your next payments are due.
Their dashboard can also allow you to fully view the overall sales taxes for your business. It is also possible to export the data to CSV format. CSV file if you need it for your process of financial planning and accounting or if your team needs it for central reporting.
Streamlining and Training
TaxJar helps organize and keep on top of all your sales channels. It means you don’t need to scramble for your documents when you need them when you’re in a pinch. Even if you already have your accountant, this feature can make them more efficient.
Additionally, knowing the figures for your sales tax in advance will allow you to allocate your funds better. You’ll know better how much budget you have for other operating expenses.
What’s more is that TaxJar offers training and tutorials and tutorials, not just for their platform , but also all things connected to sales tax. Check out their webinars, guides or blog posts for additional information. Apart from that, their sales tax calculator should be helpful if you’re planning on complete everything yourself.
How much does TaxJar cost?
We know how crucial it is to determine your budget. Some platforms provide amazing capabilities, but they’re often too costly for your business. This is why in this section we’ll examine TaxJar’s pricing tiers and what each of these plans can offer. Presently, TaxJar offers three plans including Professional, Starter and Premium.
The Starter plan starts at $19. The company claims that it’s the most suitable plan for you if you need help with filing requirements and reporting. It includes the tax on sales, 4 annual AutoFiles for free, as well as a CSV import. With the starter plan, you have access to their AI tax advice.
If you’re a small-scale business owner, this plan should be perfect for you. It may not have all the features of TaxJar however, it does include the essentials that you need.
Additionally, you can contact their customer support via their support chart for email. You’ll also be able to use their integration features.
If you’re looking for something that is more than the basics and options, then the Professional plan may be the best option for you. The price starts at $99 however, it could go up when you add additional features.
So how different is it from the original plan?
In addition to accessing every one of Starter plan’s features, you also have the support of their customer service via phone Access to APIs, phone support, and the ability to do advanced CSV import. Additionally, they allow you to get 12 AutoFiles for free each year.
If you run a large enterprise, you may want to opt for an upgrade instead. It comes with all the features that you require to make your tax filing easier. Additionally, they permit unlimited data import integrations, API integrationsfor team users and AutoFiles.
There is also a team who are devoted for managing the account. However, they don’t disclose the amount that the Premium plan will cost you. TaxJar Linking Where Taxes Need To Be Collected
However, they did mention that the plan is custom-made for each user. The cost of the plan will be different according to what you require for your company.
It’s a good thing that you don’t have to bet your life on it to find out if the platform is the right one for you. If you’re still looking into different options, they offer 30 days of free trial. It should give you enough time to determine if the platform is a good fit for you.
Pros and Pros and
Now that we’ve covered all you must know about TaxJar let’s take a breather. In order to sum up the whole thing Here are the advantages and disadvantages of using TaxJar for your business.
- Has the Tax Advisor option for some plans
- AutoFile features to reduce time
- Available in most USA states
- Provides an online sales tax calculator.
- Support Service Team
- The dashboard is easy to navigate
- It offers a free trial of 30 days.
- It is possible to integrate it with other platforms
- You can track several 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
- Owners and accountants should check local legislation
The Final Verdict
With everything laid out, TaxJar can be a great platform companies with numerous sales channels, and that utilizes many platforms. If that sounds like what you’re doing, then you should try this.
Not only will it aid in tracking the sales and profits of your business It can help you meet your deadlines. This is also an excellent opportunity for accountants since they offer the Tax Advisor program. You can get tips and gain knowledge from their workshops regarding taxes via it.
Using TaxJar will help you reduce time and keep on top of each deadline or requirement you need to meet. If you live in a place with complicated tax regulations, this will definitely help you get your head around it. TaxJar Linking Where Taxes Need To Be Collected
If handling taxes is easy, then TaxJar may be an unnecessary expense. If you’re only dealing with one or two sales channels, TaxJar won’t be needed to keep track of everything. If you find the whole procedure easy to complete and you’re comfortable with it, you may be better off doing it on your own.
FAQ TaxJar Linking Where Taxes Need To Be Collected
What are the areas in which TaxJar provide API support?
TaxJar currently works with countries like Australia, the United States, the EU, Australia, and Canada.
Can I integrate Shopify together with TaxJar?
Yes. You can connect your Shopify account with TaxJar to facilitate monitoring and updates.
Are there any ways to exchange one kind of currency using TaxJar?
Unfortunately, no. TaxJar doesn’t convert currencies. All transactions’ amounts are in US$. If you’re using another currency, you will need to convert it into USdollars before TaxJar determines the tax.