Taxes have always been one of the most difficult tasks to complete regardless of whether you run a business or not. Even more so if you do not have any experience in finance or accounting. Tax-related issues aren’t easy, particularly when your whole day is filled with tasks to complete. When you’re not able to afford enough money to hire an accountant, making it your own can be dangerous. If you overlook one thing, you might have to redo things again!
Nearly everyone would prefer to skip this step. However, since it’s mandatory to be done, we can’t choose not to.
So , what is the best way to deal with it?
It is always possible to simplify our lives by using tools like TaxJar.
This article will take a look at this well-known life-saving tool and explain how it can benefit you. While this is lengthy but you’ll be able to determine if TaxJar is the tool you require today.
Are you looking watching videos rather than watch them? Watch this video – by Marcus Stonelius on YouTube they also provide a comprehensive review of TaxJar’s features.
But for those who prefer to read, then let’s get right into it.
What exactly is TaxJar? TaxJar Llc
Founded in 2013, TaxJar is an online platform that assists you in automating your reports, filings, and sales tax calculation. TaxJar is a solution to your entire sales tax life cycle. In addition, you can apply it in all of your channels of sales to ensure compliance with sales tax requirements. It simplifies the processes that require days to complete and can be completed in a matter of only a few minutes.
TaxJar is used in different industries such as food and beverage businesses, SaaS, retail, services and even medical establishments.
What can it do to help you?
TaxJar is widely used by owners of online businesses to make their business more organized and straightforward. Let’s take a look at the benefits and features of TaxJar.
Features and services
One of the first things you’ll need to make sure is your tax-reporting software seamlessly works well with your sales channel. If you have multiple sales channels, you need to keep everything in place. The last thing you want is to get a penalty for not paying attention to a minor thing.
TaxJar allows you to display your most important metrics in one spot. This means that there is no need to collect data in multiple channels and sort it into one platform. All you have to do is to integrate TaxJar then the system will do all the rest.
In addition, TaxJar also integrates with other platforms that help in the process of making payments. Here’s a list highlighting the platforms that they can connect with:
TaxJar allows clients to file their sales taxes manually or through the AutoFile feature. For this review, we’ll take a look into both.
If you opt to go it alone, TaxJar will allow you to connect all of the sales channels you use. Once the time comes for filing income tax returns TaxJar will train you on how to manage the tax returns. But, it is up to you and your team members to finish the tax returns on time. TaxJar is only there to provide guidance on what you have to accomplish, but not manage it.
If you’d prefer an Auto file, TaxJar will do the filling for you. This means that you won’t need to fill out any forms manually. With this feature, everything will be automated, from calculating taxes on sales in order to record and process it. However, there might be extra fees if you do not include this feature in the plan you choose.
Sales Tax Reports
As I mentioned earlier that you can utilize TaxJar to ease your accounting issues. Your orders from your e-commerce channels can be compiled into one dashboard using this platform. Once you’re on the platform you and your staff can access everything you need, such as the list of transactions, reports, and the data.
The best part about the feature you’ve chosen is they allow you to update your account automatically each day. They not only let you know how much you’ve collected and how much you’ve earned, but they also let you keep track of when the next payment is due.
The dashboard allows you to fully view the sales tax totals within your company. Additionally, you can export your data to the form of a CSV file, if you want to use it in your accounting and financial planning processes or if your team needs it for centralized reporting.
Streamlining and Training
TaxJar assists in organizing and keeping the track of all your sales channels. That means you won’t have to search for your documents whenever you’re in a pinch. Even when 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 funds more effectively. You’ll know better how much budget you have available for other operating costs.
But what’s even better is that TaxJar offers tutorials and training not only for their platform but all things that has to do with sales tax. You can check out their guides, webinars, and blog for more information. Additionally, their sales tax calculator can be helpful if you’re planning on do everything on your own.
How much does TaxJar cost?
We understand how important it is to establish your budget. Some platforms provide amazing features, but they’re sometimes too costly for your business. That’s why for this section we’ll take a look at TaxJar’s pricing tiers and what each of these choices can provide you. At present, TaxJar offers three plans: Starter, Professional, and Premium.
The Starter plan costs $19. The company claims that it’s the most suitable plan for you to help you in filing and reporting. It comes with the tax on sales, four free yearly AutoFiles, and a CSV import. Even with the basic plan, you have access to their AI tax advice.
If you’re a smaller company manager, the plan should be perfect for you. It may not have all of TaxJar’s features, but it has all the basics you require.
In addition, you can reach their support team with their support chart for email. You’ll also be able to use their integration tools.
If you’re looking for different from the basics, then the Professional plan may be the best option for you. It’s priced at $99 however, it could go up by adding custom features.
So how different is it from the starter plan?
Apart from having access to each of Starter plan’s features, you also have the support of their customer service 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 company, you may need to opt for an upgrade instead. It comes with all the features you need to aid in your tax preparation. In addition, they offer unlimited data import integrations as well as Integrations with APIs, teams of users, and AutoFiles.
They also have a team that is devoted for managing the account. They don’t reveal the price of the Premium plan. costs you. TaxJar Llc
However, they did mention that the plan is custom-made to each user. Therefore, the cost will differ in line with what you require for your business.
Luckily, you don’t have to gamble your money just to determine if this service is right for you. If you’re still considering other options, they have 30 days of free trial. This should give you enough time to gauge whether the software is the right choice for you.
Pros and Cons
After we’ve gone over everything you need to be aware of TaxJar let’s take a break. In order to sum up the whole thing, here are the advantages and disadvantages of making use of TaxJar to run your business.
- There is the Tax Advisor option for some plans
- AutoFile features can help you save time
- Available in most USA states
- Offers on the internet for sales tax calculator
- Support Service Team
- The dashboard is simple to navigate
- Offers a 30-day free trial
- It is able to be integrated with other platforms.
- You can track several 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 valid for USA customers
- It is important for owners and accountants to review local laws
The Final Verdict
With everything clearly laid out, TaxJar provides a fantastic platform to businesses with multiple sales channels and uses plenty of platforms. If that’s what you’re doing, then you ought to try this.
Not only will it assist you in keeping track of your revenue and products, but it can help you meet the deadlines you set. It is also a great platform for an accountant since they provide the Tax Advisor program. You can get tips and get knowledge from their seminars regarding taxes via it.
Utilizing TaxJar will help you save more time while keeping on top of each deadline and requirement you have to meet. If you’re living in a region with a lot of tax laws, this can definitely help you get your head around the subject. TaxJar Llc
If handling your taxes is simple, then TaxJar might not be a good expense. If you only have one or two channels of sales, TaxJar won’t be needed to keep track of everything. If you find the whole procedure simple to follow and you’re comfortable with it, you may be better in doing it all by yourself.
FAQ TaxJar Llc
Which areas does TaxJar provide API support?
TaxJar currently supports countries like Australia, the United States, the EU, Australia, and Canada.
Do I have the ability to connect Shopify together with TaxJar?
Yes. You can sync your Shopify account with TaxJar for easier monitoring and updates.
Are there any ways to exchange one kind of currency using TaxJar?
Unfortunately, no. TaxJar doesn’t convert currency values. All of the transactions’ amounts are in US$. If you’re using another currency, you’ll need to convert it into USdollars prior to when TaxJar can calculate the tax.