Taxes are always one of the most difficult things to handle regardless of whether you run your own business or not. Even more so if you do not have a background in finance or accounting. Tax-related tasks can be overwhelming, especially when you’re filled with tasks to complete. If you don’t have enough money to hire an accountant, doing it on your own could be dangerous. If you make a mistake, you might have to redo things again!
Almost everyone wants to skipping this step. But since it’s required, we have no choice.
What can we do about it?
We can make life easier by using tools like TaxJar.
Here we’ll take a look at this popular life-saving device and how it can assist you. While this is a long read but you’ll be able to gauge whether TaxJar is the tool you require today.
Do you prefer watching videos rather than watch them? Take a look at this video by Marcus Stonelius on YouTube they also do a full review of the features offered by TaxJar.
But for those who prefer to read, then let’s dive right in.
What is TaxJar? TaxJar Marketplace Facilitator
In 2013, TaxJar was established. TaxJar is an application that automatizes your reports, filings, and sales tax calculations. It’s a solution for the entire life cycle. In addition, you can apply it in all of your channels of sales to ensure that you are in compliance with sales taxes. It simplifies the processes that require days to complete and can be completed in a matter of just a few minutes.
TaxJar has been utilized in various industries like food and beverage companies, SaaS, retail, services, and even medical institutions.
How can this help you?
TaxJar is extensively used by owners of online businesses to make their business more neat and simple. Let’s look into the benefits and features of TaxJar.
Features and services
One of the most important things you’ll need to ensure is your tax-reporting platform seamlessly works well in conjunction with the sales channels you use. If you have multiple sales channels, you need to keep everything in place. The most important thing is not to be penalized for overlooking just one minor detail.
TaxJar allows you to show your critical metrics in one spot. That way, there’s no need to collect information from multiple sources and organize it into one platform. All you have to do is to integrate TaxJar then the system will do the rest.
In addition, TaxJar also integrates with other platforms to assist with payment processing. Here’s a list of platforms they can integrate with:
TaxJar lets customers submit their sales tax by hand or using their AutoFile feature. In our review we’ll take a look at both.
If you choose to manually file your tax returns, TaxJar will allow you to connect the sales channels you use. Once the time comes for filing tax returns for income The team will guide you on managing the tax returns. But, it is up for you and your team members to finish the tax returns on time. TaxJar is only there to help you understand what you have to do but not handle it.
If you’d prefer an Auto file, TaxJar will do the filling – that means you don’t have to fill out any forms manually. Through this feature, everything is automated, from calculating taxes on sales to recording and processing them. However, there might be additional costs if the feature is you do not include this feature in the plan you chose.
Sales Tax Reports
As we mentioned, you can use TaxJar to assist you with your accounting issues. Your orders from your e-commerce channels can be combined into one dashboard using this platform. From there you and your team will have access to everything you require, including the list of transactions, reports, and the data.
The most appealing aspect of the feature you’ve chosen is they allow you to update your account automatically each day. They not only let to know the amount you’ve collected and how much you’ve earned, but they also let you track when your following payments are due.
Their dashboard can also allow users to view in detail the sales tax totals for your business. Additionally, you can export the information in CSV format. CSV file, if you want to use it in your process of financial planning and accounting or if you require it for central reporting.
Training and Streamlining
TaxJar assists in organizing and keeping the track of all your sales channels. This means that you don’t have to search for your documents whenever you’re in the event of a need. Even if you already have your accounting firm, the feature will help them be more efficient.
Moreover, knowing the estimates for your sales tax ahead of time can help you allocate your money more efficiently. You’ll know exactly how much budget you have for other operating costs.
But what’s even better is that TaxJar offers tutorials and training, not just on their platform, but everything related to sales tax. You can check out their webinars, guides, and blog for more info. In addition 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 offer superb features, but they’re sometimes too costly for the business you run. For this reason, we’ll look into TaxJar’s pricing structures and what each of these choices can provide you. Presently, TaxJar offers three plans including Professional, Starter and Premium.
Their Starter plan costs $19. They claim that it’s the most suitable plan for you if you need help in filing and reporting. It also includes sales tax reporting, four autofiles for free each year, and the option of a CSV import. Even with the starter plan, you have access to their AI tax tips.
If you’re a small-scale company manager, the plan could be perfect for you. It might not include all of TaxJar’s features however, it does include all the basics you require.
Additionally, you can contact their support team with their support chart for email. You’ll also be able to use their integration features.
If you’re looking to get that is more than the basic features Professional could be the one for you. It starts at $99, however, it could go up if you add custom features.
What is the difference from the starter plan?
Apart from having access to each of Starter plan’s options, you also have access to their phone customer support, API access, and sophisticated CSV import. Additionally, they allow you to receive 12 free AutoFiles every year.
If you own a huge enterprise, you may want to opt for premium plans instead. It has all of the features you need to help with your taxes. Additionally, they permit unlimited data import integrations Integrations with APIs, teams of users and AutoFiles.
They also have a staff dedicated in managing your accounts. But, they don’t divulge the amount that the Premium plan is going to cost. TaxJar Marketplace Facilitator
However, they did say that this plan is tailor-fit for every user. Therefore, the cost will differ in line with what you require for your company.
Luckily, you don’t have to risk your money to find out if the platform is for you. If you’re still looking into various options, they provide 30 days of free trial. This should be enough time to determine if the platform is the right choice for you.
Pros and Cons
Now that we’ve covered all you should know about TaxJar let’s take a break. In order to sum up the whole thing Here are the pros and cons of making use of TaxJar to run your business.
- Has the Tax Advisor option for some plans
- AutoFile features save time
- Available in most USA states
- Offers an online sales tax calculator
- Support Service Team
- The dashboard is easy to navigate
- The company offers a 30-day trial for free.
- It is possible to integrate it with other platforms
- It allows you to monitor 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
- Needs accountants and owners to check local legislation
The Final Verdict
With everything clearly laid down, TaxJar provides a fantastic platform to companies that have numerous sales channels, and that utilizes many platforms. If that sounds like what you’re doing, then must try TaxJar.
Not only will it aid in tracking the sales and profits of your business It can also help you meet the deadlines you set. It is also a great platform for an accountant since they have a Tax Advisor program. There are tips to follow and learn from their sessions about taxes through it.
Utilizing 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 an area with complex tax laws, this can definitely help you get your mind around it. TaxJar Marketplace Facilitator
If handling your taxes is simple and straightforward, then TaxJar could be a waste of investment. If you’re only dealing with one or two sales channels, TaxJar won’t be needed to track everything. Moreover, if you find the whole procedure easy to complete, you might be better to do it on your own.
FAQ TaxJar Marketplace Facilitator
Which areas does TaxJar provide API support?
TaxJar is currently assisting countries such as Australia, the United States, the EU, Australia, and Canada.
Do I have the ability to integrate Shopify with TaxJar?
Yes. You can link your Shopify account to TaxJar to facilitate monitoring and updates.
Are there any ways to exchange one type of currency using TaxJar?
Unfortunately, no. TaxJar cannot convert currencies. All transactions are in US$. If you’re using another currency, you’ll have to convert it into USdollars before TaxJar determines the tax.