Taxes are always one of the most difficult things to handle, whether you’re running your own business or not. Particularly if you don’t have a degree in finance or accounting. Tax-related issues can be overwhelming, especially when you’re filled with tasks to complete. When you’re not able to afford the funds to hire an accountant, performing the task on your own could be risky. If you miss one detail it could mean you need to repeat the process!
Almost everyone wants to skip this step. However, since it’s mandatory, we have no choice.
So , what can we do about it?
We can always make our lives easier by using tools like TaxJar.
We’ll look at this life-saving tool and how it can help you. Even though this is a long read but you’ll be able to assess whether TaxJar is the tool you require today.
Are you looking to watch videos instead? Check out this video – by Marcus Stonelius on YouTube they also do a full review of the features offered by TaxJar.
For those who like to read, then let’s get right into it.
What is TaxJar TaxJar Mission Statement
The company was founded in 2013 TaxJar is an application that automatizes your reporting, filings and sales tax calculation. TaxJar is a solution to your entire sales tax life cycle. In addition, you can apply it across all of your channels of sales to make sure you’re in compliance with your sales taxes. It makes the process simpler that could can take days to complete, and is completed in just a few 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 used extensively by business owners who run online businesses to keep everything simple and organized. Let’s look into their features and services.
Features and services
One of the most important things you’ll need to ensure is your tax-reporting platform perfectly integrates in conjunction with the sales channels you use. If you’re selling through multiple channels, you need to ensure that everything is in order. The final thing you would like is to be penalized for not paying attention to a minor thing.
TaxJar lets you display your key data in one location. That way, there’s no requirement to collect data in multiple channels and sort it into a single platform. All you have to do is integrate TaxJar, then the system will handle the rest.
Other than that, TaxJar also integrates with other platforms that help with payments. Here’s a list of the platforms they can integrate with:
TaxJar allows clients to file their sales taxes manually or through TaxJar’s AutoFile feature. For the purpose of this article, we’ll dig at both.
If you decide to manually file your tax returns, TaxJar will allow you to connect all of your sales platforms. When the time is right for the filing of income tax returns, the team will instruct you on how to handle these. It is up for you and your staff to complete the process on time. TaxJar is there to provide guidance on what you have to do , but not to handle it.
If you would prefer an Auto file, TaxJar will do the filling – that means you won’t need to fill out all forms by hand. With this feature, everything is automated, from calculating taxes on sales through recording, and then processing it. However, there might be additional charges if they are not part of the plan you chose.
Sales Tax Reports
As I mentioned earlier it is possible to use TaxJar to help you with your accounting problems. 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 staff will have access to everything you need, like an inventory of your transactions, reports, and data.
The most appealing aspect of the feature you’ve chosen is it lets you to automatically update every day. They not only let you keep track of how much you’ve earned, but they also help you determine when your next payments are due.
Their dashboard also allows users to view in detail the overall sales taxes within your company. It is also possible to export the data in the form of a CSV file if you need it to aid in financial planning and accounting processes or if your team needs it to run centralized reports.
Streamlining and Training
TaxJar assists in organizing and keeping the track of all the sales avenues you use. That means you won’t have to search for your documents when you’re when you’re in a pinch. Even when you already have your accountant, this function will help them be more efficient.
Furthermore, knowing the estimated amount for your sales tax ahead of time can help you allocate your funds more effectively. You’ll know exactly how much budget you have for other operating costs.
What’s more is that TaxJar provides training and tutorials, not just for their platform but for anything related to sales tax. Check out their webinars, guides, or blog posts for additional information. Apart from that their sales tax calculator is beneficial when you’re planning to take on the entire task yourself.
How much does TaxJar cost?
We are aware of how important it is to set your budget. Certain platforms have amazing features, but they’re sometimes too expensive for businesses. That’s why for this section, we’ll look into TaxJar’s pricing structures and what each of those options can offer you. Currently, TaxJar offers three plans: Starter, Professional, and Premium.
The Starter plan costs $19. They claim that it’s the most effective plan to help you in filing and reporting. It also includes the tax on sales, 4 annual AutoFiles for free, as well as a CSV import. Even with the basic plan, you will be able to access their AI tax tips.
If you’re a small company proprietor, then this program could be perfect for you. It might not include all the features of TaxJar, but it has the basic features you require.
You can also contact their support team with their email support chart. You’ll also be able to use their integration tools.
If you’re looking for something that is more than the basics Professional may be the best option for you. It starts at $99, but it can go higher when you add additional features.
How different is it from the starter plan?
In addition to having access to every one of Starter plan’s features, you also have the support of their customer service via phone, API access, and sophisticated CSV import. They also allow you to have 12 free AutoFiles each year.
If you own a huge company, you may need to opt for the Premium plan instead. It has all of the features you need to make your tax filing easier. Moreover, they allow unlimited import integrations of data, API integrationsfor team users as well as AutoFiles.
They also have a team who are devoted in managing your accounts. But, they don’t divulge how much the Premium plan will cost you. TaxJar Mission Statement
But they did state that this plan is customized for each user. Therefore, the cost will differ depending on what you need for your company.
Luckily, you don’t have to risk your money to determine if this service is the right one for you. If you’re still looking into other options, they have the opportunity to try a free trial for 30 days. It should give you enough time to gauge whether the software is the right choice for you.
Pros and Pros and
Now that we’ve covered all you need to be aware of TaxJar let’s take a break. In order to sum up the whole thing Here are the pros and cons of the use of TaxJar to run your business.
- Has the Tax Advisor option for some plans
- AutoFile features help to reduce time
- Available in most USA states
- Offers an online sales tax calculator
- Has support service team
- The dashboard is simple to navigate
- Offers a 30-day free trial
- It can be integrated with other platforms.
- It allows you to monitor multiple sales channels
- AutoFile limit is based on the plan
- AutoFile has extra fees
- Certain countries will not be able to access the API feature
- Only valid for USA customers
- Owners and accountants should check local legislation
The Final Verdict
With everything laid out, TaxJar is an excellent platform for businesses with many sales channels and utilizes many platforms. If that sounds like what you’re doing, then must try TaxJar.
Not only can it help you track your products and revenue It can help you meet your deadlines. This is also an excellent option for accountants as they have tax Advisor program. There are tips to follow and gain knowledge from their workshops on taxes by using it.
The use of TaxJar can allow you to get more done while keeping track of every deadline and obligation you have to meet. If you’re in a place with complicated tax laws, this can surely help you wrap your head around it. TaxJar Mission Statement
If handling your taxes is simple and straightforward, then TaxJar may be an unnecessary investment. If you have only one or two channels for sales, TaxJar won’t be needed to track all of it. If you find the entire process easy to do then you’re better to do it by yourself.
FAQ TaxJar Mission Statement
What areas does TaxJar offer API assistance?
TaxJar is currently assisting countries such as the United States, the EU, Australia, and Canada.
Can I incorporate Shopify together with TaxJar?
Yes. You can connect your Shopify account with TaxJar for easier monitoring and updates.
Do I have the ability to convert every type of currency using TaxJar?
Unfortunately, no. TaxJar cannot convert currency values. All of the transactions are in US$. If you’re using a different currency, you will need to convert it into USdollars before TaxJar will calculate your tax.