Taxes have always been among the most difficult tasks to complete regardless of whether you’re running your own business or not. More so if you don’t have a background in accounting or finance. Tax-related tasks can be overwhelming, particularly when you’re full of things to be done. In the event that you do not have the budget to engage an accountant doing it on your own can be risky. If you miss one detail it could mean you have to redo things again!
Most people want to skipping this step. But since it’s required, we have no choice.
What can we do ?
We can make life easier by using tools like TaxJar.
This article will take a look at this life-saving tool and how it can benefit you. Although this is quite a long read it is possible to gauge whether TaxJar is what you need in the present.
Are you looking video streaming instead? Take a look at this video by Marcus Stonelius on YouTube they also give a complete review of the features offered by TaxJar.
For those who like to read, then let’s get right into it.
What is TaxJar? TaxJar Pitchbook
In 2013, TaxJar was established. TaxJar is an application that automatizes your reporting, filings and sales tax calculation. It is a solution for the entire life cycle. In addition, you can apply it across all your sales channels to make sure you’re in compliance with sales tax requirements. It makes the process simpler that could can take days to complete, and finish within just a few minutes.
TaxJar has been used in a variety of industries, including food and beverage companies, SaaS, retail, services and even medical establishments.
What can it do to help you?
TaxJar is extensively used by online business owners to keep everything neat and simple. Let’s take a look at their features and services.
Features and services
One of the most important things you’ll need to ensure is that your accounting tax system is compatible with your sales channel. If you’re selling through multiple channels, you need to ensure that everything is in order. The final thing you would like is to face a penalty due to not paying attention to a minor thing.
TaxJar allows you to show your key metrics in one spot. This means that there is no requirement to collect data from different channels and organize it into one platform. All you need to do is to integrate TaxJar, it will take care of the rest.
Other than that, TaxJar also integrates with other platforms that help with payments. Here’s a list of platforms they can integrate with:
TaxJar allows clients to file their sales taxes by hand or using TaxJar’s AutoFile feature. In our 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. When the time is right for filing income tax returns The team will guide you on how to manage the tax returns. It is up for you and your team members to finish the tax returns in time. TaxJar will only provide guidance on what you have to do but not handle it.
If you prefer an Auto file, TaxJar will do the filling – that means you won’t need to fill out the forms in a manual manner. This feature will ensure that everything is automated, from calculating taxes on sales in order to record and process it. There could be additional charges if they are you do not include this feature in the plan you select.
Sales Tax Reports
As mentioned earlier it is possible to use TaxJar to ease your accounting issues. All orders made through your e-commerce channels can be combined into a single dashboard via this platform. Once you’re on the platform you and your team can access everything you require, including the list of transactions, reports, as well as the data.
The most appealing aspect of this option is the fact that it lets you to update your account automatically each day. Not only will they let you keep track of how much you’ve earned, but they also help you track when your following payments are due.
Their dashboard also allows users to view in detail the sales tax totals for your business. Additionally, you can export the data to CSV format. CSV file, if you want to use it for your process of financial planning and accounting or if your team needs it to run centralized reports.
Streamlining and Training
TaxJar helps you organize and keep track of all of the channels you sell through. It means you don’t need to search for your documents when you need them in the event of a need. Even even if you already have an accounting firm, the feature will aid them in being more efficient.
Additionally, knowing the figures for your sales tax in advance will help you plan your funds more effectively. You’ll know exactly how much budget you have to cover other operational expenses.
The best part is that TaxJar offers training and tutorials not only on their platform, but everything related to sales tax. You can check out their guides, webinars, and blog for more details. Additionally their sales tax calculator is beneficial when you’re planning to do everything on your own.
How much does TaxJar cost?
We know how crucial 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 take a look at TaxJar’s pricing levels and what each of those options can offer you. Currently, TaxJar offers three plans that are: Professional, Starter and Premium.
Their Starter plan is priced at $19. The company claims that it’s the best plan for those who need assistance with filing requirements and reporting. It includes the tax on sales, 4 free yearly AutoFiles, and a CSV import. Even with the starter plan, you will be able to access their AI tax tips.
If you’re a smaller company owner, this plan could be perfect for you. It may not have all the features of TaxJar, but it has the essentials that you need.
In addition, you can reach the support team via their support chart for email. You’ll also have access to their integration tools.
If you’re looking to get different from the basics and options, then the Professional plan may be the best option for you. The price starts at $99 but you can increase it if you add custom features.
What is the difference from the basic plan?
In addition to accessing each of Starter plan’s options, you also have access to their phone customer support access to APIs, as well as sophisticated CSV import. Additionally, they allow you to have 12 free AutoFiles each year.
If you own a huge business, you might need to choose the Premium plan instead. It comes with all the features needed to aid in your tax preparation. In addition, they offer unlimited data import integrations API integrationsfor team members and AutoFiles.
They also have a staff who are devoted to managing your account. They don’t reveal how much the Premium plan will cost you. TaxJar Pitchbook
But they did state that the plan is custom-made for each user. So the costs will vary in line with what you require for your business.
It’s a good thing that you don’t have to bet your life on it to see if this platform is for you. If you’re still looking into various options, they provide a 30-day free trial. It should give you enough time to determine whether the service is a good fit 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 pros and cons of making use of TaxJar for your company.
- Does the plan include a Tax Advisor option for some plans
- AutoFile features help to reduce time
- Available in most USA states
- Provides an online sales tax calculator.
- Has support service team
- The dashboard is simple to navigate
- Offers a 30-day free trial
- It is able to be integrated with other platforms.
- Allows you to track multiple sales channels
- Limits for AutoFile are based on the plan
- AutoFile has extra fees
- Some countries won’t be able to access the API feature
- Only applicable to USA customers
- Needs accountants and owners to review local laws
The Final Verdict
With everything clearly laid out TaxJar is an excellent platform for businesses with numerous sales channels, and that utilizes plenty of platforms. If this sounds like the way you’re doing, then should try this.
Not only will it aid in tracking your revenue and products It can help you meet the deadlines you set. This is also an excellent option for accountants as they have the Tax Advisor program. You can get tips and learn from their sessions on taxes by using it.
Using TaxJar can help you reduce time and keep the track of each deadline and obligation you have to fulfill. If you’re in a place with complicated tax laws, this can definitely help you get your head around it. TaxJar Pitchbook
However, if managing taxes is easy If it isn’t, then TaxJar may be an unnecessary investment. If you have only one or two sales channels, TaxJar won’t be needed to keep track of everything. If you’re finding the entire process easy to do, you might be better off doing it by yourself.
FAQ TaxJar Pitchbook
What are the areas in which TaxJar provide API assistance?
TaxJar is currently assisting countries such as those of the United States, the EU, Australia, and Canada.
Do I have the ability to connect Shopify with TaxJar?
Yes. You can sync your Shopify account to TaxJar for easier monitoring and updates.
Do I have the ability to convert every type of currency with TaxJar?
Unfortunately, no. TaxJar doesn’t convert currency values. All of the transaction amounts are n US$. If you’re using a different currency, you’ll need to convert it to USUSD prior to when TaxJar can calculate your tax.