Taxes have always been one of the hardest things to do regardless of whether you’re running your own business or not. Particularly if you don’t have a degree in accounting or finance. Tax-related work can be overwhelming, particularly when your whole day is packed with things to do. If you don’t have enough money to employ an accountant, performing the task on your own could be dangerous. If you overlook one thing, you might have to do it all over again!
Most people want to skipping this step. But since it’s required, we have no choice.
So what can we do ?
We can simplify our lives by using tools like TaxJar.
Here we’ll take a look at this popular life-saving tool and how it can help you. Although this is quite an extensive read it is possible to determine if TaxJar is what you need in the present.
Are you looking to watch videos instead? Take a look at this video by Marcus Stonelius on YouTube they also provide a comprehensive analysis of TaxJar’s features.
For those who like to read, let’s dive right in.
What exactly is TaxJar? TaxJar Sales Tax Api
The company was founded in 2013 TaxJar is an online platform that assists you in automating your reporting, filings and sales tax calculation. It is a solution for your entire sales tax life cycle. In addition, you can apply it across all of the sales channels you use to make sure you’re in compliance with sales tax requirements. It makes the process simpler that could can take days to complete, and is completed in just a few minutes.
TaxJar is used in various industries like food and beverage businesses, SaaS, retail, services, and even medical institutions.
How can this help you?
TaxJar is widely used by online business owners to keep everything organized and straightforward. Let’s take a look at their features and services.
Services and features
One of the first things you’ll need to ensure is your tax-reporting software seamlessly works well along with sales funnels. If you’re using multiple sales channels, you must ensure that everything is in order. The last thing you want is to get a penalty for not paying attention to a minor thing.
TaxJar allows you to display your key data in one location. So, there’s no need to gather data in multiple channels and then organize it on a single platform. All you need to do is integrate TaxJar and the platform will take care of the rest.
In addition, TaxJar also integrates with other platforms that help with payment processing. Here’s a list of platforms they can integrate with:
TaxJar allows customers to submit their sales tax either manually or via TaxJar’s AutoFile feature. In our review we’ll look into both.
If you decide to manually file your tax returns, TaxJar will allow you to connect all of the sales channels you use. When the time is right for filing tax returns for income, the team will instruct you on how to manage the tax returns. But, it is up to you and your staff to complete the process in time. TaxJar will only guide you on what you have to do but not handle it.
If you’d prefer an Auto file, TaxJar will do the filling, which means you won’t need to fill out the forms in a manual manner. This feature will ensure that everything will be automated, from calculating sales tax through recording, and then processing them. However, there might be additional costs if the feature is you do not include this feature in the plan you select.
Sales Tax Reports
As we mentioned it is possible to use TaxJar to help you with your accounting woes. All orders made through your e-commerce channels can be combined into one dashboard using this platform. From there, you and your team will have access to all the information you need, like an inventory of your transactions, reports, and the data.
The best part about this option is the fact that it allows you to update your account automatically each day. Not only will they let to know the amount you’ve earned and how much you’ve earned, but they also let you determine when your next payments are due.
Their dashboard also allows you to fully view the total sales tax for your business. Additionally, you can export the information to CSV format. CSV file, if you want to use it to aid in process of financial planning and accounting or if your team requires it to run centralized reports.
Training and Streamlining
TaxJar helps organize and keep on top of all your sales channels. It means you don’t need to search for your documents when you’re when you’re in a pinch. Even if you already have your accountant, this function can make them more efficient.
Furthermore, knowing the estimated amount for the sales tax you pay in advance will allow you to allocate your funds more effectively. You’ll know better how much budget you have to cover other operating costs.
The best part is that TaxJar offers tutorials and training and tutorials, not just for their platform , but also for anything related to sales tax. You can check out their webinars, guides or blog posts for additional details. Additionally the sales tax calculator can be useful if you’re planning to do everything on your own.
How much does TaxJar cost?
We know how crucial it is to set your budget. Some platforms provide amazing features, but they can be too costly for the business you run. This is why in this section, we’ll look into TaxJar’s pricing levels and the features that each of these choices can provide you. Presently, TaxJar offers three plans including Professional, Starter and Premium.
The Starter plan starts at $19. They claim that it’s the most suitable plan for you to help you in filing and reporting. It includes sales tax reporting, four annual AutoFiles for free, as well as the option of a CSV import. Even with the starter plan, you have access to their AI tax tips.
If you’re a smaller business owner, this plan will be ideal for you. It may not offer all the features of TaxJar, but it has all the basics you require.
You can also contact their support team with their email support chart. You’ll also be able to use their integration capabilities.
If you’re looking for something a bit more than just the standard features and options, then the Professional plan might be the right one for you. It’s priced at $99 but it can go higher by adding custom features.
What is the difference from the original plan?
Apart from having access to every one of Starter plan’s features, you also have the support of their customer service via phone access to APIs, as well as advanced CSV import. You can also get 12 AutoFiles for free each year.
If you run a large enterprise, you may want to choose an upgrade instead. It comes with all the features you need to help with your taxes. Moreover, they allow unlimited import integrations of data as well as Integrations with APIs, teams of members, and AutoFiles.
There is also a team who are devoted for managing the account. But, they don’t divulge how much the Premium plan will cost you. TaxJar Sales Tax Api
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 to run your business.
Luckily, you don’t have to gamble your money just to find out if the platform is right for you. If you’re still considering various options, they provide the opportunity to try a free trial for 30 days. This should give you enough time to see whether the software is the right choice for you.
Pros and Cons
After we’ve gone over everything you must know about TaxJar let’s take a breather. To summarize Here are the advantages and disadvantages of making use of TaxJar for your company.
- There is the Tax Advisor option for some plans
- AutoFile features save time
- Available in most USA states
- Provides 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.
- Allows you to track multiple sales channels
- Limits for AutoFile are based on the plan
- AutoFile has extra fees
- Some countries won’t have access to the API feature.
- Only applicable for USA customers
- It is important for owners and accountants to review local laws
The Final Verdict
With everything clearly laid out, TaxJar is an excellent platform for companies that have many sales channels and utilizes numerous platforms. If this sounds like the way you do, then you should try this.
Not only will it assist you in keeping track of your revenue and products It can help you meet the deadlines you set. This is also an excellent opportunity for accountants since they have the Tax Advisor program. You can get tips and gain knowledge from their workshops about taxes through it.
The use of TaxJar will help you save more time while keeping track of every deadline and requirement you have to meet. If you live in an area with complex tax regulations, this will surely help you wrap your head around the subject. TaxJar Sales Tax Api
However, if managing your taxes is simple, then TaxJar may be an unnecessary investment. If you’re only dealing with one or two channels of sales, TaxJar won’t be needed to track everything. If you find the entire procedure easy to complete then you’re better to do it on your own.
FAQ TaxJar Sales Tax Api
What are the areas in which TaxJar provide API support?
TaxJar is currently assisting countries such as Australia, the United States, the EU, Australia, and Canada.
Can I integrate Shopify with TaxJar?
Yes. You can link your Shopify account to TaxJar to make it easier to monitor and updates.
Are there any ways to exchange one kind of currency with TaxJar?
Unfortunately, no. TaxJar does not convert currencies. The transactions are in USdollars. If you’re using another currency, you’ll have to convert it to US$ before TaxJar determines the tax.