Taxes have always been one of the most difficult things to handle regardless of whether you’re running a business or not. More so if you don’t have a background in accounting or finance. Tax-related tasks can be overwhelming, particularly when your whole day is full of things to be done. If you don’t have enough money to employ an accountant, doing it on yourself can be risky. If you miss one detail and you don’t know it, you may have to do it all over again!
Nearly everyone would prefer to skipping this step. But , as it’s a requirement to be done, we can’t choose not to.
So what is the best way to deal with it?
It is always possible to make our lives easier with tools such as TaxJar.
Here we’ll take a look at this popular life-saving tool and explain how it can help you. Although this is quite lengthy it is possible to assess whether TaxJar is what you need today.
Are you looking video streaming instead? Watch this video – by Marcus Stonelius on YouTube they also give a complete review of TaxJar’s features.
If you prefer to read, then we’ll dive right into.
What is TaxJar? TaxJar Sales Tax Reporting
Founded in 2013, TaxJar is a platform that helps automate your filings, reports, and sales tax calculations. It’s a solution for the entire life cycle. In addition, you can apply it across all of your sales channels to ensure compliance with sales tax requirements. It simplifies the processes that take days to complete and is completed in just a few minutes.
TaxJar is used in a variety of industries, including 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 make their business more organized and straightforward. Let’s look into the benefits and features of TaxJar.
Features and services
One of the most important things you’ll want to check you have a tax accounting platform is compatible with your sales channel. If you’re selling through multiple channels, it is essential to keep everything in place. The last thing you want is to be penalized for overlooking just one minor detail.
TaxJar allows you to display your most important data in one location. This means that there is no need to collect data from different channels and organize it into a single platform. All you need to do is connect 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 the platforms they can integrate with:
TaxJar allows clients to submit their sales tax by hand or using their AutoFile feature. For this review, we’ll look at both.
If you choose to manually file your tax returns, TaxJar will allow you to connect all of the sales channels you use. Once the time comes for the filing of income tax returns The team will guide you on managing the tax returns. But, it is up for you and your staff to finish the tax returns in time. TaxJar is only there to guide you on what you need to do but not handle it.
If you would prefer an Auto file, TaxJar will do the filling, which means you don’t have to fill out the forms in a manual manner. Through this feature, everything is automated, from calculating taxes on sales through recording, and then processing it. But, it is possible to incur extra fees if not included in the plan you chose.
Sales Tax Reports
As mentioned earlier that you can utilize TaxJar to ease your accounting woes. Your orders from your e-commerce channels can be put together into a single dashboard via this platform. Once you’re on the platform, you and your team will have access to all the information you need, such as an inventory of your transactions, reports, and data.
The greatest benefit of the feature you’ve chosen is it lets you to update automatically every day. They not only let you keep track of how much you’ve collected however, they can also help you track when your following payment is due.
Their dashboard can also allow you to see the overall sales taxes for your business. Additionally, you can export your data in CSV format. CSV file if you need it in your process of financial planning and accounting or if your team requires it for centralized reporting.
Training and Streamlining
TaxJar assists in organizing and keeping track of all of the channels you sell through. That means you won’t have to scramble for your documents whenever you’re in a pinch. Even when you already have your accountant, this feature will aid them in being more efficient.
Furthermore, knowing the estimated amount for your sales tax ahead of time will allow you to allocate your money more efficiently. You’ll know exactly how much budget you have available for other operational expenses.
The best part is that TaxJar offers training and tutorials not only for their platform but for anything connected to sales tax. You can check out their webinars, guides, as well as their blog to find more info. Apart from that the sales tax calculator is useful if you’re planning to complete everything yourself.
How much does TaxJar cost?
We understand how important it is to establish your budget. Certain platforms have amazing capabilities, but they’re often too costly for your business. For this reason we’ll take a look at TaxJar’s pricing structures and what each of these choices can provide you. At present, TaxJar offers three plans: Starter, Professional, and Premium.
Their Starter plan is priced at $19. They claim that it’s the best plan if you need help in filing and reporting. It includes sales tax reporting, 4 annual AutoFiles for free, as well as an CSV import. Even with the basic plan, you have access to their AI tax recommendations.
If you’re a small business owner, this plan will be perfect for you. It may not have all the features offered by TaxJar but it comes with all the basics you require.
In addition, you can reach their support team with their support chart for email. Additionally, you’ll have access to their integration tools.
If you’re looking to get a bit more than just the basic features Professional might be the right one for you. The price starts at $99 but you can increase it when you add additional features.
What is the difference from the starter plan?
In addition to having access to every one of Starter plan’s features, you also have their support via phone Access to APIs, phone support, and the ability to do advanced CSV import. They also allow you to have 12 free AutoFiles each year.
If you own a huge business, you might need to choose premium plans instead. It includes all of the features you need to help with your taxes. Moreover, they allow unlimited integrations with data imports as well as API integrations, team users and AutoFiles.
There is also a team dedicated for managing the account. They don’t reveal the price of the Premium plan. will cost you. TaxJar Sales Tax Reporting
But they did state that this plan is customized for every user. The cost of the plan will be different according to what you require for your company.
Luckily, you don’t have to bet your life on it to see if this platform is the right one for you. If you’re still considering other options, they have a 30-day free trial. It should give you enough time to gauge if the platform is the right choice for you.
Pros and Pros and
We’ve covered everything you should know about TaxJar let’s take a break. To summarize Here are the pros and cons of the use of TaxJar for your business.
- Does the plan include a Tax Advisor option for some plans
- AutoFile features to reduce time
- Available in most USA states
- Provides on the internet for sales tax calculator.
- Support service team
- The dashboard is easy to navigate
- The company offers a 30-day trial for free.
- 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 valid for USA customers
- Owners and accountants should recheck local legislations
The Final Verdict
With everything laid down, TaxJar can be a great platform companies that have numerous sales channels, and that utilizes plenty of platforms. If that’s what you’re doing, then you should try this.
It’s not just a way to assist you in keeping track of your revenue and products It can also help you meet the deadlines you set. This is also an excellent option for accountants as they have tax Advisor program. There are tips to follow and get knowledge from their seminars regarding taxes via it.
Utilizing TaxJar can help you reduce time and keep on top of each deadline and requirement you have to fulfill. If you live in a region with a lot of tax regulations, this will surely help you wrap your mind around it. TaxJar Sales Tax Reporting
However, if managing taxes is easy and straightforward, then TaxJar could be a waste of expense. If you’re only dealing with one or two channels of sales, TaxJar won’t be needed to keep track of everything. Moreover, if you find the whole procedure easy to complete, you might be better off doing it by yourself.
FAQ TaxJar Sales Tax Reporting
What areas does TaxJar provide API support?
TaxJar currently works with countries like the United States, the EU, Australia, and Canada.
Can I 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 using TaxJar?
Unfortunately, no. TaxJar does not convert currency values. All of the transaction amounts are n US$. If you’re using a different currency, you will need to convert it to US$ prior to when TaxJar determines the tax.