Taxes have always been among the most difficult things to handle, whether you’re running an enterprise or not. Particularly if you don’t have any experience in finance or accounting. Tax-related issues can be overwhelming, especially when your whole day is full of things to be done. In the event that you do not have the budget to engage an accountant doing it on yourself can be risky. If you make a mistake, you might have to do it all over again!
Nearly everyone would prefer to avoid this step. But since it’s required to be done, we can’t choose not to.
What can we do about it?
We can make life easier by using tools like TaxJar.
This article will take a look at this popular life-saving tool and explain how it can assist you. Even though this is an extensive read but you’ll be able to assess whether TaxJar is exactly what you need today.
Do you prefer video streaming instead? Check out this video – by Marcus Stonelius on YouTube they also do a full analysis of TaxJar’s features.
But for those who prefer to read, then let’s get right into it.
What exactly is TaxJar? TaxJar States With Taxable Grocery Items
Founded in 2013, TaxJar is an online platform that assists you in automating your reports, filings, and sales tax calculations. It’s a solution for the entire life cycle. Furthermore, you can utilize it across all the sales channels you use to make sure you’re in compliance with your sales taxes. It makes the process simpler that could can take days to complete, and finish within just a few minutes.
TaxJar has been utilized in different industries such as food and beverage businesses, SaaS, retail, services and even medical establishments.
What can it do to help you?
TaxJar is extensively used by online business owners to make their business more organized and straightforward. Let’s explore their features and services.
Features and services
One of the first things you’ll need to ensure is your tax-reporting system is compatible with your sales channel. If you’re using multiple sales channels, you need to keep everything in place. The most important thing is not to get a penalty for overlooking just one minor detail.
TaxJar lets you display your key data in one location. That way, there’s no need to collect information from multiple sources and organize it into one platform. All you have to do is connect TaxJar, then the system will take care of the rest.
Apart from that, TaxJar also integrates with other platforms that can help with payment processing. Here’s a list highlighting the platforms they are able to integrate with:
TaxJar allows customers to make sales tax filings either manually or via TaxJar’s AutoFile feature. For our review we’ll look at both.
If you opt to do it manually, TaxJar will allow you to connect all your sales platforms. Once the time comes for filing tax returns for income, the team will instruct you on how to manage them. However, it will be up for you and your team members to complete the process within the timeframe. TaxJar will only help you understand what you should accomplish, but not manage it.
If you prefer an Auto file, TaxJar will do the filling – that means you don’t have to submit all forms by hand. Through this feature, everything will be automated from calculating sales taxes in order to record and process it. There could be extra fees if not included in the plan you choose.
Sales Tax Reports
As we mentioned it is possible to use TaxJar to ease your accounting problems. All orders made through your e-commerce channels can be compiled into a single dashboard through this platform. Once you’re on the platform you and your team will have access to all the information you require, including an inventory of your transactions, reports, as well as information.
The best part about this option is the fact that they allow you to automatically update every day. Not only will they let to know the amount you’ve accumulated, but they also help you determine when your next payments are due.
Their dashboard also allows users to view in detail the total sales tax for your business. You can also export your data as CSV format. CSV file, if you want to use it in your financial planning and accounting processes or if your team needs it for central reporting.
Streamlining and Training
TaxJar helps organize and keep track of all of your sales channels. It means you don’t need to search for your documents when you’re in the event of a need. Even even if you already have an accountant, this function will aid them in being more efficient.
Moreover, knowing the estimates for your sales tax ahead of time will help you plan your money more efficiently. You’ll know exactly how much budget you have to cover other operating expenses.
But what’s even better is that TaxJar offers tutorials and training, not just for their platform but everything connected to sales tax. Check out their webinars, guides, and blog for more details. Additionally the sales tax calculator should be beneficial when you’re planning to take on the entire task yourself.
How much does TaxJar cost?
We know how crucial it is to establish your budget. Some platforms offer superb capabilities, but they’re often too expensive for businesses. For this reason we’ll examine TaxJar’s pricing tiers and the features that each of these choices can provide you. At present, TaxJar offers three plans including Professional, Starter and Premium.
The Starter plan costs $19. They say it’s the most suitable plan for you to help you in filing and reporting. It also includes taxes on sales and sales as well as 4 autofiles for free each year, and a CSV import. Even with the basic plan, you can access their AI tax recommendations.
If you’re a smaller business proprietor, then this program could be perfect for you. It may not have all of TaxJar’s features but it comes with all the basics you require.
You can also contact their support team with their support chart for email. Additionally, you’ll have access to their integration tools.
If you’re looking to get that is more than 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 if you add custom features.
What is the difference from the basic plan?
In addition to having access to every one of Starter plan’s options, you also have access to their support via phone access to APIs, as well as the ability to do advanced CSV import. You can also receive 12 free AutoFiles every year.
If you own a huge enterprise, you may want to go for an upgrade instead. It has all of the features needed to aid in your tax preparation. In addition, they offer unlimited integrations with data imports API integrations, team members and AutoFiles.
They also have a staff that is devoted in managing your accounts. However, they don’t disclose the amount that the Premium plan costs you. TaxJar States With Taxable Grocery Items
However, they did mention that this plan is tailor-fit to each user. Therefore, the cost will differ depending on what you need to run your business.
Luckily, you don’t have to bet your life on it to see if this platform is for you. If you’re still considering other options, they have the opportunity to try a free trial for 30 days. It should give you enough time to see whether the service is an excellent fit for you.
Pros and Cons
We’ve covered everything you must be aware of TaxJar let’s take a breather. In order to sum up the whole thing we’ll go over the pros and cons of making use of TaxJar for your business.
- Has a Tax Advisor option for some plans
- AutoFile features to reduce time
- Available in most USA states
- Offers an online sales tax calculator.
- Has support service team
- The dashboard is easy to navigate
- Offers a 30-day free trial
- It is possible to integrate it with other platforms.
- It allows you to monitor multiple sales channels
- Limits on AutoFile are determined by the plan
- AutoFile has extra fees
- Certain countries will not have access to the API feature.
- Only applicable for USA customers
- It is important for owners and accountants to check local legislation
The Final Verdict
With everything clearly laid out, TaxJar provides a fantastic platform to businesses with multiple sales channels and uses numerous platforms. If this sounds like the way you do, then you ought to try this.
It’s not just a way to assist you in keeping track of the sales and profits of your business however, it will help you meet your deadlines. It is also a great option for accountants as they have the Tax Advisor program. You can get tips and get knowledge from their seminars regarding taxes via it.
Using TaxJar will help you get more done while keeping the track of each deadline or requirement you need to fulfill. If you’re in a region with a lot of tax laws, this can surely help you wrap your head around the subject. TaxJar States With Taxable Grocery Items
But if handling taxes is easy and straightforward, then TaxJar might not be a good investment. If you only have one or two channels of sales, TaxJar won’t be needed to keep track of everything. If you’re finding the entire process easy to do then you’re better in doing it all by yourself.
FAQ TaxJar States With Taxable Grocery Items
What areas does TaxJar offer API support?
TaxJar currently works with countries like those of the United States, the EU, Australia, and Canada.
Can I connect Shopify together 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 with TaxJar?
Unfortunately, no. TaxJar cannot convert currency values. The transactions are in US$. If you’re using a different currency, you will need to convert it to USUSD prior to when TaxJar determines the tax.