Taxes have always been among the most difficult tasks to complete regardless of whether you run an enterprise or not. Even more so if you do not have any experience in accounting or finance. Tax-related tasks aren’t easy, particularly when you’re full of things to be done. If you don’t have the funds to engage an accountant performing the task on your own can be risky. If you overlook one thing, you might have to do it all over again!
Most people want to skip this step. However, since it’s mandatory to be done, we can’t choose not to.
So what can we do about it?
We can make life easier by using tools like TaxJar.
Here we’ll take a look at this popular life-saving tool and explain how it can assist you. While this is an extensive read, you should be able to assess whether TaxJar is what you need in the present.
Are you looking watching videos rather than watch them? Take a look at 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 we’ll dive right into.
What exactly is TaxJar? TaxJar Stripe Relay
Founded in 2013, TaxJar is an online platform that assists you in automating your reporting, filings and sales tax calculations. TaxJar is a solution to all aspects of your sales tax cycle. Furthermore, you can utilize it across all the sales channels you use to ensure that you are in compliance with your sales taxes. It streamlines 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 companies, SaaS, retail, services, and even medical institutions.
How can this help you?
TaxJar is extensively used by online business owners to make their business more neat and simple. Let’s explore their features and services.
Features and services
One of the first things you’ll need to make sure you have a tax accounting platform seamlessly works well along with sales funnels. If you have multiple sales channels, you need to keep everything in place. The final thing you would like is to get a penalty for overlooking just one minor detail.
TaxJar allows you to show your key data in one location. So, there’s no requirement to collect data in multiple channels and sort it into one platform. All you need to do is connect TaxJar, and the platform will do the rest.
Other than that, TaxJar also integrates with other platforms that help in the process of making payments. Here’s a list of the platforms that they can connect with:
TaxJar allows customers to submit their sales tax by hand or using TaxJar’s AutoFile feature. In the purpose of this article, we’ll dig at both.
If you decide to go it alone, TaxJar will allow you to connect all your sales platforms. Once the time comes for the filing of income tax returns The team will guide you on how to manage them. It is up to you and your staff to complete the process within the timeframe. TaxJar will only guide you on what you have to do but not handle it.
If you would prefer an Auto file, TaxJar will do the filling for you. This means that you don’t have to submit the forms in a manual manner. Through this feature, everything will be automated, from calculating sales taxes through recording, and then processing them. There could be additional costs if the feature is not part of the plan you choose.
Sales Tax Reports
As we mentioned, you can use 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 can access everything you need, such as an inventory of your transactions, reports, as well as data.
The greatest benefit of this option is the fact that they allow you to update automatically 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 overall sales taxes for your business. You can also export your data to the form of a CSV file, if you want to use it in your process of financial planning and accounting or if your team needs it to run centralized reports.
Training and Streamlining
TaxJar helps organize and keep the track of all the channels you sell through. This means that you don’t have to scramble for your documents when you’re in a pinch. Even if you already have your accounting firm, the feature can aid them in being more efficient.
Additionally, knowing the figures for your sales tax in advance can help you allocate your funds better. You’ll know exactly how much budget you have for other operating expenses.
What’s more is that TaxJar offers tutorials and training and tutorials, not just for their platform but for anything that has to do with sales tax. Check out their webinars, guides or blog posts for additional info. In addition, their 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. Certain platforms have amazing features, but they’re sometimes too expensive for businesses. This is why in this section we’ll take a look at TaxJar’s pricing structures and what each of these options can offer you. Currently, TaxJar offers three plans: Starter, Professional, and Premium.
The Starter plan starts at $19. They claim that it’s the most suitable plan for you for those who need assistance with filing requirements or reporting. It includes taxes on sales and sales as well as 4 autofiles for free each year, and an CSV import. Even with the basic plan, you have access to their AI tax tips.
If you’re a small business proprietor, then this program will be ideal for you. It might not include all of TaxJar’s features however, it does include all the basics you require.
Additionally, you can contact their customer support via their email support chart. Additionally, you’ll have access to their integration capabilities.
If you’re looking to get that is more than the basics Professional may be the best option for you. The price starts at $99 but it can go higher if you add custom features.
How different is it from the original plan?
Apart from having access to each of Starter plan’s options, you also have access to their support via phone Access to APIs, phone support, and the ability to do advanced CSV import. You can also get 12 AutoFiles for free each year.
If you own a huge enterprise, you may want to go for premium plans instead. It comes with all the features that you require to help with your taxes. Moreover, they allow unlimited data import integrations as well as API integrations, team members, and AutoFiles.
There is also a team that is devoted to managing your account. But, they don’t divulge how much the Premium plan costs you. TaxJar Stripe Relay
But they did state that this plan is customized for every user. Therefore, the cost will differ in line with what you require for your business.
Fortunately, you don’t need to risk your money to find out if the platform is the right one for you. If you’re still considering other options, they have a 30-day free trial. This should be enough time to determine whether the service is the right choice for you.
Pros and Cons
After we’ve gone over everything you should know about TaxJar let’s take a break. To summarize we’ll go over the pros and cons of the use of TaxJar for your company.
- 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
- Offers a 30-day free trial
- It is able to be integrated with other platforms.
- Allows you to track multiple sales channels
- AutoFile limit is based on the plan
- AutoFile has extra fees
- Certain countries will not have access to the API feature.
- Only applicable to USA customers
- Needs accountants and owners to check local legislation
The Final Verdict
With everything clearly laid out, TaxJar provides a fantastic platform to companies that have multiple sales channels and uses numerous platforms. If this sounds like the way you’re doing, then should try this.
It’s not just a way to help you track the sales and profits of your business however, it will also help you meet your deadlines. This is also an excellent option for accountants as they offer a Tax Advisor program. You can get tips and learn from their sessions regarding taxes via it.
Using TaxJar can allow you to get more done while keeping track of every deadline and requirement you have to fulfill. If you’re living in a region with a lot of tax laws, this can surely help you wrap your head around the subject. TaxJar Stripe Relay
However, if managing taxes is easy If it isn’t, then TaxJar might not be a good investment. If you only have one or two sales channels, TaxJar won’t be needed to track everything. In addition, if you find the entire procedure simple to follow, you might be better off doing it on your own.
FAQ TaxJar Stripe Relay
What areas does TaxJar provide API support?
TaxJar currently supports countries like the United States, the EU, Australia, and Canada.
Can I integrate Shopify into TaxJar?
Yes. You can sync your Shopify account with TaxJar for easier monitoring and updates.
Can I convert any kind of currency with TaxJar?
Unfortunately, no. TaxJar does not convert currencies. The transactions’ amounts are in USdollars. If you’re using a different currency, you will need to convert it to USUSD before TaxJar can calculate the tax.