Taxes have always been among the hardest things to do, whether you’re running your own business or not. Particularly if you don’t have a background in accounting or finance. Tax-related issues 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, making it your own can be risky. If you make a mistake it could mean you have to redo things again!
Nearly everyone would prefer to avoid this step. But since it’s required and mandatory, there’s no other choice.
What can we do about it?
It is always possible to simplify our lives by using tools like TaxJar.
This article will take a look at this life-saving device and how it can help you. Although this is quite an extensive read, you should be able to determine if TaxJar is what you need right now.
Do you prefer video streaming instead? Watch this video – by Marcus Stonelius on YouTube they also give a complete review of the features offered by TaxJar.
If you prefer to read, then we’ll dive right into.
What exactly is TaxJar? TaxJar Vs Stripe Tax
The company was founded in 2013 TaxJar is an online platform that assists you in automating your reporting, filings and sales tax calculation. It’s a solution for the entire life cycle. Furthermore, you can utilize it across all your channels of sales to ensure compliance with sales taxes. It makes the process simpler that could take days to complete and finish within only a few minutes.
TaxJar is used in various industries like food and beverage businesses, SaaS, retail, services as well as medical institutions.
How can this help you?
TaxJar is extensively used by owners of online businesses to ensure that everything is organized and straightforward. Let’s explore the benefits and features of TaxJar.
Services and features
One of the most important things you’ll want to check is that your accounting tax software perfectly integrates in conjunction with the sales channels you use. If you’re selling through multiple channels, you need to maintain everything in line. The final thing you would like is to face a penalty due to missing a single minor point.
TaxJar lets you display your key data in one location. So, there’s no need to gather data from different channels and then organize it on one platform. All you have to do is connect TaxJar then the system will do the rest.
Apart from that, TaxJar also integrates with other platforms to assist with payment processing. Here’s a list of the platforms they are able to integrate with:
TaxJar lets customers submit their sales tax either manually or via TaxJar’s AutoFile feature. In this review, we’ll look at both.
If you opt to manually file your tax returns, TaxJar will allow you to connect all of those sales tools. Once the time comes for filing tax returns for income TaxJar will train you on how to manage these. However, it will be up for you and your team members to finish the tax returns on time. TaxJar is only there to provide guidance on what you need to accomplish, but not manage it.
If you’d prefer an Auto file, TaxJar will do the filling, which means you don’t have to fill out any forms manually. With this feature, everything will be automated, from calculating sales tax to recording and processing them. However, there might be additional costs if the feature is you do not include this feature in the plan you chose.
Sales Tax Reports
As mentioned earlier, you can use TaxJar to help you with your accounting woes. All orders made through your e-commerce channels can be put together into a single dashboard via this platform. From there, you and your team can access everything you need, such as a list of your transactions, reports and information.
The best part about this feature is that they allow you to update your account automatically each day. Not only will they let you know how much you’ve earned however, they can also help you determine when your next payments are due.
Their dashboard also allows you to see the overall sales taxes for your business. Additionally, you can export the data to a CSV file in case you require 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. This means that you don’t have to hunt for your paperwork whenever you’re when you’re in a pinch. Even when you already have your accountant, this feature will help them be more efficient.
Moreover, knowing the estimates for your sales tax in advance will allow you to allocate your funds better. You’ll be aware of the budget you have for other operating costs.
The best part is that TaxJar offers tutorials and training and tutorials, not just on their platform, but all things related to sales tax. Check out their webinars, guides, as well as their blog to find more information. In addition their sales tax calculator can be beneficial when you’re planning to complete everything yourself.
How much does TaxJar cost?
We are aware of how important it is to set your budget. Some platforms offer superb capabilities, but they’re often too expensive for businesses. This is why in this section, we’ll look into TaxJar’s pricing tiers and what each of those choices can provide you. At present, TaxJar offers three plans: Starter, Professional, and Premium.
The Starter plan starts at $19. The company claims that it’s the most effective plan for those who need assistance with filing requirements and reporting. It also includes taxes on sales and sales as well as four free yearly AutoFiles, and an CSV import. Even with the basic plan, you can access their AI tax advice.
If you’re a small-scale business proprietor, then this program could be perfect for you. It may not have all the features of TaxJar however, it does include the basic features 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 for something a bit more than just the basic features Professional may be the best option for you. The price starts at $99 but it can go higher when you add additional features.
What is the difference from the basic plan?
In addition to accessing all of the Starter plan’s features, you also get access to the support of their customer service via phone access to APIs, as well as advanced CSV import. They also allow you to have 12 free AutoFiles each year.
If you run a large company, you may need to go for an upgrade instead. It has all of the features you need to help with your taxes. In addition, they offer unlimited integrations with data imports Integrations with APIs, teams of users, and AutoFiles.
They also have a team that is devoted to managing your account. However, they don’t disclose how much the Premium plan is going to cost. TaxJar Vs Stripe Tax
However, they did mention that this plan is tailor-fit for each user. So the costs will vary according to what you require for your company.
Luckily, you don’t have to gamble your money just to find out if the platform is for you. If you’re still looking into various options, they provide a 30-day free trial. This should be enough time to determine whether the software is the right choice for you.
Pros and Cons
We’ve covered everything you need to know about TaxJar Let’s relax. In order to sum up the whole thing we’ll go over the advantages and disadvantages of making use of TaxJar for your business.
- There is a Tax Advisor option for some plans
- AutoFile features to reduce time
- Available in most USA states
- Offers 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 able to be integrated with other platforms
- It allows you to monitor multiple sales channels
- AutoFile limit is based on the plan
- AutoFile has extra fees
- Some countries won’t have access to the API feature
- Only applicable to USA customers
- It is important for owners and accountants to check local legislation
The Final Verdict
With everything laid down, TaxJar provides a fantastic platform to companies that have multiple sales channels and uses numerous platforms. If that’s what you do, then you should try this.
Not only can it aid in tracking the sales and profits of your business It can assist you in meeting your deadlines. It’s also an excellent opportunity for accountants since they offer a Tax Advisor program. You can find tips and learn from their sessions regarding taxes via it.
Using TaxJar will help you get more done while keeping on top of each deadline and requirement you have to meet. If you’re in a region with a lot of tax laws, this will surely help you wrap your mind around it. TaxJar Vs Stripe Tax
If handling your taxes is simple If it isn’t, then TaxJar may be an unnecessary expense. If you have only one or two channels of sales, TaxJar won’t be needed to keep track of all of it. In addition, if you’re finding the entire process easy to do then you’re better off doing it on your own.
FAQ TaxJar Vs Stripe Tax
What areas does TaxJar offer API assistance?
TaxJar is currently assisting countries such as Australia, the United States, the EU, Australia, and Canada.
Do I have the ability to incorporate Shopify with TaxJar?
Yes. You can link your Shopify account with TaxJar for easier monitoring and updates.
Are there any ways to exchange one kind of currency using TaxJar?
Unfortunately, no. TaxJar doesn’t convert currencies. All transactions are in USdollars. If you’re using a different currency, you’ll need to convert it to USdollars prior to when TaxJar can calculate the tax.