Taxes are always one of the hardest things to do regardless of whether you run a business or not. More so if you don’t have a background in finance or accounting. Tax-related work can be overwhelming, particularly when you’re filled with tasks to complete. When you’re not able to afford the funds to employ an accountant, performing the task on yourself can be risky. If you make a mistake, you might have to do it all over again!
Nearly everyone would prefer to skip this step. But since it’s required to be done, we can’t choose not to.
What is the best way to deal with it?
We can always make life easier with tools such as TaxJar.
We’ll look at this popular life-saving device and how it can assist you. Although this is quite a long read but you’ll be able to determine if TaxJar is exactly what you need in the present.
Do you prefer video streaming instead? Check out this video – by Marcus Stonelius on YouTube they also do a full review of TaxJar’s features.
For those who like to read, then let’s dive right in.
What is TaxJar TaxJar Vs Xero
In 2013, TaxJar was established. TaxJar is an application that automatizes your filings, reports, and sales tax calculations. TaxJar is a solution to your entire sales tax life cycle. In addition, you can apply it in all of your sales channels to ensure that you are in compliance with sales tax requirements. It streamlines processes that take days to complete and can be completed in a matter of minutes.
TaxJar has been used in various industries like food and beverage companies, SaaS, retail, services and even medical establishments.
How can this help you?
TaxJar is widely used by business owners who run online businesses to keep everything organized and straightforward. Let’s look into their features and services.
Services and features
One of the most important things you’ll want to check you have a tax accounting platform seamlessly works well along with sales funnels. If you have multiple sales channels, you must ensure that everything is in order. The final thing you would like is to face a penalty due to 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 from different channels and sort it into a single platform. All you have to do is to integrate TaxJar, it will do the rest.
Apart from that, TaxJar also integrates with other platforms that can help with payments. Here’s a list of the platforms they are able to integrate with:
TaxJar allows clients to file their sales taxes by hand or using the AutoFile feature. For this review, we’ll take a look at both.
If you opt to go it alone, TaxJar will allow you to connect the sales channels you use. When the time is right for the filing of income tax returns The team will guide you on how to manage them. It is up for you and your team members to complete the process on time. TaxJar is only there to provide guidance on what you need to accomplish, but not manage it.
If you prefer an Auto file, TaxJar will do the filling, which means you won’t need to fill out any forms manually. Through this feature, everything will be 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 select.
Sales Tax Reports
As I mentioned earlier that you can utilize TaxJar to assist you with your accounting woes. The orders you place through your online channels can be put together into a single dashboard via this platform. From there you and your staff will have access to all the information you require, including an inventory of your transactions, reports, as well as data.
The most appealing aspect of 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 earned and how much you’ve earned, but they also let you keep track of when the next payments are due.
Their dashboard also allows you to see the sales tax totals for your business. It is also possible to export the data as a CSV file in case you require it to aid in accounting and financial planning processes or if you require it for central reporting.
Training and Streamlining
TaxJar helps organize and keep track of all of the sales avenues you use. This means that you don’t have to hunt for your paperwork when you’re in a pinch. Even when you already have your accountant, this function can aid them in being more efficient.
Furthermore, knowing the estimated amount for the sales tax you pay in advance can help you allocate your funds more effectively. You’ll know better how much budget you have available for other operating costs.
But what’s even better is that TaxJar offers training and tutorials and tutorials, not just for their platform but everything connected to sales tax. Check out their guides, webinars, or blog posts for additional info. Additionally 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. Some platforms offer superb capabilities, but they’re often too costly for your business. That’s why for this section we’ll examine TaxJar’s pricing levels and what each of those plans can offer. At present, TaxJar offers three plans that are: Professional, Starter and Premium.
Their Starter plan is priced at $19. They say it’s the best plan for those who need assistance in filing and reporting. It comes with the tax on sales, 4 free yearly AutoFiles, and a CSV import. Even with the starter plan, you will be able to access their AI tax recommendations.
If you’re a smaller company manager, the plan could be perfect for you. It may not have all the features offered by TaxJar but it comes with the basic features you require.
In addition, you can reach the support team via their email support chart. You’ll also be able to use their integration tools.
If you’re looking for different from the basic features Professional might be the right one for you. It starts at $99, but it can go higher if you add custom features.
How different is it from the original plan?
In addition to having access to every one of Starter plan’s options, you also have access to their support via phone, API access, and the ability to do advanced CSV import. You can also have 12 free AutoFiles each year.
If you run a large enterprise, you may want to go for an upgrade instead. It has all of the features you need to make your tax filing easier. Moreover, they allow unlimited integrations with data imports, API integrationsfor team users, and AutoFiles.
They also have a staff who are devoted in managing your accounts. They don’t reveal how much the Premium plan will cost you. TaxJar Vs Xero
However, they did say that this plan is tailor-fit for each user. The cost of the plan will be different in line with what you require to run your business.
It’s a good thing that 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 looking into various options, they provide 30 days of free trial. This should give you enough time to see whether the software is a good fit for you.
Pros and Pros and
We’ve covered everything you need to be aware of TaxJar Let’s relax. To sum it all up Here are the pros and cons of making use of TaxJar to run your business.
- Does the plan include a Tax Advisor option for some plans
- AutoFile features help 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 possible to integrate it with other platforms
- You can track several sales channels
- AutoFile limit is based on the plan
- AutoFile has extra fees
- Some countries won’t be able to access the API feature
- Only applicable for USA customers
- Owners and accountants should recheck local legislations
The Final Verdict
With everything laid out TaxJar can be a great platform companies that have many sales channels and utilizes numerous platforms. If that’s what you do, then you ought to try this.
Not only can it help you track your products and revenue It can also help you meet your deadlines. It is also a great option for accountants as they have tax Advisor program. You can find tips and learn from their sessions on taxes by using it.
The use of TaxJar can help you reduce time and keep on top of each deadline and obligation you have to meet. If you’re living in a region with a lot of tax laws, this will surely help you wrap your mind around it. TaxJar Vs Xero
If handling your taxes is simple, then TaxJar might not be a good investment. If you only have one or two channels of sales, TaxJar won’t be needed to track all of it. If you find the entire procedure easy to complete then you’re better off doing it by yourself.
FAQ TaxJar Vs Xero
Which areas does TaxJar provide API assistance?
TaxJar currently supports 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.
Are there any ways to exchange one kind of currency using TaxJar?
Unfortunately, no. TaxJar cannot convert currency values. All transactions are in US$. If you’re using another currency, you will need to convert it to USUSD prior to when TaxJar determines the tax.