Taxes have always been one of the most difficult tasks to complete regardless of whether you’re running your own business or not. Even more so if you do not have any experience in finance or accounting. Tax-related tasks can be overwhelming, especially when you’re filled with tasks to complete. In the event that you do not have the funds to hire an accountant, making it your own can be dangerous. If you miss one detail and you don’t know it, you may need to repeat the process!
Most people want to skip this step. But , as it’s a requirement to be done, we can’t choose not to.
What can we do about it?
We can always make our lives easier by using tools like TaxJar.
We’ll look at this life-saving tool and how it can benefit you. While this is a long read, you should be able to determine if TaxJar is exactly what you need right now.
Prefer to watch videos instead? Take a look at this video by Marcus Stonelius on YouTube they also do a full analysis of TaxJar’s features.
If you prefer to read, then let’s get right into it.
What is TaxJar? V Vs Vs
The company was founded in 2013 TaxJar is an online platform that assists you in automating your filings, reports, and sales tax calculation. It is a solution for all aspects of your sales tax cycle. Additionally, you can use it across all of your sales channels to ensure that you are in compliance with sales taxes. It streamlines processes that require days to complete and finish within minutes.
TaxJar is used in various industries like food and beverage companies, SaaS, retail, services as well as medical institutions.
How can it help you?
TaxJar is widely used by online business owners to make their business more simple and organized. Let’s take a look at 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 software seamlessly works well along with sales funnels. If you’re selling through multiple channels, you must keep everything in place. The most important thing is not to be penalized for missing a single minor point.
TaxJar lets you display your most important metrics in one spot. This means that there is no requirement to collect data in multiple channels and then organize it on one platform. All you have to do is to integrate TaxJar, and the platform will do the rest.
In addition, TaxJar also integrates with other platforms that help in the process of making payments. Here’s a list highlighting the platforms that they can connect with:
TaxJar allows customers to make sales tax filings by hand or using their AutoFile feature. In the purpose of this article, we’ll look into 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 filing income tax returns TaxJar will train you on managing the tax returns. However, it will be up for you and your staff to complete the process within the timeframe. TaxJar will only help you understand what you have to do , but not to handle it.
If you’d prefer an Auto file, TaxJar will do the filling, which means you don’t have to submit the forms in a manual manner. Through this feature, everything is automated, from calculating taxes on sales in order to record and process them. But, it is possible to incur extra fees if not part of the plan you chose.
Sales Tax Reports
As I mentioned earlier, you can use TaxJar to help you with your accounting problems. All orders made through your e-commerce channels can be compiled into one dashboard using this platform. From there, you and your team will have access to everything you require, including an inventory of your transactions, reports, as well as data.
The best part about this feature is that they allow you to update your account automatically each day. Not only will they let you keep track of how much you’ve accumulated, but they also help you track when your following payments are due.
The dashboard allows users to view in detail the total sales tax for your business. It is also possible to export the data in a CSV file if you need it in your process of financial planning and accounting or if your team needs it for centralized reporting.
Training and Streamlining
TaxJar assists in organizing and keeping on top of all the channels you sell through. That means you won’t have to search for your documents when you need them when you’re in a pinch. Even if you already have your accountant, this function will help them be more efficient.
Moreover, knowing the estimates for your sales tax in advance will help you plan your funds better. You’ll know exactly how much budget you have to cover other operational costs.
What’s more is that TaxJar provides training and tutorials and tutorials, not just for their platform but for anything that has to do with sales tax. Check out their guides, webinars, or blog posts for additional details. Additionally, their sales tax calculator is beneficial when you’re planning to take on the entire task yourself.
How much does TaxJar cost?
We know how crucial it is to determine your budget. Some platforms offer superb features, but they can be too expensive for businesses. For this reason, we’ll look into TaxJar’s pricing tiers and the features that each of these options can offer you. Presently, TaxJar offers three plans that are: Professional, Starter and Premium.
Their Starter plan costs $19. They say it’s the most effective plan for those who need assistance with filing requirements or reporting. It comes with taxes on sales and sales as well as 4 annual AutoFiles for free, as well as the option of a CSV import. With the starter plan, you will be able to access their AI tax tips.
If you’re a small company manager, the plan could be perfect for you. It might not include all the features of TaxJar, but it has the essentials that you need.
Additionally, you can contact the support team via their email support chart. Additionally, you’ll have access to their integration tools.
If you’re looking for something different from the basic features Professional might be the right one for you. The price starts at $99 but you can increase it by adding custom features.
What is the difference from the starter plan?
In addition to accessing each of Starter plan’s options, you also have access to the support of their customer service via phone, API access, and sophisticated CSV import. You can also have 12 free AutoFiles each year.
If you own a huge enterprise, you may want to go for the Premium plan instead. It includes all of the features you need to make your tax filing easier. Additionally, they permit unlimited integrations with data imports Integrations with APIs, teams of users as well as AutoFiles.
They also have a team that is devoted for managing the account. But, they don’t divulge the amount that the Premium plan costs you. V Vs Vs
However, they did say that the plan is custom-made for every user. The cost of the plan will be different depending on what you need for your business.
It’s a good thing that you don’t have to gamble your money just to see if this platform is right for you. If you’re still considering other options, they have a 30-day free trial. This should be enough time to gauge whether the software is the right choice for you.
Pros and Cons
After we’ve gone over everything you need to know about TaxJar Let’s relax. To summarize, here are the advantages and disadvantages of the use of TaxJar to run your business.
- Does the plan include a Tax Advisor option for some plans
- AutoFile features help save time
- Available in most USA states
- Offers Taxes on sales online calculator
- Support service team
- The dashboard is simple to navigate
- It offers a free trial of 30 days.
- 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 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 clearly laid down, TaxJar can be a great platform companies that have many sales channels and utilizes many platforms. If this sounds like the way you do, then you must try TaxJar.
It’s not just a way to aid in tracking your revenue and products however, it will help you meet the deadlines you set. It’s also an excellent platform for an accountant since they offer a Tax Advisor program. You can get tips and gain knowledge from their workshops regarding taxes via it.
Utilizing TaxJar will help you save more time while keeping the track of each deadline and obligation you have to meet. If you’re living in a place with complicated tax laws, this can certainly help you to get your mind around it. V Vs Vs
But if handling your taxes is simple If it isn’t, then TaxJar could be a waste of expense. If you only have one or two channels for sales, TaxJar won’t be needed to keep track of everything. In addition, if you’re finding the entire procedure easy to complete then you’re better off doing it by yourself.
FAQ V Vs Vs
What areas does TaxJar offer API assistance?
TaxJar currently works with countries like those of the United States, the EU, Australia, and Canada.
Can I incorporate Shopify together with TaxJar?
Yes. You can link your Shopify account to TaxJar for easier monitoring and updates.
Can I convert any type of currency with TaxJar?
Unfortunately, no. TaxJar cannot convert currencies. The transactions’ amounts are in USdollars. If you’re using a different currency, you’ll need to convert it into USdollars prior to when TaxJar will calculate the tax.