Taxes are always one of the most difficult tasks to complete, whether you’re running an enterprise or not. More so if you don’t have a background in finance or accounting. Tax-related work aren’t easy, particularly when you’re packed with things to do. When you’re not able to afford the funds to engage an accountant making it your own could be risky. If you make a mistake and you don’t know it, you may need to repeat the process!
Almost everyone wants to skip this step. But , as it’s a requirement, we have no choice.
What can we do ?
It is always possible to make life easier with tools such as TaxJar.
Here we’ll take a look at this popular life-saving tool and how it can benefit you. Although this is quite lengthy but you’ll be able to assess whether TaxJar is exactly what you need right now.
Do you prefer watching videos rather than watch them? Watch this video – by Marcus Stonelius on YouTube they also provide a comprehensive review of TaxJar’s features.
But for those who prefer to read, we’ll dive right into.
What is TaxJar What Is TaxJar
In 2013, TaxJar was established. TaxJar is an application that automatizes your reports, filings, and sales tax calculations. It’s a solution for the entire life cycle. Additionally, you can use it across all the sales channels you use to ensure compliance with your sales taxes. It simplifies the processes that take days to complete and is completed in just a few minutes.
TaxJar has been utilized in various industries like food and beverage businesses, SaaS, retail, services as well as medical institutions.
How can this help you?
TaxJar is widely used by business owners who run online businesses to make their business more organized and straightforward. Let’s explore the features and services offered by TaxJar.
Features and services
One of the first things you’ll need to ensure you have a tax accounting system seamlessly works well in conjunction with the sales channels you use. If you’re using multiple sales channels, you must ensure that everything is in order. The final thing you would like is to get a penalty for overlooking just one minor detail.
TaxJar lets you display your most important metrics in one spot. So, there’s no need to collect data in multiple channels and organize it into one platform. All you have to do is connect TaxJar and the platform will handle the rest.
In addition, TaxJar also integrates with other platforms to assist in the process of making payments. Here’s a list highlighting the platforms they can integrate with:
TaxJar lets customers submit their sales tax manually or through TaxJar’s AutoFile feature. In the purpose of this article, we’ll dig into both.
If you opt to manually file your tax returns, TaxJar will allow you to connect all those sales tools. When the time is right for filing income tax returns, the team will instruct you on managing them. It is up to you and your team members to complete everything on time. TaxJar is only there to guide you on what you should do but not handle it.
If you’d prefer an Auto file, TaxJar will do the filling – that means you won’t need to fill out all forms by hand. This feature will ensure that everything will be automated, from calculating sales taxes through recording, and then processing it. But, it is possible to incur extra fees if you do not include this feature in the plan you chose.
Sales Tax Reports
As we mentioned, you can use TaxJar to ease your accounting problems. The orders you place through your online channels can be put together into a single dashboard via this platform. Once you’re on the platform you and your team will have access to all the information you require, including a list of your transactions, reports, and the data.
The best part about this option is the fact that it lets you to automatically update every day. Not only will they let you know how much you’ve accumulated, but they also help you track when your following payment is due.
The dashboard allows users to view in detail the total sales tax for your business. Additionally, you can export your data as CSV format. CSV file in case you require it for your accounting and financial planning processes or if your team requires it for central reporting.
Training and Streamlining
TaxJar helps organize and keep the track of all your sales channels. That means you won’t have to search for your documents when you need them in a pinch. Even even if you already have an accountant, this feature can help them be more efficient.
Furthermore, knowing the estimated amount for your sales tax in advance can help you allocate your funds more effectively. You’ll know exactly how much budget you have for other operating expenses.
But what’s even better is that TaxJar offers tutorials and training not only for their platform , but also for anything connected to sales tax. You can look through their webinars, guides and blog for more details. In addition, their sales tax calculator can be beneficial when you’re planning to complete everything yourself.
How much does TaxJar cost?
We understand how important it is to establish your budget. Some platforms provide amazing features, but they’re sometimes too costly for your business. This is why in this section we’ll examine TaxJar’s pricing tiers and the features that each of these choices can provide you. Presently, TaxJar offers three plans that are: Professional, Starter and Premium.
Their Starter plan costs $19. They claim that it’s the most effective plan if you need help in filing and reporting. It comes with sales tax reporting, 4 free yearly AutoFiles, and a CSV import. Even with the basic plan, you have access to their AI tax recommendations.
If you’re a small business owner, this plan should be perfect for you. It may not have all of TaxJar’s features however, it does include all the basics you require.
In addition, you can reach their customer support via their support chart for email. You’ll also be able to use their integration capabilities.
If you’re looking for that is more than the standard features and options, then the Professional plan might be the right one for you. It starts at $99, but you can increase it when you add additional features.
How different is it from the basic plan?
In addition to accessing each of Starter plan’s features, you also get access to their phone customer support Access to APIs, phone support, and advanced CSV import. Additionally, they allow you to get 12 AutoFiles for free each year.
If you own a huge enterprise, you may want to go for premium plans instead. It has all of the features you need to help with your taxes. In addition, they offer unlimited data import integrations API integrationsfor team users and AutoFiles.
There is also a team that is devoted to managing your account. However, they don’t disclose the price of the Premium plan. will cost you. What Is TaxJar
However, they did mention that this plan is tailor-fit to each user. Therefore, the cost will differ in line with what you require for your company.
Luckily, you don’t have to risk your money to determine if this service is the right one for you. If you’re still considering different options, they offer the opportunity to try a free trial for 30 days. It should give you enough time to determine if the platform is a good fit 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 pros and cons of the use of TaxJar for your business.
- Does the plan include the Tax Advisor option for some plans
- AutoFile features save time
- Available in most USA states
- Provides Taxes on sales online calculator.
- Support Service Team
- The dashboard is easy to navigate
- It offers a free trial of 30 days.
- It is possible to integrate it with other platforms.
- Allows you to track multiple sales channels
- Limits on AutoFile are determined by the plan
- AutoFile has extra fees
- Some countries won’t have access to the API feature
- Only valid for USA customers.
- Needs accountants and owners to check local legislation
The Final Verdict
With everything clearly laid down, TaxJar is an excellent platform for companies with many sales channels and utilizes plenty of platforms. If that’s what you do, then you ought to try this.
It’s not just a way to aid in tracking your revenue and products, but it can assist you in meeting the deadlines you set. It’s also an excellent opportunity for accountants since they offer a Tax Advisor program. You can get tips and gain knowledge from their workshops regarding taxes via it.
Using TaxJar will help you save more time while keeping on top of each deadline or requirement you need to fulfill. If you’re in a place with complicated tax laws, this can certainly help you to get your head around it. What Is TaxJar
But if handling your taxes is straightforward 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 everything. If you find the whole procedure easy to complete and you’re comfortable with it, you may be better in doing it all by yourself.
FAQ What Is TaxJar
What are the areas in which TaxJar provide API assistance?
TaxJar currently works with countries like the United States, the EU, Australia, and Canada.
Do I have the ability to incorporate Shopify together with TaxJar?
Yes. You can connect your Shopify account to TaxJar for easier monitoring and updates.
Do I have the ability to convert every kind of currency using TaxJar?
Unfortunately, no. TaxJar doesn’t convert currencies. All transactions are in US$. If you’re using another currency, you’ll need to convert it to USdollars before TaxJar can calculate the tax.