Taxes have always been among the hardest things to do regardless of whether you’re running a business or not. Even more so if you do not have a background in accounting or finance. Tax-related issues can be overwhelming, especially when you’re packed with things to do. When you’re not able to afford the budget to employ an accountant, doing it on your own can be risky. If you miss one detail and you don’t know it, you may need to repeat the process!
Nearly everyone would prefer to skip this step. But since it’s required and mandatory, there’s no other choice.
So , what is the best way to deal with it?
We can make life easier by using tools like TaxJar.
We’ll look at this popular life-saving device and how it can help you. While this is a long read but you’ll 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 provide a comprehensive analysis of TaxJar’s features.
For those who like to read, then we’ll dive right into.
What is TaxJar What Is The Other Exempt Category Under TaxJar
Founded in 2013, TaxJar is an online platform that assists you in automating your reporting, 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 finish within only a few minutes.
TaxJar has been utilized in different industries such as food and beverage businesses, SaaS, retail, services as well as medical institutions.
How can this help you?
TaxJar is extensively used by business owners who run online businesses to make their business more simple and organized. Let’s take a look at the benefits and features of TaxJar.
Services and features
One of the first things you’ll need to ensure is your tax-reporting software perfectly integrates along with sales funnels. If you’re selling through multiple channels, you need to keep everything in place. The last thing you want is to face a penalty due to overlooking just one minor detail.
TaxJar lets you display your critical metrics in one place. That way, there’s no need to collect data from different channels and then organize it on a single platform. All you have to do is connect TaxJar and the platform will do the rest.
In addition, TaxJar also integrates with other platforms that help with payments. Here’s a list highlighting the platforms they are able to integrate with:
TaxJar allows customers to file their sales taxes by hand or using their AutoFile feature. In our review we’ll look at both.
If you decide to manually file your tax returns, TaxJar will allow you to connect all of those sales tools. When it comes time to the filing of income tax returns, the team will instruct 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 will only help you understand what you should do , but not to handle it.
If you’d prefer an Auto file, TaxJar will do the filling for you. This means that you don’t have to submit any forms manually. With this feature, everything will be automated, from calculating sales tax through recording, and then processing them. But, it is possible to incur extra fees if not included in the plan you select.
Sales Tax Reports
As we mentioned it is possible to use TaxJar to assist you with 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 staff will have access to all the information you require, including the list of transactions, reports, and data.
The most appealing aspect of this option is the fact that it allows you to update your account automatically each day. Not only will they let you know how much you’ve collected, but they also help you track when your following payment is due.
Their dashboard can also allow you to fully view the total sales tax for your business. You can also export the information in the form of a CSV file in case you require it to aid in process of financial planning and accounting or if your team needs it for central reporting.
Streamlining and Training
TaxJar assists in organizing and keeping track of all of the sales avenues you use. It means you don’t need to hunt for your paperwork when you’re in the event of a need. Even if you already have your accountant, this function can aid them in being more efficient.
Furthermore, knowing the estimated amount for your sales tax in advance will help you plan your funds better. You’ll be aware of the budget you have to cover other operational costs.
The best part is that TaxJar offers training and tutorials not only on their platform, but everything connected to sales tax. You can look through their webinars, guides, or blog posts for additional information. Additionally their sales tax calculator should be useful if you’re planning to do everything on your own.
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. For this reason we’ll examine TaxJar’s pricing structures and what each of these plans can offer. Currently, TaxJar offers three plans: Starter, Professional, and Premium.
Their 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 the tax on sales, 4 annual AutoFiles for free, as well as an CSV import. Even with the basic plan, you can access their AI tax advice.
If you’re a small business manager, the plan will be ideal for you. It may not offer all the features offered by TaxJar however, it does include the basic features you require.
Additionally, you can contact their customer support via their support chart for email. Additionally, you’ll have access to their integration features.
If you’re looking to get different from the basics and options, then the Professional plan may be the best option for you. It starts at $99, however, it could go up when you add additional features.
What is the difference from the basic plan?
In addition to accessing each of Starter plan’s features, you also have their phone customer support access to APIs, as well as the ability to do advanced CSV import. You can also receive 12 free AutoFiles every year.
If you own a huge business, you might need to opt for the Premium plan instead. It includes all of the features that you require to aid in your tax preparation. In addition, they offer unlimited data import integrations API integrations, team users as well as AutoFiles.
There is also a team who are devoted to managing your account. However, they don’t disclose the price of the Premium plan. will cost you. What Is The Other Exempt Category Under TaxJar
However, they did mention that the plan is custom-made for each user. So the costs will vary depending on what you need to run your business.
It’s a good thing that you don’t have to gamble your money just to find out if the platform is the right one for you. If you’re still considering other options, they have 30 days of free trial. It should give you enough time to gauge whether the service is the right choice for you.
Pros and Pros and
After we’ve gone over everything you should know about TaxJar let’s take a breather. In order to sum up the whole thing we’ll go over the advantages and disadvantages of making use of TaxJar for your business.
- Does the plan include a Tax Advisor option for some plans
- AutoFile features save time
- Available in most USA states
- Provides an online sales tax calculator
- Support service team
- The dashboard is simple to navigate
- Offers a 30-day free trial
- It can be integrated with other platforms
- You can track several 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 for USA customers
- It is important for owners and accountants to check local legislation
The Final Verdict
With everything laid out TaxJar is an excellent platform for companies with multiple sales channels and uses plenty of platforms. If that sounds like what you’re doing, then should try this.
Not only can it help you track the sales and profits of your business, but it can also help you meet the deadlines you set. It’s also an excellent option for accountants as they have the Tax Advisor program. You can get tips and get knowledge from their seminars on taxes by using it.
Utilizing TaxJar will help you save more time while keeping track of every deadline and requirement you have to fulfill. If you’re in a region with a lot of tax laws, this will definitely help you get your head around the subject. What Is The Other Exempt Category Under TaxJar
If handling your taxes is simple and straightforward, then TaxJar could be a waste of expense. If you only have one or two channels for sales, TaxJar won’t be needed to track everything. If you find the entire procedure easy to complete, you might be better to do it by yourself.
FAQ What Is The Other Exempt Category Under TaxJar
What areas does TaxJar offer API support?
TaxJar is currently assisting countries such as those of the United States, the EU, Australia, and Canada.
Can I integrate Shopify together with TaxJar?
Yes. You can link your Shopify account with TaxJar for easier monitoring and updates.
Do I have the ability to convert every kind of currency with TaxJar?
Unfortunately, no. TaxJar does not convert currencies. The transactions are in USdollars. If you’re using a different currency, you’ll have to convert it to USUSD prior to when TaxJar determines your tax.