Taxes are always one of the most difficult things to handle, whether you’re running your own business or not. More so if you don’t have any experience in finance or accounting. Tax-related work can be overwhelming, particularly when your whole day is full of things to be done. If you don’t have the funds to engage an accountant doing it on your own could be dangerous. If you make a mistake, you might have to do it all over again!
Most people want to skip this step. However, since it’s mandatory, we have no choice.
What can we do ?
We can always simplify our lives with tools such as TaxJar.
Here we’ll take a look at this popular life-saving tool and explain how it can benefit you. Even though this is an extensive read, you should be able to gauge whether TaxJar is the tool you require right now.
Do you prefer to watch videos instead? Watch this video – by Marcus Stonelius on YouTube they also do a full review of TaxJar’s features.
If you prefer to read, let’s dive right in.
What is TaxJar Where Is TaxJar Based
The company was founded in 2013 TaxJar is an application that automatizes your reports, filings, and sales tax calculation. TaxJar is a solution to the entire life cycle. Additionally, you can use it across all of your channels of sales to ensure compliance with your sales taxes. It streamlines processes that require days to complete and can be completed in a matter of minutes.
TaxJar has been utilized in different industries such as food and beverage companies, SaaS, retail, services as well as medical institutions.
What can it do to help you?
TaxJar is extensively used by owners of online businesses to keep everything neat and simple. Let’s take a look at the features and services offered by TaxJar.
Services and features
One of the most important things you’ll need to make sure is that your accounting tax platform is compatible in conjunction with the sales channels you use. If you’re using multiple sales channels, you must keep everything in place. The final thing you would like is to get a penalty for missing a single minor point.
TaxJar allows you to display your most important metrics in one place. This means that there is no need to collect information from multiple sources and organize it into a single platform. All you need to do is connect TaxJar, it will take care of the rest.
Apart from that, TaxJar also integrates with other platforms that help in the process of making payments. Here’s a list of platforms they are able to integrate with:
TaxJar allows customers to submit their sales tax either manually or via the AutoFile feature. For the purpose of this article, we’ll take a look into both.
If you choose to go it alone, TaxJar will allow you to connect all those sales tools. Once the time comes for filing tax returns for income TaxJar will train you on how to handle the tax returns. However, it will be up to you and your staff to complete the process within the timeframe. TaxJar is 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 for you. This means that you don’t have to fill out all forms by hand. This feature will ensure that everything will be automated, from calculating sales tax through recording, and then processing them. However, there might be extra fees if you do not include this feature in the plan you chose.
Sales Tax Reports
As I mentioned earlier, you can use TaxJar to ease your accounting issues. The orders you place through your online channels can be combined into a single dashboard through this platform. Once you’re on the platform, you and your team will have access to everything you require, including an inventory of your transactions, reports and the data.
The best part about this option is the fact that it lets you to update your account automatically each day. They not only let you keep track of how much you’ve accumulated, but they also help you determine when your next payments are due.
Their dashboard also allows users to view in detail the overall sales taxes in your business. You can also export your data to the form of a CSV file if you need it for your financial planning and accounting processes or if your team needs it for central reporting.
Streamlining and Training
TaxJar helps you organize and keep the track of all the sales avenues you use. It means you don’t need to hunt for your paperwork whenever you’re in the event of a need. Even even if you already have an accountant, this feature can help them be more efficient.
Moreover, knowing the estimates for the sales tax you pay in advance will allow you to allocate your funds better. You’ll know better how much budget you have for other operating expenses.
What’s more is that TaxJar provides training and tutorials and tutorials, not just for their platform , but also all things that has to do with sales tax. Check out their guides, webinars, and blog for more information. Apart from that, their sales tax calculator should be beneficial when you’re planning to complete everything yourself.
How much does TaxJar cost?
We understand how important it is to determine your budget. Some platforms provide amazing features, but they can be too costly for your business. For this reason, we’ll look into TaxJar’s pricing levels and what each of those choices can provide you. Presently, TaxJar offers three plans that are: Professional, Starter and Premium.
Their Starter plan is priced at $19. They say it’s the most effective plan if you need help with filing requirements or reporting. It comes with sales tax reporting, 4 free yearly AutoFiles, and an CSV import. With the starter plan, you will be able to access their AI tax tips.
If you’re a smaller business manager, the plan could be perfect for you. It may not have all of TaxJar’s features but it comes with all the basics you require.
In addition, you can reach their support team with their support chart for email. Additionally, you’ll have access to their integration tools.
If you’re looking for different from the basic features, then the Professional plan could be the one for you. It starts at $99, however, it could go up if you add custom features.
So how different is it from the original plan?
In addition to having access to all of the Starter plan’s features, you also get access to the support of their customer service via phone, API access, and sophisticated CSV import. You can also receive 12 free AutoFiles every year.
If you own a huge company, you may need to go for an upgrade instead. It includes all of the features that you require to make your tax filing easier. Additionally, they permit unlimited integrations with data imports, API integrations, team members as well as AutoFiles.
They also have a team who are devoted to managing your account. But, they don’t divulge the amount that the Premium plan is going to cost. Where Is TaxJar Based
However, they did say that this plan is tailor-fit for each user. The cost of the plan will be different according to what you require to run your business.
Luckily, you don’t have to gamble your money just to determine if this service is for you. If you’re still looking into other options, they have a 30-day free trial. This should give you enough time to gauge if the platform is a good fit for you.
Pros and Cons
Now that we’ve covered all you must know about TaxJar let’s take a break. In order to sum up the whole thing, here are the pros and cons of using TaxJar for your company.
- There is a Tax Advisor option for some plans
- AutoFile features can help you to reduce time
- Available in most USA states
- Provides an online sales tax calculator.
- Has support service team
- The dashboard is simple to navigate
- Offers a 30-day free trial
- It is possible to integrate it with other platforms.
- It allows you to monitor multiple sales channels
- Limits on AutoFile are determined by the plan
- AutoFile has extra fees
- Certain countries will not be able to access the API feature.
- Only valid for USA customers.
- Owners and accountants should review local laws
The Final Verdict
With everything laid out TaxJar is an excellent platform for companies with many sales channels and utilizes plenty of platforms. If that sounds like what you do, then you should try this.
Not only will 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 platform for an accountant since they offer tax Advisor program. You can find tips and learn from their sessions regarding taxes via it.
Utilizing TaxJar will help you reduce time and keep on top of each deadline and requirement you have to meet. If you’re living in a place with complicated tax laws, this will surely help you wrap your mind around it. Where Is TaxJar Based
However, if managing taxes is easy If it isn’t, then TaxJar may be an unnecessary expense. If you only have one or two sales channels, TaxJar won’t be needed to track all of it. In addition, if you find the entire procedure easy to complete, you might be better off doing it by yourself.
FAQ Where Is TaxJar Based
Which areas does TaxJar provide API assistance?
TaxJar is currently assisting countries such as Australia, the United States, the EU, Australia, and Canada.
Can I connect Shopify into TaxJar?
Yes. You can link your Shopify account with TaxJar for easier monitoring and updates.
Can I convert any type of currency using TaxJar?
Unfortunately, no. TaxJar does not convert currency values. All of the transactions are in US$. If you’re using another currency, you’ll need to convert it to US$ before TaxJar can calculate the tax.