Taxes have always been among the most difficult tasks to complete regardless of whether you run a business or not. Even more so if you do not have a background in finance or accounting. Tax-related tasks can be overwhelming, particularly when your whole day is filled with tasks to complete. If you don’t have the funds to employ an accountant, making it yourself can be risky. If you make a mistake, you might need to repeat the process!
Almost everyone wants to skip this step. But , as it’s a requirement to be done, we can’t choose not to.
What can we do ?
We can make our lives easier by using tools like TaxJar.
We’ll look at this life-saving tool and how it can assist you. Even though this is a long read, you should be able to assess whether TaxJar is the tool you require in the present.
Are you looking video streaming instead? Take a look at this video by Marcus Stonelius on YouTube they also give a complete review of the features offered by TaxJar.
For those who like to read, then let’s dive right in.
What exactly is TaxJar? Which Is Better Vs Or Vs Code
Founded in 2013, TaxJar is an application that automatizes your reports, filings, and sales tax calculations. It is a solution for the entire life cycle. Additionally, you can use it across all of your channels of sales to ensure that you are in compliance with sales tax requirements. It streamlines processes that require days to complete and is completed in just a few minutes.
TaxJar has been used in a variety of industries, including food and beverage companies, SaaS, retail, services, and even medical institutions.
How can this help you?
TaxJar is extensively used by business owners who run online businesses to make their business more neat and simple. Let’s look into the features and services offered by TaxJar.
Features and services
One of the first things you’ll want to check is your tax-reporting software perfectly integrates in conjunction with the sales channels you use. If you’re using multiple sales channels, it is essential to maintain everything in line. The most important thing is not to be penalized for missing a single minor point.
TaxJar allows you to show your most important data in one location. So, there’s no need to gather information from multiple sources and organize it into one platform. All you need to do is integrate TaxJar, and the platform will take care of all the rest.
In addition, TaxJar also integrates with other platforms to assist 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 the purpose of this article, we’ll take a look at both.
If you decide to manually file your tax returns, TaxJar will allow you to connect all the sales channels you use. Once the time comes for filing income tax returns, the team will instruct you on managing them. But, it is up to you and your team members to complete everything within the timeframe. TaxJar is there to guide you on what you have to do but not handle it.
If you would prefer an Auto file, TaxJar will do the filling – that means you don’t have to submit the forms in a manual manner. Through this feature, everything will be automated from calculating sales tax through recording, and then processing it. There could be additional costs if the feature is you do not include this feature in the plan you select.
Sales Tax Reports
As we mentioned it is possible to use TaxJar to ease your accounting woes. All orders made through your e-commerce channels can be combined into one dashboard using this platform. From there you and your staff will have access to everything you need, such as an inventory of your transactions, reports and the data.
The best part about this feature is that it allows you to automatically update every day. Not only can they help to know the amount you’ve accumulated and how much you’ve earned, but they also let you track when your following payments are due.
Their dashboard also allows you to fully view the overall sales taxes for your business. You can also export the data in the form of a CSV file if you need it to aid in process of financial planning and accounting or if your team needs it for centralized reporting.
Streamlining and Training
TaxJar helps organize and keep the track of all the sales avenues you use. This means that you don’t have to scramble for your documents when you need them when you’re 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 will allow you to allocate your funds better. You’ll know exactly how much budget you have available for other operating costs.
The best part is that TaxJar offers training and tutorials, not just on their platform, but for anything related to sales tax. Check out their webinars, guides or blog posts for additional details. In addition, their sales tax calculator is useful if you’re planning to do everything on your own.
How much does TaxJar cost?
We know how crucial it is to determine your budget. Some platforms offer superb features, but they’re sometimes too costly for your business. For this reason we’ll examine TaxJar’s pricing levels and what each of these options can offer you. Currently, TaxJar offers three plans: Starter, Professional, and Premium.
Their Starter plan starts at $19. They say it’s the best plan if you need help in filing and reporting. It comes with taxes on sales and sales as well as four autofiles for free each year, and the option of a CSV import. Even with the basic plan, you will be able to access their AI tax recommendations.
If you’re a smaller business owner, this plan could be ideal for you. It might not include all of TaxJar’s features however, it does include the basic features you require.
You can also contact the support team via their email support chart. Additionally, you’ll have access to their integration capabilities.
If you’re looking to get different from the basics Professional might be the right one for you. It’s priced at $99 but it can go higher when you add additional features.
What is the difference from the basic plan?
Apart from having access to each of Starter plan’s features, you also have their phone customer support Access to APIs, phone support, and advanced CSV import. Additionally, they allow you to receive 12 free AutoFiles every year.
If you run a large business, you might need to opt for the Premium plan instead. It comes with all the features you need to help with your taxes. Additionally, they permit unlimited integrations with data imports API integrationsfor team members, and AutoFiles.
They also have a team dedicated for managing the account. But, they don’t divulge the price of the Premium plan. will cost you. Which Is Better Vs Or Vs Code
However, they did say that this plan is tailor-fit for every user. Therefore, the cost will differ according to what you require for your company.
Fortunately, you don’t need to bet your life on it to see if this platform is the right one for you. If you’re still considering different options, they offer 30 days of free trial. This should give you enough time to gauge whether the software is an excellent fit for you.
Pros and Cons
We’ve covered everything you should know about TaxJar let’s take a breather. In order to sum up the whole thing, here are the advantages and disadvantages of the use of TaxJar for your business.
- Has a Tax Advisor option for some plans
- AutoFile features can help you to reduce time
- Available in most USA states
- Provides on the internet for sales tax 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
- AutoFile limit is based on 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 check local legislation
The Final Verdict
With everything laid out TaxJar is an excellent platform for businesses with multiple sales channels and uses plenty of platforms. If that sounds like what you’re doing, then must try TaxJar.
Not only can it aid in tracking your revenue and products, but it can help you meet the deadlines you set. It is also a great platform for an accountant since they have tax Advisor program. You can find tips and gain knowledge from their workshops regarding taxes via it.
The use of TaxJar can allow you to get more done while keeping track of every deadline and obligation you have to meet. If you’re in an area with complex tax regulations, this will definitely help you get your head around the subject. Which Is Better Vs Or Vs Code
However, if managing your taxes is straightforward, then TaxJar might not be a good expense. If you’re only dealing with one or two sales channels, TaxJar won’t be needed to track all of it. If you find the whole process easy to do and you’re comfortable with it, you may be better off doing it by yourself.
FAQ Which Is Better Vs Or Vs Code
Which areas does TaxJar offer API support?
TaxJar currently supports countries like the United States, the EU, Australia, and Canada.
Can I connect Shopify into TaxJar?
Yes. You can sync your Shopify account with TaxJar for easier monitoring and updates.
Can I convert any kind of currency using TaxJar?
Unfortunately, no. TaxJar cannot convert currency values. All of the transaction amounts are n US$. If you’re using a different currency, you’ll have to convert it into USUSD before TaxJar determines your tax.