Taxes have always been one of the hardest things to do, whether you’re running an enterprise or not. More so if you don’t have a background in accounting or finance. Tax-related tasks can be overwhelming, particularly when you’re filled with tasks to complete. If you don’t have enough money to employ an accountant, doing it on your own can be risky. If you miss one detail, you might have to do it all over again!
Nearly everyone would prefer to avoid this step. However, since it’s mandatory to be done, we can’t choose not to.
So , what can we do about it?
We can make life easier by using tools like TaxJar.
This article will take a look at this well-known life-saving tool and how it can benefit you. Even though this is an extensive read but you’ll be able to assess whether TaxJar is what you need today.
Do you prefer to watch videos instead? Watch this video – by Marcus Stonelius on YouTube they also do a full analysis of TaxJar’s features.
But for those who prefer to read, let’s dive right in.
What exactly is TaxJar? Why Tax Evasion Is Bad
The company was founded in 2013 TaxJar is a platform that helps automate your reporting, filings and sales tax calculations. It’s a solution for your entire sales tax life cycle. In addition, you can apply it across all your channels of sales to ensure that you are in compliance with sales tax requirements. It simplifies the processes that require days to complete and finish within only a few 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 ensure that everything is simple and organized. Let’s take a look at the features and services offered by TaxJar.
Features and services
One of the most important things you’ll want to check is your tax-reporting software is compatible in conjunction with the sales channels you use. If you’re selling through multiple channels, you must keep everything in place. The most important thing is not to get a penalty for overlooking just one minor detail.
TaxJar allows you to display your key metrics in one spot. That way, there’s no requirement to collect data from different channels and organize it into a single platform. All you have to do is integrate TaxJar, it will handle the rest.
Apart from that, TaxJar also integrates with other platforms that can help with payments. Here’s a list of the platforms they are able to integrate with:
TaxJar allows customers to submit their sales tax either manually or via their AutoFile feature. In this review, we’ll look at both.
If you decide to do it manually, TaxJar will allow you to connect all your sales platforms. When the time is right for filing income tax returns TaxJar will train you on managing the tax returns. But, it is up to you and your team members to complete the process within the timeframe. TaxJar is only there to help you understand what you should do but not handle it.
If you’d prefer an Auto file, TaxJar will do the filling for you. This means that you won’t need to fill out the forms in a manual manner. This feature will ensure that everything will be automated, from calculating sales tax through recording, and then processing them. But, it is possible to incur additional charges if they are not part of the plan you select.
Sales Tax Reports
As mentioned earlier that you can utilize TaxJar to ease your accounting woes. The orders you place through your online channels can be put together into one dashboard using this platform. From there you and your team will have access to everything you need, like the list of transactions, reports, and data.
The greatest benefit of this feature is that it allows you to update your account automatically each day. Not only will they let you keep track of how much you’ve collected, but they also help you keep track of when the next payments are due.
The dashboard allows users to view in detail the overall sales taxes within your company. You can also export the information to the form of a CSV file if you need it in your financial planning and accounting processes or if your team needs it to run centralized reports.
Streamlining and Training
TaxJar assists in organizing and keeping the track of all your sales channels. It means you don’t need to scramble for your documents whenever you’re in a pinch. Even when you already have your accountant, this function will aid them in being more efficient.
Additionally, knowing the figures for your sales tax ahead of time will allow you to allocate your money more efficiently. You’ll know better how much budget you have for other operational expenses.
The best part is that TaxJar offers tutorials and training, not just on their platform, but all things related to sales tax. You can look through their webinars, guides as well as their blog to find more info. In addition, their sales tax calculator is useful if you’re planning to complete everything yourself.
How much does TaxJar cost?
We know how crucial it is to set your budget. Some platforms provide amazing features, but they can be too costly for your business. For this reason we’ll take a look at TaxJar’s pricing levels and the features that each of these plans can offer. At present, TaxJar offers three plans including Professional, Starter and Premium.
The Starter plan costs $19. They say it’s the best plan if you need help with filing requirements or reporting. It comes with sales tax reporting, 4 free yearly AutoFiles, and an CSV import. Even with the starter plan, you can access their AI tax recommendations.
If you’re a smaller business manager, the plan could be ideal for you. It may not have all of TaxJar’s features, 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 features.
If you’re looking to get a bit more than just the basic features and options, then the Professional plan may be the best option for you. It starts at $99, but it can go higher when you add additional features.
What is the difference from the starter plan?
In addition to having access to 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 have 12 free AutoFiles each year.
If you have a massive company, you may need to go for the Premium plan instead. It comes with all the features that you require to make your tax filing easier. In addition, they offer unlimited data import integrations Integrations with APIs, teams of users as well as AutoFiles.
There is also a team dedicated to managing your account. However, they don’t disclose how much the Premium plan costs you. Why Tax Evasion Is Bad
But they did state that this plan is tailor-fit for every user. Therefore, the cost will differ according to what you require for your business.
Luckily, you don’t have to bet your life on it to see if this platform is for you. If you’re still looking into various options, they provide a 30-day 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 need to know about TaxJar let’s take a break. To summarize we’ll go over the pros and cons of the use of TaxJar to run your business.
- There is the Tax Advisor option for some plans
- AutoFile features help to reduce time
- Available in most USA states
- Provides on the internet for sales tax calculator
- Has support service team
- The dashboard is simple to navigate
- The company offers a 30-day trial for free.
- It is possible to integrate it with other platforms.
- You can track several sales channels
- Limits for AutoFile are based on the plan
- AutoFile has extra fees
- Certain countries will not have access to the API feature
- Only valid for USA customers.
- Owners and accountants should check local legislation
The Final Verdict
With everything clearly laid down, TaxJar is an excellent platform for companies with numerous sales channels, and that utilizes plenty of platforms. If that sounds like what you do, then you ought to try this.
Not only will it help you track your products and revenue, but it can also help you meet the deadlines you set. This is also an excellent platform for an accountant since they provide the Tax Advisor program. You can find tips and learn from their sessions regarding taxes via it.
The use of TaxJar can allow you to get more done while keeping track of every deadline and requirement you have to fulfill. If you’re in a place with complicated tax laws, this can definitely help you get your head around it. Why Tax Evasion Is Bad
If handling taxes is easy If it isn’t, then TaxJar may be an unnecessary investment. If you have only one or two channels for sales, TaxJar won’t be needed to keep track of all of it. Moreover, if you’re finding the entire procedure easy to complete then you’re better off doing it on your own.
FAQ Why Tax Evasion Is Bad
Which areas does TaxJar offer API assistance?
TaxJar is currently assisting countries such as those of the United States, the EU, Australia, and Canada.
Can I integrate Shopify with TaxJar?
Yes. You can link your Shopify account to TaxJar for easier monitoring and updates.
Do I have the ability to convert every type of currency with TaxJar?
Unfortunately, no. TaxJar does not convert currency values. All of the transactions’ amounts are in USdollars. If you’re using another currency, you will need to convert it to US$ before TaxJar determines your tax.