Taxes are always one of the hardest things to do regardless of whether you’re running an enterprise or not. Even more so if you do not have a background in finance or accounting. Tax-related tasks can be overwhelming, especially when you’re full of things to be done. In the event that you do not have the funds to employ an accountant, making it your own can be dangerous. If you make a mistake, you might have to redo things again!
Nearly everyone would prefer to skip this step. However, since it’s mandatory, we have no choice.
So what is the best way to deal with it?
It is always possible to make life easier by using tools like TaxJar.
This article will take a look at this popular life-saving tool and how it can help you. While this is lengthy it is possible to assess whether TaxJar is what you need right now.
Do you prefer watching videos rather than watch them? Check out this video – by Marcus Stonelius on YouTube they also do a full review of TaxJar’s features.
If you prefer to read, we’ll dive right into.
What is TaxJar? Wootax Vs TaxJar
In 2013, TaxJar was established. TaxJar is an online platform that assists you in automating your filings, reports, and sales tax calculation. It is a solution for all aspects of your sales tax cycle. In addition, you can apply it across all your channels of sales to make sure you’re in compliance with your sales taxes. It streamlines processes that require days to complete and is completed in just a few just a few minutes.
TaxJar is used in a variety of industries, including food and beverage businesses, SaaS, retail, services as well as medical institutions.
What can it do to help you?
TaxJar is widely used by online business owners to keep everything organized and straightforward. Let’s take a look at the benefits and features of TaxJar.
Features and services
One of the first things you’ll need to make sure you have a tax accounting software is compatible in conjunction with the sales channels you use. If you have multiple sales channels, you need to keep everything in place. The final thing you would like is to be penalized for missing a single minor point.
TaxJar allows you to display your critical metrics in one place. This means that there is no need to collect information from multiple sources and sort it into one platform. All you have to do is integrate TaxJar it will take care of the rest.
In addition, TaxJar also integrates with other platforms that help with payment processing. Here’s a list highlighting the platforms they can integrate with:
TaxJar lets customers make sales tax filings by hand or using TaxJar’s AutoFile feature. In the purpose of this article, we’ll dig into both.
If you choose to go it alone, TaxJar will allow you to connect your sales platforms. When it comes time to the filing of income tax returns The team will guide you on how to handle these. But, it is up for you and your staff to finish the tax returns on time. TaxJar will only provide guidance on what you have to do but not handle it.
If you’d prefer an Auto file, TaxJar will do the filling – that means you don’t have to fill out the forms in a manual manner. This feature will ensure that everything will be automated from calculating sales taxes to recording and processing it. But, it is possible to incur additional charges if they are you do not include this feature in the plan you choose.
Sales Tax Reports
As we mentioned it is possible to use TaxJar to assist you with your accounting woes. Your orders from your e-commerce channels can be combined into a single dashboard via this platform. Once you’re on the platform, you and your team can access everything you need, like the list of transactions, reports, and data.
The best part about this option is the fact that it lets you to update automatically every day. Not only will they let to know the amount you’ve accumulated and how much you’ve earned, but they also let you track when your following payment is due.
The dashboard allows you to fully view the overall sales taxes in your business. Additionally, you can export the data in CSV format. CSV file, if you want to use it in your process of financial planning and accounting or if your team requires it for centralized reporting.
Streamlining and Training
TaxJar helps you organize and keep on top 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 when you already have your accounting firm, the feature can make them more efficient.
Moreover, knowing the estimates for your sales tax ahead of time will help you plan your funds better. You’ll be aware of the budget you have available for other operational costs.
But what’s even better is that TaxJar provides training and tutorials not only on their platform, but all things that has to do with sales tax. Check out their webinars, guides, and blog for more info. In addition their sales tax calculator is helpful if you’re planning on complete everything yourself.
How much does TaxJar cost?
We understand how important it is to set your budget. Some platforms offer superb features, but they can be too expensive for businesses. For this reason, we’ll look into TaxJar’s pricing tiers and what each of those options can offer you. At present, TaxJar offers three plans including Professional, Starter and Premium.
Their Starter plan is priced at $19. They say it’s the most effective plan to help you in filing and reporting. It comes with sales tax reporting, four free yearly AutoFiles, and a CSV import. With the starter plan, you have access to their AI tax advice.
If you’re a small business manager, the plan will be perfect for you. It may not have all the features of TaxJar, but it has the essentials that you need.
Additionally, you can contact their customer support via their email support chart. Additionally, you’ll have access to their integration tools.
If you’re looking for something a bit more than just the basics Professional might be the right one for you. It’s priced at $99 but it can go higher by adding custom features.
How different is it from the original plan?
Apart from having access to every one of Starter plan’s features, you also have their support via phone Access to APIs, phone support, and the ability to do advanced CSV import. You can also get 12 AutoFiles for free each year.
If you own a huge company, you may need to choose premium plans instead. It includes all of the features you need to help with your taxes. In addition, they offer unlimited integrations with data imports, API integrationsfor team members, and AutoFiles.
They also have a team that is devoted in managing your accounts. But, they don’t divulge the amount that the Premium plan costs you. Wootax Vs TaxJar
However, they did say that this plan is customized for each user. So the costs will vary according to what you require to run your business.
It’s a good thing that you don’t have to risk your money to determine if this service is the right one for you. If you’re still looking into different options, they offer 30 days of free trial. This should give you enough time to see if the platform is an excellent fit for you.
Pros and Pros and
Now that we’ve covered all you must know about TaxJar let’s take a breather. To sum it all up Here are the advantages and disadvantages of using 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 easy to navigate
- The company offers a 30-day trial for free.
- 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 applicable to USA customers
- It is important for owners and accountants to review local laws
The Final Verdict
With everything clearly laid out, TaxJar can be a great platform companies that have many sales channels and utilizes plenty of platforms. If that sounds like what you do, then you ought to try this.
Not only will it aid in tracking your revenue and products, but it can assist you in meeting the deadlines you set. It’s also an excellent option for accountants as they offer a Tax Advisor program. You can get tips and learn from their sessions on taxes by using it.
Using TaxJar can allow you to reduce time and keep track of every deadline or requirement you need to meet. If you’re in a place with complicated tax regulations, this will definitely help you get your head around the subject. Wootax Vs TaxJar
However, if managing your taxes is simple If it isn’t, then TaxJar could be a waste of expense. If you have only one or two sales channels, TaxJar won’t be needed to keep track of all of it. In addition, if you’re finding the entire procedure easy to complete and you’re comfortable with it, you may be better in doing it all by yourself.
FAQ Wootax Vs TaxJar
Which areas does TaxJar provide API assistance?
TaxJar currently supports countries like those of the United States, the EU, Australia, and Canada.
Can I incorporate Shopify into TaxJar?
Yes. You can link your Shopify account to TaxJar for easier monitoring and updates.
Are there any ways to exchange one type of currency with TaxJar?
Unfortunately, no. TaxJar cannot convert currencies. The transactions’ amounts are in USdollars. If you’re using another currency, you’ll have to convert it to US$ before TaxJar will calculate your tax.