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Taxes. No one likes them and I’m sure that small business crafters certainly would rather be creating products than crunching numbers to file sales tax returns. Today, I’m taking a minute to highlight a service called TaxJar which automatically computes your sales tax and will even file for you. Before I tell you all about them, this post has been a long time coming. Last week, I celebrated my one year anniversary of using TaxJar. I was not solicited to write this post.
Need a refresher on sales tax? Check out this post.
What is TaxJar?
TaxJar is an online service that computes your sales tax and either gives you a report with accurate numbers to file your sales tax return, or you can set TaxJar to file it automatically for you.
How does it Work?
When you sign up and create an account with TaxJar you will connect the marketplaces you sell through to your TaxJar account. TaxJar automatically pulls over your sale amounts and crunches the numbers, allowing you to quickly and accurately file your sales tax return – or have them automatically file it. That’s it! Currently, TaxJar is compatible with:
- Etsy
- Paypal
- Square
- Shopify
- Stripe
- Amazon
- Ebay
- Woocommerce
- Ecwid
- Big Commerce
- …and more!
How much does TaxJar Cost?
TaxJar is billed monthly based on the number of transactions you do. For most craft businesses, you’ll fall into either the Basic or Plus plans – 1,000 transactions or 5,000 transactions – for $19 a month or $49 a month. If you’d like TaxJar to automatically file your return, it’s $19.95 per filing per state.
My Thoughts After a Year
Like I mentioned earlier, as of last week, I’ve now used TaxJar for a year and have had zero issues. I file sales tax in the state of Florida monthly. The first several months, I used the end of month report to manually file sales tax on the state of Florida website. On the fourth month, I put my faith in TaxJar and let it file my return automatically. To date, TaxJar is still filing my returns automatically.
If you’d like to give TaxJar a try, they offer a 30 day free trial if you click here.
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