In doing business, it’s crucial to understand the importance of tax compliance. It’s not just what keeps your business matters going, but also what makes up our economy. However, here’s a thing about managing tax-related matters that entrepreneurs like you can relate to in any way: it’s very complicated; much harder if you’re part of a small team, or even worse if you’re handling everything alone.
You don’t have to worry about it today! There are tons of services that are guaranteed to do most of the work for you. One of these is TaxJar, which offers state-of-the-art features and services to large, medium, and small businesses, and even freelance merchants.
Of course, TaxJar isn’t the end-all, be-all tax compliance solution out there. With that in mind, we’ll be taking a look at the platform’s most qualified alternatives, as well as how their features fare in comparison, the pricing, and the overall customer experience. Without further ado, let’s begin!
For those of you who prefer a more visual experience, here is a video review from Marcus Stonelius’ YouTube channel. Do check out our article below, however, because it has a comprehensive overview of TaxJar.
TaxJar vs. Avalara Taxjar Vs Opposite Of Sales Tax
Avalara is equipped with a diverse set of tax and business tools within your reach. Avalara is also considered to be TaxJar’s most close alternative. Avalara includes a convenient business license form, an all-in one sales tax registration process and the AvaTax calculation software. It also offers a quick-access file/remit option for small businesses that can’t afford to have in-house or third-party accounting management.
Meanwhile, TaxJar has the AutoFile tool which does most of the sales tax filing work for you, economic nexus insights for whenever your business expands to other territories, real-time calculations with crazy accurate results, and automated reports. Taxjar Vs Opposite Of Sales Tax
Comparisons of the pros and cons
TaxJar has proven to be a reliable tool for simplifying complex sales tax compliance issues. It’s also easier to manage nexus determination between US states.
TaxJar offers exceptional services. Avalara goes one step further, offering more advanced features to suit a wider range of tax classes. The free trial period is longer than TaxJar’s, the pricing is more transparent, and availability extends beyond the US with more than 80 countries on the line, though we’re not certain they receive the same powerful services that US businesses benefit from.
TaxJar tends to have misunderstanding issues in terms of some parts of the interface, plus the pricing is not fully fixed given there may be additional fees especially once the user hits the quota of any of its low-tier plans. It’s also not fully automated as TaxJar claims, since some features may need extra work on the user’s part. Avalara, on the other hand, has been notorious for its bad customer service and lacking certain local features such as options for state and local tax filings for most tiered plans.
Like TaxJar’s, the interface can be quite confusing, especially for smaller-scale businesses. Despite this, both Avalara and TaxJar have been appreciated for their ease-of-use and time-saving traits, as well as their rooftop-accurate calculations, and to some extent, the starting price range of $19.
TaxJar vs. TaxCloud
TaxCloud shares the same goals as TaxJar, providing reliable sales tax compliance for a wide range of customers. The only difference that sets it apart from the rest is its lower price range. TaxCloud is a cost-effective solution for managing taxes. It starts at $10 and includes “core services”, such as tax calculation and reporting, tax compliance and economic nexus tools like TaxJar’s.
TaxCloud used to offer a free service that allowed users to use the platform’s tax compliance tools, without having to pay. TaxCloud’s free service has been discontinued due to the Supreme Court’s 2018 ruling on nexus. Still, it’s quite impressive that the team is still dedicated to bringing sales tax solutions for prices as low as possible. TaxCloud integrates seamlessly with more than 85 e-commerce services, including Amazon, Stripe and Shopify. It also allows users to track sales tax progress, as well as product-type and use-based tax exemptions, in between US states.
Comparisons of the pros and cons
TaxCloud makes it clear that its best selling is the low price and extreme cost-efficiency. To compare, TaxJar offers similar sales tax services starting at $19. TaxCloud’s other major advantages include the solid reporting and calculating, which keeps a wide variety of businesses on track.
Although it has been proven to an excellent tool for any business strategy, it is difficult to overlook its flaws. TaxCloud’s customer support has been criticised for not responding quickly to important questions, much like Avalara’s. There have also been a few reports on the slow dashboard, plus possible hidden fees that could occur.
TaxCloud and TaxJar share many similarities. We can only give you the best answers if they have similar calculation rates and a simplified user interface. Taxjar Vs Opposite Of Sales Tax
TaxJar vs. Sovos Taxify
Sovos Taxify is next on our list of TaxJar competitors. This offers more options and features for business owners than TaxJar. They’re quite more advanced than you might think – like, Avalara-type advanced. Taxify claims it offers a “world-class” sales tax service that requires no effort from the user. It offers a simple user interface. It also gives customers flexibility with a couple of competitive features like PDF filings, payment information, the cooperative nature of the sales tax payment process, and allowance for customization, among other things.
Despite its attractiveness, some entrepreneurs may be turned off by the high price. Taxify’s advanced features will, undoubtedly, reflect the pricing. TaxJar’s starting plan starts at $47 per month. This is more than twice as much as Taxify. But, if you could ask anyone who has used Taxify beforehand in their business plan, they may say the experience was worth the price.
Pros, Cons, and Similarities
If there’s one unique thing that Taxify has, it’s customer service. It’s available on many platforms, including e-mail support. However, it is always available to assist you when you need it. Taxify’s ability to customize information before users can send reports adds an extra layer of assurance.
At $47 upwards, Taxify’s pricing range is quite expensive compared to others. The amount is okay enough for larger-scale businesses, but for smaller ones, it’s understandable for them to think it may be too much. In addition, there have been some complaints about technical data-related issues and problems with calculating negative transactions.
Despite the cons, Taxify has a few similar traits to TaxJar, in that they offer easy integration with most apps and their ease of use.
TaxJar vs. Quaderno
Quaderno is a platform that allows you to concentrate on more important matters like TaxJar. It also has the ability to track sales tax nexus in territories other than the US, such as Avalara. Quaderno is praised for its outstanding performance. It offers flexible, automated sales tax compliance services around the globe “in just a click”.
Quaderno’s other highlights include an easy-use dashboard where users can take a look at all the detailed data from all those integrations and taxes, automatic sales tax calculations and reports within the US and beyond, and a 100% customizable invoices added with multiple language support. You could get all these starting at $29 per month with the Hobby plan.
Pros, Cons, and Similarities
Quaderno, like Sovos Taxify hits the sweet spot in customer service. Quaderno users will always receive the assistance they require for any situation. This service is also much more reliable than TaxJar or even Avalara. Quaderno works best for US-based companies, but it is also reliable with international users. Also worth mentioning is the transparent reporting and its powerful API tool, among other nice things.
Quaderno is perfect in all aspects. However, we must point out a few shortcomings, including a lack custom domain support and guides for tax-related questions. Its free-trial period is one of, if not the shortest, compared to all our other competitors on this list, with a span of 7 days. We can’t deny the ease of Quaderno’s use and accuracy rates, despite its short trial period.
TaxJar vs. Vertex
Vertex is a SaaS tax compliance service that has the same caliber as our competitors at Taxify, Avalara, and even TaxJar. Its longevity in the industry, with more than 40 years of experience, is what makes it stand out. While TaxJar and other similar platforms know a thing or two about the state of tax management today, Vertex has more years of experience, knowing what’s been happening. That’s what makes it one of the leading tax software in the market. Vertex’s global reach is similar to Quaderno and its quick-action calculations between various types of taxes, not just sales tax, makes it a great choice. Its popularity is due to its ease-of-use.
With Vertex, users get additional features including support for physical locations with Vertex O Series Edge, the Data Integrity system designed for tax pros with a simple and comprehensive interface, and a Certificate Center where all types of documents from tax applications to exemption certificates are stored in the cloud. Vertex does not have a fixed price range or subscription options. However, you may want to contact its customer support so you could sort out the payment.
Comparisons of the pros and cons
Vertex isn’t just well-known for its simplicity of use, such as TaxJar or others. Vertex is also well-known for offering advanced tools to help finance and business owners with all their tax-related issues. Most users have praised Vertex for its organized file handling, diverse features that go beyond online stores and even beyond US territory, and of course, pinpoint-accurate calculations and data collection.
As Vertex seems to be a good fit for large entrepreneurship, it may not be as ideal for smaller businesses due to its complex design. Transactions are often slow, taking minutes just to get it done, and a slew of errors have been reported, but nothing major. While the features may be future-perfect, they’re not a lot to be offered to just anyone. Taxjar Vs Opposite Of Sales Tax
Last Thoughts Taxjar Vs Opposite Of Sales Tax
Thanks for reaching the end of our review where we’ve compared TaxJar with five of its worthy competitors! Take note again that TaxJar isn’t the end-all, be-all solution for everything related to sales tax. That’s why we’ve put up a list of alternatives for you to consider if you want more features. However, if you believe that you’re better off with TaxJar for all your tax compliance needs due to its easy interactions, price range, and compatibility with smaller-scale businesses, we’ll surely support you for it.
But if you ever feel that it doesn’t offer enough to meet the needs of your business, here’s a bullet list of our other five competitors in the sales tax compliance field, along with who the ideal user should be.
- Avalara is the perfect choice for users who want the same features as TaxJar but also have the option to select other tax types, such as VAT.
- TaxCloud is the perfect choice for entrepreneurs looking for reliable tax compliance services at a low price.
- Sovos Taxify is suitable for an owner of a preferably large enterprise who wants flexible world-class tax-related tools for a price that surely reflects it.
- Quaderno is the perfect solution for small and large business owners who need fast, reliable support and customer service that goes beyond borders.
- Lastly, Vertex is ideal for someone from a medium- to a large-scale company who wants a diverse range of tools from an experienced platform.