Connect Your Etsy Store to TaxJar

by Jennifer Dunn November 1, 2020


As you can tell from the title of this post, TaxJar is adding another data source so even more sellers can connect to our automated reporting tool for sales tax. This time it’s Etsy.

Why Etsy?
That’s easy. Because that’s what our customers wanted!

Etsy sellers are no different than Shopify store owners or third-party sellers on Amazon. They are challenged by questions about sales tax nexusorigin versus destination sales tax collection, and shipping. They want to concentrate on growing their business and spend as little time possible on all things related to sales tax.What’s New?
TaxJar already works with Paypal. But now TaxJar works with Direct Checkout, which means that any seller on Etsy can now track and manage all of their sales tax through TaxJar.

When you connect your Etsy store to TaxJar, we pull down your sales and sales tax information and begin building our automated sales tax reports. We break out sales and taxes collected based on what the states require. If Washington wants to see sales tax subtotaled by jurisdiction, TaxJar will do it. Here’s a screenshot of what an example report in WA looks like.

If your store is based in Kentucky and that state to see sales and taxes collected based on your businesses location, that’s what we’ll show you. And we’ll update the reports every night. You don’t have to do anything.New to sales tax?
If you’re not new to selling on Etsy but you are new to sales tax, we have the perfect report for you. Check out our “Actual vs Estimated” sales tax report (screenshot below). This report tells you how much we think you SHOULD have collected. By doing this for each order, we are able to then summarize over a period of time so you can see the rate at which you should be collecting and how much you were supposed to pay to the states.

Signup takes seconds
Connecting your Etsy store to TaxJar is easy. All you need to do is signup for TaxJar’s 30-day free trial and click the “Connect with Etsy” button.

TaxJar will automatically download your sales and tax data for the last 90 days, populating your first set of reports in minutes. Beyond 30 days we charge based on how many transactions you’re business is doing per month.Please note: This blog is for informational purposes only. Be advised that sales tax rules and laws are subject to change at any time. For specific sales tax advice regarding your business, contact a tax advisor.


Get ahead of compliance

Contact our sales team to learn about how TaxJar can help you save time and reduce errors by automating sales tax calculations, reporting and filing.

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Get ahead of compliance

Automate sales tax calculations, reporting and filing today to save time and reduce errors.