Sales Tax Fundamentals
Get up to speed on the basics of sales tax
AutoFile by TaxJar
bySeptember 17, 2014
TAXJAR LAUNCHES AUTOFILE, ELIMINATES MANUAL SALES TAX FILING FOR ONLINE AND STOREFRONT RETAILERS
New Service Automates the Entire Sales Tax Process from Setup and Reporting to Filing and Payment
SAN DIEGO, CA (September 17, 2014) — TaxJar (https://www.taxjar.com), the online service that manages sales tax filing for merchants, today announced the launch of AutoFile, a new service that automates filing of state sales tax returns and payments for online and storefront retailers. For the first time, sellers who previously would spend hours each month manually preparing sales tax returns can now have their sales tax calculated, accurately reported and filed directly to a state through TaxJar. With the addition of AutoFile, TaxJar fundamentally changes compliance for sellers and becomes the only service to automate the entire administrative sales tax process. “AutoFile creates a complete online sales tax service that has never been available to sellers before – we’re eliminating a major burden that saves hours of admin time each month at an affordable price,” said Mark Faggiano, CEO of TaxJar. “It was easily the most requested feature from our customers and we have worked closely with them to make sure AutoFile is a no-maintenance tool that helps their business.”
How TaxJar and AutoFile Work
TaxJar is integrated with major commerce and payment engines, such as Amazon, eBay, Etsy, Magento, PayPal, Shopify, Square and WooCommerce to allow the automated daily import of a seller’s data from every channel. TaxJar organizes all of the sales data into one report by state and local jurisdictions. Finally, AutoFile enables TaxJar to file returns and make payments online directly to a state, providing start-to-end automated sales tax compliance for a business. AutoFile requires a one-time enrollment, after which the returns and payment process are scheduled for direct filing.
“AutoFile has changed sales tax filing from a dreaded part of operating my business to a task that barely makes it on my to-do list,” said Robert Bagley, owner of RB3 Solutions in Florida. “With increased scrutiny from states and the overall challenge of getting accurate data on my own, TaxJar has taken over the management of my sales tax and helped me focus time on new avenues for my business.”
Good for Sellers, Good for States
The NSBA’s 2014 Small Business Taxation Survey found that the threat of tax liability in cases of inadvertent error was a concern for 76 percent of small businesses, while the burden of keeping abreast of state tax changes and navigating various rules and deadlines was a concern for 79 percent.
“States depend on businesses as collection agents for sales tax, but the surveys and our customer insights show that compliance is confusing and costly, despite the best intentions of sellers. We are creating a system that eliminates the complexity and helps businesses and states work together for their mutual interests,” added Faggiano.
AutoFile is currently available in 23 states, including: Florida, Michigan, Ohio and Pennsylvania with new states added each month. Enrollment is simple and can be completed directly from a current TaxJar account. The service costs an additional fee for each filing.
TaxJar features a 30-day free trial for any new user. Pricing starts at $19 per month for small businesses doing less than 1,000 transactions per month. For more information on TaxJar and AutoFile, please visit: www.taxjar.com/autofile
TaxJar was founded by business and tax automation experts with a simple mission: help online sellers eliminate the complexity and time of tracking, reporting and filing sales tax so they can focus on growing their businesses rather than dealing with compliance issues. The customer-driven company has a successful history of developing tax and accounting systems used by tens of thousands of online and storefront businesses to solve common operational problems. To learn more, visit www.taxjar.com/how-it-works