TaxJar

Simplified sales tax for growing businesses.

by TaxJar · Financial Planning & Analysis

Executive Summary

TaxJar is a cloud-based platform that automates sales tax compliance for e-commerce businesses and online retailers. It handles calculations, reporting, and filing across multiple states, aiming to simplify the sales tax lifecycle and reduce administrative burdens. The platform is particularly well-suited for small to mid-sized businesses dealing with complex tax jurisdictions, offering AI-driven categorization and real-time calculations to ensure accuracy and compliance.

Use Cases

  • Automating sales tax calculations at checkout for e-commerce stores.
  • Tracking economic nexus across multiple US states to ensure compliance.
  • Automatically filing and remitting sales tax returns to state tax authorities.
  • Managing sales tax compliance for multi-channel sellers (e.g., Shopify, Amazon, eBay).
  • Generating detailed sales tax reports for audit purposes and financial reconciliation.
  • Handling product-specific taxability and exemption certificates.

Features

Visibility

  • Nexus Insights Dashboard: Provides a clear overview of current and potential sales tax nexus obligations across states based on sales activity.
  • Comprehensive Sales Tax Reports: Generates detailed, state-specific reports with local jurisdiction breakdowns, updated daily for real-time insights.
  • Multi-Channel Transaction View: Unifies transactional data from all connected e-commerce platforms and marketplaces into a single dashboard.
  • Audit Trail & Archiving: Maintains a complete, detailed audit trail of all calculations, reports, and filed returns, organized by state and period.

Intelligence

  • AI-Driven Product Categorization (Emmet): Intelligently suggests and applies correct product tax codes, reducing manual effort and ensuring accuracy for taxability.
  • Real-time Rooftop-Level Calculations: Calculates sales tax with high accuracy based on the precise location of the customer (rooftop-level) and product type.
  • Automated Sales Tax Filing (AutoFile): Automatically prepares and submits sales tax returns and remittances to states where the business is registered.
  • Economic Nexus Tracking & Alerts: Monitors sales activity against state-specific economic nexus thresholds and provides alerts when thresholds are approached or met.

Support

  • Dedicated Customer Support Team: Access to a team of sales tax experts via email and phone (for Professional plans) for assistance with account and sales tax questions.
  • Comprehensive Knowledge Base & Video Guides: Extensive online resources, including articles, FAQs, and video tutorials, to help users understand and utilize the platform.
  • API Documentation & Developer Resources: Detailed API documentation and open-source clients on GitHub for custom integrations and developer support.

Technical Specifications

Architecture
Cloud-native SaaS
Deployment
Cloud/SaaS
Authentication
API Key, Token-Based Authentication
API Available
Yes
MCP Server
No

Infrastructure

  • AWS

AI/ML Stack

  • Machine Learning
  • NLP

Integrations

  • Shopify
  • Amazon
  • WooCommerce
  • BigCommerce
  • Stripe
  • QuickBooks

Security & Compliance

Certifications: SOC 2 Type II, HIPAA Compliant, GDPR Compliant, Cloud Security Alliance

Encryption: AES256 at rest, TLS encryption in transit, SHA2 signatures

Pricing

Model
Tiered subscription based on transaction volume/orders
Starting Price
Starter plan at $19/month or $205/year; Professional plan available (contact sales for specific pricing beyond initial tiers). AutoFile additional fees apply.
Target Customer
SMB to Mid-Market
Contract Type
Monthly/Annual
Free Trial
Yes, 30 days (credit card required)

About TaxJar

TaxJar is a cloud-based platform that automates sales tax compliance for e-commerce businesses, handling calculations, reporting, and filing across all U.S. jurisdictions. Founded in 2013, it was acquired by Stripe in 2021 to enhance Stripe's revenue platform with automated tax solutions.

Founded: 2013 · Headquarters: Woburn, United States · Employees: 51-200 · Acquired by Stripe (Private)