So you’ve been using TaxJar SmartCalcs to collect sales tax from your Magento customers. But January is the “Sales Tax Perfect Storm” and that means you most likely have at least one sales tax due date this month. You’ve collected all that sales tax from your customers, now what do you do with it?
Here’s your guide to using TaxJar to file your sales tax returns.
Upgrade to TaxJar Reports
All Magento merchants can use TaxJar SmartCalcs to collect the right amount of sales tax from your customers absolutely free. We’re happy to be able to provide this service as part of our Magento Premier Partnership.
But sales tax calculations are only a portion of what TaxJar does. If you truly want end-to-end sales tax compliance, we also offer TaxJar Reports to help you report how much sales tax you’ve collected and give you return-ready reports.
And if you never want to touch another sales tax filing, we also offer TaxJar Autofile as an optional add-on service to automatically file your sales tax returns for you.
Steps to Upgrade to TaxJar Reports
- Login to your TaxJar account
- From your dashboard, click “Manage Linked Accounts”
- On the next screen, select “Magento”
- Follow the directions to connect your Magento account
From there, TaxJar will pull in your Magento transactions. We’ll go back the entire year so you can see all of your transactions for 2016. This can take a few minutes up to about an hour, depending on you transaction volume. TaxJar is designed to help you report and file all of your sales tax, so while you’re here, you can also connect your other sales channels like Amazon FBA, eBay, Etsy, or Square.
View Your State Report
Once your information has populated in TaxJar, your next step is to view your TaxJar state report for the state in which you need to file. (Many sellers will be required to file in more than one state.)
Nearly every online seller has a sales tax filing due in January, and you can find your January 2017 sales tax due dates here.
From here, click the state for which you wish to file on your TaxJar dashboard.
Choose Your Filing Period
Next be sure you’ve selected the correct filing period. Some states want to hear from you monthly, others quarterly, and others annually. You want to make sure you’ve selected the correct filing period so TaxJar shows you the right amount of sales tax to file.
Fill Out Your Sales Tax Return
From here, use the populated data in your TaxJar state report to fill out your sales tax return. Scroll to the bottom of the page and follow the “Steps to File Manually.”
You can usually find your sales tax return by logging in at your state’s department of revenue.
Remember, you can also sign up for TaxJar AutoFile if you want to skip this step forever!
Note: If you have an unusual situation, such as that you weren’t collecting sales tax in the state but still need to file, or started collecting sales tax in the middle of a filing period, read here for more on using TaxJar’s “Expected Sales Tax Due” report to file your sales tax returns.
Another note: If the state asks you to provide a Gross Sales Total for all states, we show you how to get that total in the Detailed Sales Tax Analysis.
Record Your Payment
When you’ve finished submitting your return, fill out the details under Record Your Payment.
Be sure to check the box to “Mark Period as Closed and Paid in Full.” We talk about why you should do this here.
Then, click the “Record Payment” button to save the details of your payment. You’ll be able to view the record on the Payment History page.
Get Back to Doing what you do Best
And you’re done! You’ve successfully filed a sales tax return using TaxJar. Have questions or comments? Start the conversation below!