As any savvy business owner or CEO knows, sales tax is a critical part of running your online business. Finding the right sales tax compliance provider is essential. Not only does it save time and effort dealing with taxes every month but also helps ensure that everything is compliant and up-to-date. And, since the sales tax laws vary from state to state, keeping up with all of these regulations can be overwhelming. TaxJar is a sales tax software that promises to automate sales tax calculations and filings for e-commerce businesses, but it’s just one of many options. 

    In this blog post, we’ll review all of the best TaxJar alternatives, discuss the reasons you might be looking for a new sales tax solution, and cover the pros and cons of TaxJar so you can choose the right one for your needs – regardless of the size, industry or complexity of your business. 


    7 Reasons You're Probably Looking for a TaxJar Alternative

    8 Best TaxJar Alternatives

    Final Thoughts on TaxJar Alternatives

    TaxJar FAQs


    7 Reasons You’re Probably Looking for a TaxJar Alternative


    TaxJar’s Support Has Gone Downhill Since Stripe Acquired Them…

    Stripe acquired TaxJar in 2021 and subsequently laid off a majority of its staff due to cost-cutting measures. Ever since then, users have been reporting that their customer support has been lacking. Here’s an example of what we’ve been seeing regarding TaxJar’s declining support quality: 

    The customer support on this app is ATROCIOUS. We were locked out of our account for OVER a week. Their customer support is in India and each response is 24 hours or more. It's fine as long as it is working. The customer support is one thing but one month when we imported older orders into Shopify it counted ALL the orders even though the dates were over a year old. We had AUTO file set and it deducted $85K from our bank account and it took a few days to get it back. I am SO DONE.


    TaxJar’s Software is Complicated and Requires Time and Expertise to Manage Each Month…

    Setting up and integrating TaxJar with your existing systems can be a daunting task that requires sophisticated knowledge and time for constant maintenance. The complexities of the software’s interface and the lack of one-on-one support exacerbate the challenge, making it a recurring task that demands constant attention. Depending on your unique setup, there can be a high cost with integrating your business systems with TaxJar’s software, which can hinder your ability to migrate to better solutions and inadvertently tie you to TaxJar due to the sheer investment of time and money needed for integration. 


    TaxJar can Frequently Pay More Sales Tax Than You Collected Resulting in Overpayment…

    TaxJar’s sales tax return preparation methodology is unique because it pays the sales tax that it calculates as being due, regardless of how much you collect. That means that if you only collected $10,000 in tax but TaxJar believes you owe $30,000 due to a configuration issue, you’d be paying that additional $20,000 out-of-pocket. What’s worse is that TaxJar will not proactively contact you to help you identify the root cause of the issue and help you fix it. You’re totally on your own to monitor how much tax you’re collecting and ensure that TaxJar is configured correctly. We’ve seen clients overpaying tens of thousands of dollars in sales tax, requiring amended sales tax returns to reclaim that overpaid tax. 


    TaxJar is Expensive and Not Worth the Price…

    Most businesses will need to upgrade to a professional plan to file their sales tax returns correctly. TaxJar’s professional plans aren’t exactly cheap, either, when you consider that it is only filing and paying sales tax, and not handling everything else for you. As of writing this article, you’ll be paying $1,099 per month for 25,000 orders per month … and that’s before paying additionally for sales tax return submission. Many businesses have found that TaxJar’s price is just too high considering that it is a DIY solution that still needs to be managed in-house. 


    TaxValet - The Ultimate Sales Tax Checklist


    TaxJar is a DIY Solution and Doesn’t Handle All of Your Sales Tax…

    Many businesses turn to sales tax software like TaxJar to eliminate the hassle of sales tax, only later to discover how much work is required to maintain it each month. In addition, there’s a whole bunch of things that the software doesn’t manage for you that are critical to address if you’re going to minimize liabilities under a sales tax audit. Some of the things that are not included in TaxJar’s sales tax software include: 

    • Setting up your systems correctly for you and addressing any past-due tax
    • Monitoring all aspects of sales tax nexus for you and providing expert guidance
    • Proactively testing and updating your tax settings
    • Managing audits on your behalf
    • Processing sales tax notices and interacting with the Department of Revenue on your behalf
    • Monitoring sales tax law changes that could impact your business

    This list is just scratching the surface of all the things TaxJar’s software doesn’t include that you’ll still need to handle yourself. This is where an all-inclusive sales tax service comes in handy. 


    TaxJar Doesn’t Integrate with All of Your Systems…

    Even though TaxJar has integrations with many popular e-commerce platforms, there are still numerous integrations that TaxJar doesn’t support. This means that TaxJar will require significant manual work to handle sales tax filings. This can be time-consuming and prone to errors. Businesses may look for an alternative solution that provides end-to-end sales tax filing support with seamless data connections


    TaxJar Doesn't Guarantee You Won’t Owe Money Under a Sales Tax Audit…

    While TaxJar offers sales tax calculation and sales tax filing assistance, it falls short of taking on the full liability in the event of a sales tax audit. This means the responsibility for any discrepancies falls squarely on your business, increasing the pressure to ensure that your sales tax systems are set up and managed correctly on an ongoing basis. The sales tax risk is significant, given the severe penalties for tax compliance failures, not to mention the additional workload of managing separate platforms to import sales data into TaxJar. 

    TaxJar is a tool that your business can use to save time with filings, but its sales tax filing software doesn’t handle all the things that are necessary to truly eliminate sales tax risk. Some key things that are missing include comprehensive nexus analysis, product taxability support, and tax setting set-up and maintenance. If you’d like to eliminate the hassle, stress, and risk of sales tax, working with an all-inclusive sales tax solution might be a better choice. 

    Note that TaxJar does provide an accuracy guarantee for their tax calculation engine, but this requires that you have set it up correctly for your business. They also guarantee that returns will be filed on time (if they caused the issue). There are many reasons why you could owe money under a sales tax audit which the software won’t catch. 


    8 Best TaxJar Alternatives in 2024: A Breakdown


     1. Best TaxJar Alternative for Large Enterprises: Vertex

    Vertex provides fully integrated sales and use tax solutions tailored for complex, global enterprises across multiple industries. Vertex offers automated tax calculations, returns, and exemption certificate management powered by precise tax content databases. Large corporations can consolidate transaction data from multiple systems and handle multinational product taxability with Vertex. Vertex is primarily focused on enterprise accounts and is an excellent solution for Fortune 500 companies. Vertex’s software is extremely flexible and can support high levels of complexity. 

    One downside of Vertex is that implementation requires significant involvement with subject matter experts and IT departments. You’ll likely need an internal tax department that’s trained to manage its feature-rich software. Vertex also does not have as many integrations as Avalara. 


     2. Best TaxJar Alternative for Manufacturers: Sales Tax DataLINK

    When considering TaxJar vs Sales Tax DataLINK, it's worth remembering that Sales Tax DataLINK is the only comprehensive sales tax solution in the marketplace that specifically addresses the needs of manufacturers. Finding a sales tax solution that will work for your manufacturing business can be particularly challenging because of the additional compliance requirements manufacturers face. As a manufacturer, you’ll need a solution that can support manufacturing exemptions, focusing on remitting use tax for certain purchases. But they don’t just help manufacturers, they also specialize in sales tax services for construction and contracting companies. 

    With Sales Tax DataLINK, you’re not just getting sales tax software to automate tax calculations and filings. You’ll get a personal sales tax concierge located in Arkansas who can assist your manufacturing business with setup, filings, registrations, exemption management, Voluntary Disclosure Agreements (VDAs), gross receipts tax, and more. 

    3. Best TaxJar Alternative for Ecommerce Companies: TaxValet

    Finding an ecommerce sales tax provider can be particularly challenging because very few software solutions provide complete coverage for all of your sales tax needs. This is where TaxValet shines because it provides an affordable all-inclusive solution with deep ecommerce industry expertise. 

    TaxValet is a great fit for businesses that never want to deal with sales tax again. Here’s an overview of what’s included:

    • A team of trusted advisors that provide a done-for-you setup, stay on top of tax law changes, manage sales tax audits for you, proactively monitor sales tax nexus changes, and more. 

    • Automated sales tax filings and payments with hands-free data connections for all of your sales channels.
    • One simple monthly fee which includes an audit and penalty guarantee, and industry-leading customer support.  

    One potential drawback of TaxValet is that they don’t provide services to businesses doing less than $1M/year in revenue, and they don’t provide an online app for you to log in to. Instead, you’ll be assigned a dedicated sales tax accountant who provides you with concierge support (phone, Zoom, and email support) for all of your sales tax needs. 


     4. Best TaxJar Alternative for Point-of-Sale (POS) Retail Businesses: DAVO 

    DAVO’s software was built specifically for retail businesses to manage sales tax for brands with in-store sales. DAVO automates sales tax calculations and reporting based on store locations and integrates directly with popular POS hardware and accessories. 

    Key features for DAVO’s retail sales tax solution include: 

    • Integrations with common POS systems, including support for third-party delivery apps such as Uber Eats and GrubHub
    • Ability to set aside the exact amount of sales tax you collect daily in a secure tax holding account. 
    • Automatically filing and paying your state sales tax. 

    Downsides of DAVO include that it is not a comprehensive solution that handles all aspects of your sales tax such as managing audits for you, managing sales tax permit registrations, or examining whether the products you sell are taxable. If you decide to go with DAVO, you’ll benefit from working with a trusted sales tax consultant, at least for the initial setup.


     5. Best TaxJar Alternative for Startups: Avalara for Small Business

    Avalara for Small Business, previously known as Avalara Trustfile, is a no-frills alternative to TaxJar that provides automated sales tax filings for startups and small businesses. One advantage of Avalara for Small Business is that you’ll only pay them to submit sales tax returns, and won’t need to pay more based on your transaction volume. Avalara for Small Business lacks many features that more complex businesses require to manage sales tax correctly, and like TaxJar is entirely a Do-it-Yourself tool. You’ll still be responsible for managing the entire sales tax workflow each month. 

    Related: Avalara vs TaxJar vs TaxValet: Detailed Comparison


    TaxValet - The Ultimate Sales Tax Checklist


    6. Best TaxJar Alternative for Software-as-a-Service (SaaS) Companies: Anrok 

    Anrok is a relatively new player in the sales tax software space that focuses on handling sales tax specifically for Software-as-a-Service (SaaS) companies. They offer integrations with common accounting systems, and can automate sales tax calculations and sales tax filings for software companies. They have several unique features built specifically for SaaS companies which make them stand out. Anrok can also handle VAT registrations and filings for international tax compliance. 

    The downside to Anrok is still a Do-it-Yourself solution which means you’ll still be responsible for overseeing the software each month. That being said, Anrok does have some great quality-of-life features such as economic nexus monitoring, and sales tax permit registration. 


    7. Best TaxJar Alternative for Multiple Complex Tax Needs: Cherry Bekaert 

    Cherry Bekaert is a top accounting firm that is an excellent alternative to middle-market and larger companies with complex tax needs. They provide customized solutions tailored to a wide array of industries and business types. Their team is composed of highly credentialed professionals, including those with advanced degrees in law and taxation. They provide thorough tax preparation and compliance, audit representation, and up-to-date advisory on tax law changes. One advantage of working with Cherry Bekaert is that they can provide support for more than just sales tax and offer comprehensive solutions for a variety of tax and advisory needs. 

    Downsides of Cherry Bekaert include that they only service mid-market and larger clients, are at a high price point, and are less suited for simple tax needs. 


     8. Best TaxJar Alternative for Telecommunications Companies: Taxconnex

    Taxconnex offers mid-market businesses an outsourced sales tax department that can handle all of your sales tax needs. TaxConnex is widely recognized for its expertise in the telecommunications industry which has a high degree of sales tax complexity and risk associated with it. One potential drawback for Taxconnex is that their service only includes 2 hours of ad-hoc sales tax support per month beyond routine sales tax work, and they charge extra for additional hours of support.  


     9. Best Overall TaxJar Alternative: TaxValet

    TaxValet’s sales tax service completely takes sales tax off your plate so that you’ll never have to deal with it again. TaxValet’s comprehensive service takes the hassle, stress, and risk out of sales tax by handling everything for you from start to finish. TaxValet’s service includes everything you need for one simple all-inclusive price. 

    TaxValet is a great fit for businesses that never want to deal with sales tax again. Here’s an overview of what’s included:

    • A team of trusted advisors that provide a done-for-you setup, stay on top of tax law changes, manage sales tax audits for you, proactively monitor sales tax nexus changes, and more. 

    • Automated sales tax filings and payments with hands-free data connections for all of your sales channels.

    • One simple monthly fee which includes an audit and penalty guarantee, and industry-leading customer support.  

    One potential drawback of TaxValet is that they don’t provide services to businesses doing less than $1M/year in revenue, and they don’t provide an online app for you to log in to. Instead, you’ll be assigned a dedicated sales tax accountant who provides you with concierge support (phone, Zoom, and email support) for all of your sales tax needs. 


    TaxValet - The Ultimate Sales Tax Checklist

    Final Thoughts on TaxJar Alternatives

    After exploring the different TaxJar alternatives for sales tax compliance, it’s clear there isn’t a one-size-fits-all solution. While TaxJar can be a good fit for startups or ecommerce businesses with a simple setup, there are better options.

    At TaxValet, we offer clients an experienced and dedicated team, timely legislative alerts, comprehensive sales tax services, and full software integration so you can focus on building your business. From setting up accounts and filing for permits to cleaning up data and managing audits, we pride ourselves on addressing every single aspect of sales tax for our clients.

    If you’re tired of managing sales tax on your own, schedule a free sales tax review with our team and see the difference for yourself. 



    TaxJar FAQs


    What are the Pros and Cons of TaxJar software?

    The pros of TaxJar’s sales tax software are: 

    • TaxJar can be an affordable DIY solution if you don’t need to upgrade to their professional plan.

    • TaxJar has integrations available for popular e-commerce platforms.

    • TaxJar’s economic nexus tracker makes it easy to stay on top of if you’ve crossed a state’s threshold (but warning: the dashboard is only mostly accurate and does not take into account everything that it should for 100% accuracy).

    • TaxJar is easier to use than other sales tax software.

    • TaxJar can automate sales tax filings and payments.


    The cons of TaxJar’s sales tax software are:

    • TaxJar will pay the sales tax that it calculates as being due, which can result in you paying out-of-pocket for sales tax.

    • Reviews online claim that TaxJar’s customer support has been on the decline after Stripe acquired them.

    • Many businesses will need to be on a professional plan which is expensive.

    • TaxJar is a DIY solution that doesn’t handle all aspects of sales tax for you.


     Who is TaxJar Ideal For?

    TaxJar is ideal for smaller e-commerce businesses that only sell on sales channels that they have an integration with. We’ve found that TaxJar is a good fit for ecommerce businesses doing less than $1M/year in sales, particularly if they sell products that are generally taxable and are not subject to product exemptions.


     Is TaxJar Good for Ecommerce Companies?

    TaxJar can be a good solution for ecommerce businesses that have a simple setup and don’t have a high degree of complexity. If your business sells on multiple sales channels that don’t integrate with TaxJar, if you work with resellers, or if you sell products where exemptions apply, TaxJar might not be the best fit. In our experience, TaxJar is a good fit for ecommerce businesses making less than $1M/year in sales. 


    Is TaxJar Good for SaaS Companies?

    TaxJar can be a good solution for Software-as-a-Service (SaaS) companies that have in-house expertise and can manage TaxJar’s complex set-up and ongoing maintenance. However, SaaS companies should consider a more all-inclusive solution, like TaxValet or Anrok, whose solutions are custom-tailored to work with SaaS businesses. 


    Does TaxJar have Good Customer Support?

    Many online reviewers have indicated that TaxJar’s email support has been on the decline since Stripe acquired them in 2021. Reviewers have indicated that TaxJar’s support team has been slow to respond and that it can take a while to resolve an issue. 


    How Much Does TaxJar cost?

    TaxJar’s pricing is based on several factors: plan level, transaction count, and number of filings needed. Let’s start with tier level. 

    TaxJar has two plans available: Starter and Professional. TaxJar’s starter plan only includes up to 3 data import integrations per month. TaxJar’s professional plan includes address validation via API, an exemption certificate repository, up to 10 total data and API integrations, economic nexus alerts, and phone support. You can see a full breakdown of what’s included in TaxJar’s pricing on this page. 

    Depending on which plan you choose, you’ll need to pay a different fee each month depending on how many transactions you have. Based on writing this article, here’s how much each plan costs:


    per Month

    Starter Plan Pricing

    Professional Plan Pricing

    200 orders



    500 orders



    1,000 orders



    2,500 orders



    5,000 orders



    1,0000 orders



    25,000 orders



    50,000 orders




    In addition, you’ll need to pay for AutoFile credits if you want TaxJar to file and pay your sales tax returns for you. TaxJar Starter Starter plan subscribers receive 4 free AutoFile credits per year (1 credit every 3 months), while Professional plans include 12 free AutoFile credits per year (1 credit per month).

    AutoFile starts at $30 per return for Starter customers and $35 per return for Professional customers for returns not covered by the free AutoFile credits. Annual subscribers also can purchase sets of prepaid AutoFile Bundles at an additional discount.


    Can TaxJar Help with a Sales Tax Audit?

    TaxJar will not manage a sales tax audit for you like TaxValet can. TaxJar does indicate that “audit support” is included in their professional plans, but they do not define what support will be provided. What this probably means is that you’ll be responsible for managing the audit and TaxJar will provide records that you can supply the auditor (which is the bare minimum any customer should expect). 


    TaxValet - The Ultimate Sales Tax Checklist

    Disclaimer: Our attorney wanted you to know that no financial, tax, legal advice or opinion is given through this post. All information provided is general in nature and may not apply to your specific situation and is intended for informational and educational purposes only. Information is provided “as is” and without warranty.


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