Reconciliation Reports

🎉 We recently released Reconciliation Reports to support reconciling your sales tax collection with your accounting!

How to export your Reconciliation Reports?

1
You can now see the option to export your Reconciliation Reports on your TaxJar Dashboard:
 

2
Click " Export Report" and choose the month and the recipient.
( Please note,  multi-user access * is reserved for Professional and Premium plans .)

*If you'd like the option to add users to your account, please reach out to our Sales team at 855-800-6681 to learn more about our Professional enhanced feature set. 

What are Reconciliation Reports?

We listened to our customers regarding the need to view a summary of all their nexus states' data with a breakdown of sales tax liabilities and jurisdictional sales. 

  • You can now export your sales data in two formats that offer a single view of your sales data for all of your nexus states.
  • The State Reconciliation Report offers a summary of all nexus states, outstanding sales tax liabilities, and an overview of the sales tax that has been collected, paid, and due.
  • The Jurisdiction Reconciliation Report summarizes the jurisdictional details such as the jurisdiction codes, tax collected, tax expected, and the variances per jurisdiction. 
  • The State Reconciliation Report includes the jurisdiction sales tax numbers.
  • You can still export your data from the Transactions page, which complements the Reconciliation Reports. 

What are the differences between the two Reconciliation Reports?

The State Reconciliation Report provides the ability to see your outstanding tax liability, adjustments (credit, discount), the amount paid as well as if we filed on your behalf.

  • The State Reconciliation Report displays one state per row, and the filing frequency and the order count per state, 
  • The State Reconciliation Report also shows the Expected Due (not actual collected) and if the liability was remitted via AutoFile. 

The Jurisdiction Reconciliation Report provides granular details regarding type and variances for all states in one file.

  • The Jurisdiction Reconciliation Report is fixed on a monthly export at this time.
  • The Jurisdiction Reconciliation Report displays the jurisdiction type, the jurisdiction filing code, jurisdiction name.
  • This report enables you to see which jurisdictions contribute the most to your tax collection variance between what was collected and what's expected. 

Can I use Reconciliation Reports to file my sales tax returns?

No. Please use the TaxJar State Sales Tax Reports on your Dashboard to review and file your sales tax returns. 

  • The TaxJar Sales Tax Reports provide a filing-specific sales tax breakdown of your sales with additional tax logic and state-specific decisions being made, including rounding, sourcing, Marketplace Facilitator Transactions, and handling of refunds
  • As mentioned above, the Reconciliation Reports are fixed on a monthly basis, while the filing frequency set by the state for your business may be monthly, quarterly, or annual. 
  • For this reason, the State Reports displayed on your Dashboard are not designed or even expected to be an exact match with neither the Reconciliation Reports nor the raw data generated when you export your transactions.
  • As a reminder, if you're enrolled in AutoFile, TaxJar submits the sales tax return based on the Expected Report.

Does TaxJar provide services to reconcile my accounting for my business?

At this time, TaxJar does not offer general accounting services for businesses. However, we feel confident that providing Reconciliation Reports available to you will help streamline your business' tax collection with your reconciliation practices. 

💡 This feature is available to supplement general accounting practices and is not to be an independent, comprehensive accounting report in itself

Any information shared in this article is not legal or accounting advice, and as we state here, TaxJar can not give you legal advice.  If you need more specific legal or accounting advice for your business, we would suggest consulting directly with a state's DOR or with a state & local tax expert (SaLT) for further guidance.