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Mike P - Green background
Michael Pignatelli, CPA
CEO, Unloop

Category: Bookkeeping

Disclaimer: Please note this article is not financial advice. The purpose of our blog is purely educational, so please consult a professional accountant or financial advisor before making any financial decision.

So you've landed a spot on Amazon to market your small business, which is excellent news! You're ready to embark on a new journey with plenty of opportunities to expand your customer base in the world's largest online retailer. But brace yourself because apart from performing the seller role, you’ll also don the Amazon bookkeeper hat to manage your business well, which is challenging.

In carving your path to success, there are some not-so-fun things you need to work through to accomplish your goals. For example, bookkeeping management; it is one of the most challenging aspects of running an Amazon business.

Amazon accounting can be challenging for any business owner. Smaller-scale ecommerce businesses—though they work on fewer transactions—aren't exempt from the grueling task of bookkeeping and accounting.

Sometimes, not having an accounting system with skilled experts to handle financial transactions adds to an online business's problems. It's difficult for Amazon sellers to take them all at once with the marketplace's complex system.

Let Unloop help you by identifying the challenges you might face when doing Amazon seller bookkeeping. It's important to be aware of these challenges so you can find methods to overcome them.

An infographic showing the four bookkeeping challenges on Amazon.

The Most Common Bookkeeping Challenges for an Ecommerce Business on Amazon

Managing an Amazon business is exciting—the convenience of managing a wide-reaching business from your screen is quite something. Still, small business owners in the marketplace face difficulties understanding bookkeeping and accounting tasks.

The most common roots of these issues are the absence of accounting software and accounting experience or a lack of them. As a result, most brands make the following Amazon accounting and bookkeeping management mistakes:

Calculating a Web of Seller Fees

Amazon has a complex system of seller fees (monthly fees, referral fees, and shipping fees via Fulfillment by Amazon) which makes managing expenses challenging, especially if you lack adequate knowledge and experience on the platform.

These fees have a specific breakdown of charges, complicating the system further. Unfortunately, Amazon doesn't provide single-entry invoices that help you track costs, so you'll have to estimate seller fees yourself.

Solutions 
  • Invest in accounting software that syncs with your Amazon Seller Central account.
  • We recommend QuickBooks Online (QBO) because it's user-friendly. Afterward, decide on an accounting method to follow when bookkeeping. Accrual accounting is usually a better choice than cash accounting because it sets you up to record more complex transactions.

  • Naturally, setting these up is just the beginning, but it will ease the burdens of identifying and recording seller fees in the long run.

    Updating Inventory for Financial Statements

    It impacts three aspects of your financial statements:

    • The Cost of Goods Sold (COGS) on your income statement
    • Your current assets on the balance sheet
    • Your operating activities

     All these parts matter when talking about accuracy; that's why updating inventory and ensuring we get it right is crucial.

    Solution
    Successful inventory management requires an automated tracking system. You need its accuracy and consistency for tracking customs, FBA inventory (if you opted for it), your physical store, and product returns. 
    Otherwise, it will be harder for you to monitor inventory and update your financial statements accurately. This results in a skewed view of your online business's financial health, preventing you from making sound business decisions.

    Returns, the Accounting Nightmare

    Product returns are stressful in the first place—they require constant adjustments to your inventory based on return requests to avoid potentially harming customer loyalty. It's the negative kind of "killing two birds with one stone."

    With Amazon, things are more complicated because FBA returns are classified into various categories: sellable, damaged, customer-damaged, defective, and carrier-damaged. It may seem organized initially, but Amazon sometimes makes incorrect inventory placements, making a mess of your books and, eventually, your business bank account.

    Solution
    The best way to handle and reduce the likelihood of returns is to spend time managing and updating your inventory. If it takes too long, you can hire an Amazon accountant specializing in returns.

    Where Do the Taxes Go?

    Sales tax preparation can be challenging for small ecommerce businesses due to the demand for multi-channel tracking. This results in inaccurate remittance to internal revenue authorities and, consequently, having inaccurate income on the books and in your bank account.

    Today's tax regulations are over 10,000, and the variety of these systems is confusing when updating your books. Although Amazon takes the stress of sales tax collection and remittance away from the seller, you still need to track and accurately state multi-channel transactions in the paperwork to meet tax demands.

    Solution
    To save resources, we recommend hiring an Amazon marketplace professional in a consulting or managing capacity. Another option is to work with an Amazon bookkeeper specializing in the marketplace's sales tax collection system. They have the skills to detail taxes because they are accountants, making it easier for you or your CPA to remit.

    Make Unloop Your Amazon Bookkeeper

    If you're looking for experts offering small business bookkeeping services, Unloop is your perfect business partner!

    We understand Amazon's bookkeeping and accounting challenges, so we want to help you manage them the right way. Our team of small business bookkeeping and tax services experts collaborates with reliable accounting firms to ensure the accurate recording and reporting of financial records. 

    Through our services, you can focus on growing your small business without worrying about documentation and analysis of financial information. If you find yourself having a hard time learning the processes of Amazon bookkeeping, you can always make things easier with us. All it takes to overcome Amazon's bookkeeping challenges is to make an appointment, so go ahead and book a call today.

    4 Amazon Bookkeeper Challenges Online Sellers Need to Know
    Watch Now

    Disclaimer: Please note this article is not financial advice. The purpose of our blog is purely educational, so please consult a professional accountant or financial advisor before making any financial decision.

    So you've landed a spot on Amazon to market your small business, which is excellent news! You're ready to embark on a new journey with plenty of opportunities to expand your customer base in the world's largest online retailer. But brace yourself because apart from performing the seller role, you’ll also don the Amazon bookkeeper hat to manage your business well, which is challenging.

    In carving your path to success, there are some not-so-fun things you need to work through to accomplish your goals. For example, bookkeeping management; it is one of the most challenging aspects of running an Amazon business.

    Amazon accounting can be challenging for any business owner. Smaller-scale ecommerce businesses—though they work on fewer transactions—aren't exempt from the grueling task of bookkeeping and accounting.

    Sometimes, not having an accounting system with skilled experts to handle financial transactions adds to an online business's problems. It's difficult for Amazon sellers to take them all at once with the marketplace's complex system.

    Let Unloop help you by identifying the challenges you might face when doing Amazon seller bookkeeping. It's important to be aware of these challenges so you can find methods to overcome them.

    An infographic showing the four bookkeeping challenges on Amazon.

    The Most Common Bookkeeping Challenges for an Ecommerce Business on Amazon

    Managing an Amazon business is exciting—the convenience of managing a wide-reaching business from your screen is quite something. Still, small business owners in the marketplace face difficulties understanding bookkeeping and accounting tasks.

    The most common roots of these issues are the absence of accounting software and accounting experience or a lack of them. As a result, most brands make the following Amazon accounting and bookkeeping management mistakes:

    Calculating a Web of Seller Fees

    Amazon has a complex system of seller fees (monthly fees, referral fees, and shipping fees via Fulfillment by Amazon) which makes managing expenses challenging, especially if you lack adequate knowledge and experience on the platform.

    These fees have a specific breakdown of charges, complicating the system further. Unfortunately, Amazon doesn't provide single-entry invoices that help you track costs, so you'll have to estimate seller fees yourself.

    Solutions 
  • Invest in accounting software that syncs with your Amazon Seller Central account.
  • We recommend QuickBooks Online (QBO) because it's user-friendly. Afterward, decide on an accounting method to follow when bookkeeping. Accrual accounting is usually a better choice than cash accounting because it sets you up to record more complex transactions.

  • Naturally, setting these up is just the beginning, but it will ease the burdens of identifying and recording seller fees in the long run.

    Updating Inventory for Financial Statements

    It impacts three aspects of your financial statements:

    • The Cost of Goods Sold (COGS) on your income statement
    • Your current assets on the balance sheet
    • Your operating activities

     All these parts matter when talking about accuracy; that's why updating inventory and ensuring we get it right is crucial.

    Solution
    Successful inventory management requires an automated tracking system. You need its accuracy and consistency for tracking customs, FBA inventory (if you opted for it), your physical store, and product returns. 
    Otherwise, it will be harder for you to monitor inventory and update your financial statements accurately. This results in a skewed view of your online business's financial health, preventing you from making sound business decisions.

    Returns, the Accounting Nightmare

    Product returns are stressful in the first place—they require constant adjustments to your inventory based on return requests to avoid potentially harming customer loyalty. It's the negative kind of "killing two birds with one stone."

    With Amazon, things are more complicated because FBA returns are classified into various categories: sellable, damaged, customer-damaged, defective, and carrier-damaged. It may seem organized initially, but Amazon sometimes makes incorrect inventory placements, making a mess of your books and, eventually, your business bank account.

    Solution
    The best way to handle and reduce the likelihood of returns is to spend time managing and updating your inventory. If it takes too long, you can hire an Amazon accountant specializing in returns.

    Where Do the Taxes Go?

    Sales tax preparation can be challenging for small ecommerce businesses due to the demand for multi-channel tracking. This results in inaccurate remittance to internal revenue authorities and, consequently, having inaccurate income on the books and in your bank account.

    Today's tax regulations are over 10,000, and the variety of these systems is confusing when updating your books. Although Amazon takes the stress of sales tax collection and remittance away from the seller, you still need to track and accurately state multi-channel transactions in the paperwork to meet tax demands.

    Solution
    To save resources, we recommend hiring an Amazon marketplace professional in a consulting or managing capacity. Another option is to work with an Amazon bookkeeper specializing in the marketplace's sales tax collection system. They have the skills to detail taxes because they are accountants, making it easier for you or your CPA to remit.

    Make Unloop Your Amazon Bookkeeper

    If you're looking for experts offering small business bookkeeping services, Unloop is your perfect business partner!

    We understand Amazon's bookkeeping and accounting challenges, so we want to help you manage them the right way. Our team of small business bookkeeping and tax services experts collaborates with reliable accounting firms to ensure the accurate recording and reporting of financial records. 

    Through our services, you can focus on growing your small business without worrying about documentation and analysis of financial information. If you find yourself having a hard time learning the processes of Amazon bookkeeping, you can always make things easier with us. All it takes to overcome Amazon's bookkeeping challenges is to make an appointment, so go ahead and book a call today.

    Read more

    Disclaimer: Please note this article is not financial advice. The purpose of our blog is purely educational, so please consult a professional accountant or financial advisor before making any financial decision.

    So you have finally achieved your long-time dream of creating and managing a small business. But, unfortunately, dreams like that don't just stop after you’ve earned enough. Your success needs to be protected by making sure your finances are in check. This is why if you want your business to grow, you need to know a few bookkeeping tasks. However, bookkeeping might be an additional task that will weigh you down in the long run. Don't worry; there are professional bookkeeping Vancouver services that can help you manage your finances so you can focus on other responsibilities or enjoy more free time.

    This article gives you an idea of the bookkeeping services you or your bookkeeper need to know and manage to keep track of your business.

    Balance Sheet, Cash Flow, and Monthly P&L Statements

    Monthly financial statements are the key to ensuring that your business is on track. But, as a business owner, you're probably too busy with day-to-day operations to keep an eye out for potential risks or problems. That's why it makes sense for you to get monthly bookkeeping services Vancouver can offer to monitor all aspects of your business.

    Detailed business reports are essential to financial planning and cash flow projections. Your monthly statements of profit and loss, balance sheet, and cash flow will provide you with a snapshot of your company's fiscal health so that you can make informed decisions about its future growth potential. For example, you'll be able to compare how much money was brought in versus how much was spent on expenses. In addition, by looking at your monthly statements, you'll be able to see if any changes need to be made concerning your product prices or marketing strategies.

    Bookkeeping Automated Software like Hubdoc or Dex

    Hubdoc and Dex Bookkeeping and an expense management application that you or your bookkeeper can automatically use for financial data such as receipts, bills, and other information. You need to sync your accounts from different vendors once, and this software will record all the past and incoming invoices. For example, with Hubdoc, if you want to sync your Paypal receipts along with other overall receipts, you need to click the Paypal icon and log in your username and password once. After that, it will automatically sync with your account.

    What's great with software like these is that it eliminates the time and effort of data entry and sifting through a mountain of papers. For example, you only have to take a picture of your receipt and upload it using a computer or mobile device or send it to an app-generated email. Additionally, it has a mobile app version so you can check your finances anytime.

    Accounting Automated Software like Quickbooks and Xero

    You might be confused why you need accounting software when you already have a bookkeeping one. Xero and Quickbooks are software that you or your accountant can use to extract or reconcile data from your bookkeeping app. So when your bank, your transactions, or your expenses are synced with the software, you can use it for creating reports. Most importantly, this automated accounting software includes invoicing and payroll, an added feature that bookkeeping apps don't have.

    This includes account reconciliation, where you make sure all transactions in your accounts like credit cards or bank balances match financial records. It also includes creating invoices and making payments. Other features include invoice reminders, email support with experts in the industry, customized reports with graphs and charts to give you a visual representation of your company's financial status, custom price list for customers that will automatically pop up when they view or purchase an item on your website based on their location.

    Unlimited Financial Accounts Handling

    Vancouver bookkeeping services experts recommend that you get monthly bookkeeping services from a professional who will handle all of your company's financial accounts. This means unlimited account handling for your business, which can help you save time and money because it eliminates the need to hire additional staff or train existing employees on how to do this task.

    By outsourcing these responsibilities, you can focus more on growing your business. For example, you'll be able to allocate resources into expanding company operations or starting up a new one without worrying about potential risks and problems because there's someone else keeping an eye out for them.

    Accountant man employee sit at a desk using laptop app make payments online
    Source: Shutterstock

    Let Us Help You With Bookkeeping Tasks

    Bookkeeping services Vancouver BC that offer the mentioned features will help you keep track of your business finances, so you will always know how your business is doing. Unloop offers these services monthly and more and even has an option for a more customized service catered to only what you need. In addition, we will happily migrate the data for free if you are already using a different accounting or bookkeeping software.

    If you are interested in Unloop services, then book a call or get in touch with us through the number 877-421-7270. We look forward to helping you grow your business!

    Bookkeeping Vancouver: The Top 4 Bookkeeping Services Your Business Needs
    Watch Now

    Disclaimer: Please note this article is not financial advice. The purpose of our blog is purely educational, so please consult a professional accountant or financial advisor before making any financial decision.

    So you have finally achieved your long-time dream of creating and managing a small business. But, unfortunately, dreams like that don't just stop after you’ve earned enough. Your success needs to be protected by making sure your finances are in check. This is why if you want your business to grow, you need to know a few bookkeeping tasks. However, bookkeeping might be an additional task that will weigh you down in the long run. Don't worry; there are professional bookkeeping Vancouver services that can help you manage your finances so you can focus on other responsibilities or enjoy more free time.

    This article gives you an idea of the bookkeeping services you or your bookkeeper need to know and manage to keep track of your business.

    Balance Sheet, Cash Flow, and Monthly P&L Statements

    Monthly financial statements are the key to ensuring that your business is on track. But, as a business owner, you're probably too busy with day-to-day operations to keep an eye out for potential risks or problems. That's why it makes sense for you to get monthly bookkeeping services Vancouver can offer to monitor all aspects of your business.

    Detailed business reports are essential to financial planning and cash flow projections. Your monthly statements of profit and loss, balance sheet, and cash flow will provide you with a snapshot of your company's fiscal health so that you can make informed decisions about its future growth potential. For example, you'll be able to compare how much money was brought in versus how much was spent on expenses. In addition, by looking at your monthly statements, you'll be able to see if any changes need to be made concerning your product prices or marketing strategies.

    Bookkeeping Automated Software like Hubdoc or Dex

    Hubdoc and Dex Bookkeeping and an expense management application that you or your bookkeeper can automatically use for financial data such as receipts, bills, and other information. You need to sync your accounts from different vendors once, and this software will record all the past and incoming invoices. For example, with Hubdoc, if you want to sync your Paypal receipts along with other overall receipts, you need to click the Paypal icon and log in your username and password once. After that, it will automatically sync with your account.

    What's great with software like these is that it eliminates the time and effort of data entry and sifting through a mountain of papers. For example, you only have to take a picture of your receipt and upload it using a computer or mobile device or send it to an app-generated email. Additionally, it has a mobile app version so you can check your finances anytime.

    Accounting Automated Software like Quickbooks and Xero

    You might be confused why you need accounting software when you already have a bookkeeping one. Xero and Quickbooks are software that you or your accountant can use to extract or reconcile data from your bookkeeping app. So when your bank, your transactions, or your expenses are synced with the software, you can use it for creating reports. Most importantly, this automated accounting software includes invoicing and payroll, an added feature that bookkeeping apps don't have.

    This includes account reconciliation, where you make sure all transactions in your accounts like credit cards or bank balances match financial records. It also includes creating invoices and making payments. Other features include invoice reminders, email support with experts in the industry, customized reports with graphs and charts to give you a visual representation of your company's financial status, custom price list for customers that will automatically pop up when they view or purchase an item on your website based on their location.

    Unlimited Financial Accounts Handling

    Vancouver bookkeeping services experts recommend that you get monthly bookkeeping services from a professional who will handle all of your company's financial accounts. This means unlimited account handling for your business, which can help you save time and money because it eliminates the need to hire additional staff or train existing employees on how to do this task.

    By outsourcing these responsibilities, you can focus more on growing your business. For example, you'll be able to allocate resources into expanding company operations or starting up a new one without worrying about potential risks and problems because there's someone else keeping an eye out for them.

    Accountant man employee sit at a desk using laptop app make payments online
    Source: Shutterstock

    Let Us Help You With Bookkeeping Tasks

    Bookkeeping services Vancouver BC that offer the mentioned features will help you keep track of your business finances, so you will always know how your business is doing. Unloop offers these services monthly and more and even has an option for a more customized service catered to only what you need. In addition, we will happily migrate the data for free if you are already using a different accounting or bookkeeping software.

    If you are interested in Unloop services, then book a call or get in touch with us through the number 877-421-7270. We look forward to helping you grow your business!

    Read more

    Many aspiring business owners are eager to sell their products in Canada through Amazon.ca. After all, there is an ongoing belief that the ecommerce giant doesn’t collect general or provincial sales taxes there. But many have wondered: why is there no tax on Amazon Canada?

    What’s more: do Amazon.ca sellers really not pay taxes for their transactions? As an Amazon seller, it's essential to know when to charge sales tax on items sold through this site and learn if Amazon automatically collects sales tax on behalf of their sellers.

    Let’s investigate whether or not Amazon Canada collects sales taxes and answer related Amazon sales tax questions like when does Amazon collect sales tax in Canada, and when does it not? 

    Why Is There No Tax on Amazon Canada?

    Let’s begin our investigation by giving a hypothetical situation. Suppose a customer from British Columbia previously ordered from you, and you noticed that Amazon didn’t collect sales taxes during the transaction. How could that happen?

    Every Amazon product sold in the United States is subject to sales tax based on the buyer's location. So why didn’t Amazon collect tax from this customer? Is there simply no sales tax collection on Amazon Canada?

    There is, but sales tax collection in Canada works differently.

    Unlike in the United States, Canadian tax laws apply Goods and Services Tax (GST) and Harmonized Sales Tax (HST) at the federal level. In contrast, Provincial Sales Tax (PST) is applied separately by individual provinces.

    Because of this complex tax system, there are times when Amazon Canada doesn’t collect sales taxes for the seller; the seller has to do the collection and remittance themselves. 

    Certain sellers are also encouraged to create a GST or HST account with the Canada Revenue Agency (CRA) for tax compliance.

    As a result, many sellers have been led to believe that sales tax collection and remittance are non-existent on Amazon Canada when this belief is completely false. Debunking this myth will logically lead you to ask: when does Amazon.ca collect tax?

    When Does Amazon Collect Sales Tax?

    The laws on Amazon sales tax in Canada leave no room for confusion: you need to collect sales tax. Amazon even makes the task easier for sellers by collecting sales taxes independently, especially in these situations.

    The Province Is Under Marketplace Facilitator Jurisdiction

    Back in the day, you could sell online without the hassle of collecting sales tax from your customers until the Marketplace Facilitator (MPF) law took effect. 

    Canadian law bases sales tax charges on the established GST, PST, HST, and Quebec Sales Tax (QST) rates per province.

    short graphic showing a map of Canadian provinces and the sales tax rates that apply to them

    Suppose you fulfill orders in different provinces across Canada. In that case, Amazon will directly collect sales taxes and remit them to authorities for you as mandated by the MPF.

    You Are Registered in the Amazon Tax Collection Service

    Amazon is already mandated to collect and remit sales taxes for you through the MPF. Still, Amazon's Tax Collection Service (TCS) can give you control and visibility of your sales tax. 

    If you have an Amazon professional account, you can log in on Seller Central to optimize the following:

    • The inventory storage/fulfillment center address (i.e., your warehouse or Amazon FBA warehouse address)
    • The product tax code
    • List of tax-exempt buyers
    • Instances when shipping and handling charges apply
    • Other local sales tax regulations

    This service particularly helps if you also sell in locations not under MPF jurisdiction. In these cases, TCS can collate sales tax data for you when tax remittance season comes. 

    You Sell Taxable Goods

    Almost all products sold in Canada are taxable, from soft drinks and candies to clothing and footwear. If your products are not tax-exempt and zero-rated goods, you must charge GST, HST, PST, or QST accordingly. 

    These categories are already defined on Amazon TCS, but you can further customize them. Know your products well to tag them as taxable or tax-exempt. 

    automated payroll system - shot of a person typing on their laptop with holographic logos of a clock, taxes, time sheets coming out of the screen

    Instances When Amazon Does Not Collect Sales Tax

    You must have already figured out whether collecting taxes for your products is under your care or Amazon's. Now, here is some more helpful information on when Amazon does not collect sales taxes

    The Province Is Not Under MPF Jurisdiction

    To explain our earlier hypothetical example, British Columbia was previously not under MPF jurisdiction, meaning it was the seller’s responsibility to collect and remit sales taxes from orders from the province, not Amazon’s.

    However, online marketplaces like Amazon, eBay, and Facebook are now required to collect provincial sales taxes for their sellers—something that started on July 1, 2022. This change happened because of the law passed by the British Columbian government in June 2022.

    If the law changes and removes certain provinces from MPF jurisdiction, you may alternatively delegate the task to sales tax support services to make tax collection and remittance easier. 

    A Group or Population Is Tax-Exempt

    When you have access to the TCS, you can optimize the settings to exempt the following groups and populations:

    • Small supplier businesses earning less than $30,000 annually
    • Diplomats, government officials, and Indigenous Peoples
    • Buyers with a tax exemption certificate and enrolled in the Amazon Tax Exemption Program

    You Sell Zero-Rated Products

    The law mandates that if you sell goods that fall under the following classifications, they should be zero-rated:

    • Milk
    • Bread
    • Fruits and vegetables
    • Livestock and poultry
    • Prescription drugs
    • Medical and dental devices
    • Products for feminine hygiene

    Include these details in the TCS to exempt your buyers from paying sales tax. 

    Get Help From Unloop

    Amazon.ca will collect and remit sales tax if the province is under MPF jurisdiction, the seller is registered with TCS, and their goods are taxable. Meanwhile, Amazon won’t collect and remit taxes if the destination is not under MPF jurisdiction and the seller has zero-rated or tax-exempt products.

    After determining sales tax, you need to reconcile all data from TCS with your accounting books to help you with your Amazon seller accounting.

    Sounds complicated? Unloop can help you! Our team of experienced bookkeepers will keep your books updated year-round to prepare you for tax season.

    We know how important it is for Canadian sellers to stay compliant with tax laws, so skip the hassle of computing your taxes and leave it to us.

    If you are interested in getting expert bookkeeping assistance, call us at 877-421-7270. We'd love to discuss our offers with you!

    Fact or Fiction: Why Is There No Tax On Amazon Canada?
    Watch Now

    Many aspiring business owners are eager to sell their products in Canada through Amazon.ca. After all, there is an ongoing belief that the ecommerce giant doesn’t collect general or provincial sales taxes there. But many have wondered: why is there no tax on Amazon Canada?

    What’s more: do Amazon.ca sellers really not pay taxes for their transactions? As an Amazon seller, it's essential to know when to charge sales tax on items sold through this site and learn if Amazon automatically collects sales tax on behalf of their sellers.

    Let’s investigate whether or not Amazon Canada collects sales taxes and answer related Amazon sales tax questions like when does Amazon collect sales tax in Canada, and when does it not? 

    Why Is There No Tax on Amazon Canada?

    Let’s begin our investigation by giving a hypothetical situation. Suppose a customer from British Columbia previously ordered from you, and you noticed that Amazon didn’t collect sales taxes during the transaction. How could that happen?

    Every Amazon product sold in the United States is subject to sales tax based on the buyer's location. So why didn’t Amazon collect tax from this customer? Is there simply no sales tax collection on Amazon Canada?

    There is, but sales tax collection in Canada works differently.

    Unlike in the United States, Canadian tax laws apply Goods and Services Tax (GST) and Harmonized Sales Tax (HST) at the federal level. In contrast, Provincial Sales Tax (PST) is applied separately by individual provinces.

    Because of this complex tax system, there are times when Amazon Canada doesn’t collect sales taxes for the seller; the seller has to do the collection and remittance themselves. 

    Certain sellers are also encouraged to create a GST or HST account with the Canada Revenue Agency (CRA) for tax compliance.

    As a result, many sellers have been led to believe that sales tax collection and remittance are non-existent on Amazon Canada when this belief is completely false. Debunking this myth will logically lead you to ask: when does Amazon.ca collect tax?

    When Does Amazon Collect Sales Tax?

    The laws on Amazon sales tax in Canada leave no room for confusion: you need to collect sales tax. Amazon even makes the task easier for sellers by collecting sales taxes independently, especially in these situations.

    The Province Is Under Marketplace Facilitator Jurisdiction

    Back in the day, you could sell online without the hassle of collecting sales tax from your customers until the Marketplace Facilitator (MPF) law took effect. 

    Canadian law bases sales tax charges on the established GST, PST, HST, and Quebec Sales Tax (QST) rates per province.

    short graphic showing a map of Canadian provinces and the sales tax rates that apply to them

    Suppose you fulfill orders in different provinces across Canada. In that case, Amazon will directly collect sales taxes and remit them to authorities for you as mandated by the MPF.

    You Are Registered in the Amazon Tax Collection Service

    Amazon is already mandated to collect and remit sales taxes for you through the MPF. Still, Amazon's Tax Collection Service (TCS) can give you control and visibility of your sales tax. 

    If you have an Amazon professional account, you can log in on Seller Central to optimize the following:

    • The inventory storage/fulfillment center address (i.e., your warehouse or Amazon FBA warehouse address)
    • The product tax code
    • List of tax-exempt buyers
    • Instances when shipping and handling charges apply
    • Other local sales tax regulations

    This service particularly helps if you also sell in locations not under MPF jurisdiction. In these cases, TCS can collate sales tax data for you when tax remittance season comes. 

    You Sell Taxable Goods

    Almost all products sold in Canada are taxable, from soft drinks and candies to clothing and footwear. If your products are not tax-exempt and zero-rated goods, you must charge GST, HST, PST, or QST accordingly. 

    These categories are already defined on Amazon TCS, but you can further customize them. Know your products well to tag them as taxable or tax-exempt. 

    automated payroll system - shot of a person typing on their laptop with holographic logos of a clock, taxes, time sheets coming out of the screen

    Instances When Amazon Does Not Collect Sales Tax

    You must have already figured out whether collecting taxes for your products is under your care or Amazon's. Now, here is some more helpful information on when Amazon does not collect sales taxes

    The Province Is Not Under MPF Jurisdiction

    To explain our earlier hypothetical example, British Columbia was previously not under MPF jurisdiction, meaning it was the seller’s responsibility to collect and remit sales taxes from orders from the province, not Amazon’s.

    However, online marketplaces like Amazon, eBay, and Facebook are now required to collect provincial sales taxes for their sellers—something that started on July 1, 2022. This change happened because of the law passed by the British Columbian government in June 2022.

    If the law changes and removes certain provinces from MPF jurisdiction, you may alternatively delegate the task to sales tax support services to make tax collection and remittance easier. 

    A Group or Population Is Tax-Exempt

    When you have access to the TCS, you can optimize the settings to exempt the following groups and populations:

    • Small supplier businesses earning less than $30,000 annually
    • Diplomats, government officials, and Indigenous Peoples
    • Buyers with a tax exemption certificate and enrolled in the Amazon Tax Exemption Program

    You Sell Zero-Rated Products

    The law mandates that if you sell goods that fall under the following classifications, they should be zero-rated:

    • Milk
    • Bread
    • Fruits and vegetables
    • Livestock and poultry
    • Prescription drugs
    • Medical and dental devices
    • Products for feminine hygiene

    Include these details in the TCS to exempt your buyers from paying sales tax. 

    Get Help From Unloop

    Amazon.ca will collect and remit sales tax if the province is under MPF jurisdiction, the seller is registered with TCS, and their goods are taxable. Meanwhile, Amazon won’t collect and remit taxes if the destination is not under MPF jurisdiction and the seller has zero-rated or tax-exempt products.

    After determining sales tax, you need to reconcile all data from TCS with your accounting books to help you with your Amazon seller accounting.

    Sounds complicated? Unloop can help you! Our team of experienced bookkeepers will keep your books updated year-round to prepare you for tax season.

    We know how important it is for Canadian sellers to stay compliant with tax laws, so skip the hassle of computing your taxes and leave it to us.

    If you are interested in getting expert bookkeeping assistance, call us at 877-421-7270. We'd love to discuss our offers with you!

    Read more

    Disclaimer: Please note this article is not financial advice. The purpose of our blog is purely educational, so please consult a professional accountant or financial advisor before making any financial decision.

    Filing corporate income taxes in Canada is a vital requirement, whether you're a new small business or an established entity. This comprehensive guide will help you effectively navigate this process, with a specific focus on Schedule 100 and 125. 

    Equip yourself with knowledge on how to enhance your financial standing and efficiently handle your tax obligations, securing your business's success within the Canadian fiscal structure.

    We'll go over the following topics: 

    • What is required before filing: Schedule 100, 125, and other related documents
    • How to calculate net income and business expenses using simple formulas
    • How to file corporate taxes in Canada
    • How to prepare an accurate T2 Corporation Income Tax Return

    Key Financial Statements: Income Statement and Balance Sheet

    As a Canadian corporation, it is important to understand your financial statements and reporting requirements for tax purposes. The Canada Revenue Agency (CRA) requires corporations to file a corporate income tax return annually, which includes a balance sheet and an income statement.

    How to Compute Gross and Net Income

    Gross Income = Total Revenue - Cost of Goods Sold
    Net Income = Total Revenue - Total Expenses*

    *Total Expenses = Operating Expenses + Non-Operating Expenses

    The first step in computing the income is to gather all the required income statement information, including total sales, all sources of income, operating expenses, and non-operating expenses for the year. Once the detailed information has been obtained, plug them into one of the three formulas above to calculate the gross income, total business expenses, and net income.

    The balance sheet computation comes next. Compared to the income statement, the main difference with the formula is that it calculates all assets and total liabilities starting from zero.

    How to Compute Assets

    Assets = Liabilities + Equity

    Using these simple formulas will allow you to obtain your company's net worth or stockholder's equity at a specific time. 

    Once the income statement and balance sheet information have been completed, it's time to start preparing your T2 Corporation Income Tax Return.

    Schedule 100 and 125 and Other Related Documents

    All the documents you need to prepare your corporate tax return are available on the Canada Revenue Agency's website. Once there, find "T2 Returns and Relevant Schedules" using the search field for a faster and more accurate result.

    When you click the top result, you are redirected to the T2 Returns and Schedules page that lists all the forms you need to prepare your company's tax return and fulfill your corporation's tax obligations. These are the relevant schedules or forms you have to accomplish for the preparation of your business tax return:

    Schedule 100 - Balance Sheet Information

    Canada Schedule 100 Balance Sheet Information tax form is a vital document the Canada Revenue Agency (CRA) requires for corporations and partnerships to provide a comprehensive snapshot of their financial standing. This form highlights the corporation's assets, liabilities, equity as well as retained earnings offering crucial insights into its financial health.

    The form mandates the reporting of balance sheet line items, including: 

    • cash, 
    • accounts receivable, 
    • inventories, 
    • property, 
    • plant, 
    • equipment, 
    • accounts payable, 
    • loans, 
    • and accrued business expenses

    Schedule 125 - Income Statement Information

    Canada Schedule 125 or the Income Statement Information tax form, is a crucial document used by individuals and businesses in Canada to report their income, operating, and non-operating expenses. This form plays a significant role in calculating the taxable income and determining the amount of tax owed.

    It requires detailed information about various sources of income, such as: 

    • employment, 
    • self-employment, 
    • investment income, 
    • aggregate investment income
    • active business income, 
    • rental properties, 
    • and deductions and expenses incurred throughout the tax year. 

    Moreover, the form provides a clear breakdown of revenue and expenses, allowing taxpayers to understand their financial position and make informed decisions for future financial planning.

    Schedule 50 - Shareholder Information

    Canada Schedule 50 Shareholder Information tax form is a crucial document that provides detailed information about a company's shareholders to the Canadian Revenue Agency (CRA). This form contains essential data such as: 

    • shareholders' names, 
    • addresses, 
    • social insurance numbers, 
    • and the number and class of shares they hold.

    It is compulsory for corporations operating in Canada to accurately fill out this shareholder information form and submit it annually. The information gathered through Schedule 50 assists CRA in effectively monitoring and enforcing tax regulations. 

    This form ensures transparency in the tax system by enabling the government to verify the accuracy of reported income and holdings, preventing tax evasion, and promoting fairness among taxpayers.

    T-2 Form with pen ontop

    Schedule 8 - Capital Cost Allowance (CCA)

    Canada Schedule 8 Capital Cost Allowance (CCA) tax form is an important document used to calculate depreciation expenses for income tax purposes in Canada. This form is primarily used by businesses to determine the amount they can deduct each year as capital cost allowance on their eligible assets.

    Companies make costs for acquiring and upgrading assets, but the CCA makes it easier for businesses to recover. Just note that CCA rates are different depending on the asset. By completing Schedule 8, businesses can accurately calculate their CCA deductions and reduce their taxable income, benefiting from tax savings.

    Schedule 1 - Net Income (Loss) for Income Tax Purposes

    To report your corporation's net income or loss for a tax assessment, you need the Canada Schedule 1 Net Income (Loss) for Income Tax Purposes tax form. This form is integral to the Canadian income tax return, officially known as the T1 General form.

    It requires taxpayers to meticulously calculate their revenues, deductions, and expenses to determine their net income or loss. By filling out Schedule 1 accurately, taxpayers can ensure compliance with Canadian tax laws, facilitating a fair and efficient income tax assessment.

    Schedule 200 - T2 Corporation Income Tax Return

    A Canada T2 Corporation Income Tax Return is a tax form filed by Canadian corporations to report their annual income, deductions, and tax payable to the Canada Revenue Agency. Corporations use this return to calculate the taxes owed to the government based on their net income generated during the tax year.

    The T2 return includes various schedules and forms that capture detailed financial information, such as: 

    • revenues, 
    • expenses, 
    • capital gains, 
    • and tax credits. 

    It is essential for corporations to accurately complete and file their T2 returns on time to ensure compliance with Canadian tax laws and avoid penalties or interest charges.

    Schedule 4 - Corporation Loss Continuity and Application

    Canada Schedule 4 Corporation Loss Continuity Application is a tax form used by corporations in Canada to claim their losses and carry them forward to future tax years. This form helps businesses to offset their current or future income with the losses incurred in previous years, reducing their overall tax liability.

    The form requires corporations to provide detailed information about their losses, including 

    • year incurred, 
    • the amount, 
    • and any adjustments or transfers made between associated corporations.

    By completing this form accurately, businesses can optimize the valuable tax planning strategy and ensure that their losses are effectively utilized to minimize their tax burden while maximizing their available deductions.

    A sign saying "Canada Revenue Agency National Headquarters"

    Submission to the Canada Revenue Agency

    Once all the forms above have been filled out accurately, it is time to submit your corporate income tax return. Knowing how to file business taxes in Canada properly is very important. The CRA accepts both paper and electronic submissions of corporate income tax returns.

    When filing a hard copy income tax return, attach all required schedules, supporting documents, and financial statements. If anything is missing or incomplete, it may delay processing your corporation income tax return.

    It is important to note that the T2 Corporation Income Tax Return is due within six months after your company's tax year ends. If you are filing late, there will be a penalty fee of 5% per month for up to 12 months when your return is filed beyond the deadline.

    If both Schedule 100 and 125 forms have been completed correctly, CRA automatically calculates Schedule 50 and Schedule 200. Once these schedules are complete, do not forget to submit them with all other required documents before the due date to fulfill your corporation's tax obligations.

    Schedule 100 and 125 With Unloop Assistance

    Now that you know how to file corporate taxes in Canada, don't forget to consult a tax professional if you have any questions. With the right help and guidance, filing your company's tax return should be easy. 

    If either Form 100 or 125 has been completed incorrectly, the CRA will charge penalties up to 12 months after the due date of the T2 Corporation Income Tax Return (Schedule 200) as per tax law.

    Make your corporation income tax return tax filing smooth and problem-free. Partner with tax specialists or a qualified accounting firm that can guide you through corporate tax filing. 

    Unloop offers income tax preparation services and tax management. Sales taxes or income taxes in Canada or the US? We got you! You do not have to worry about completing your financial statement information as we utilize the latest and most efficient software for your bookkeeping. We can generate an income statement summary and balance sheet in a few clicks. 

    Book a consultation call with us today!

    Schedule 100 and 125: A Guide on How to File Corporate Taxes in Canada
    Watch Now

    Disclaimer: Please note this article is not financial advice. The purpose of our blog is purely educational, so please consult a professional accountant or financial advisor before making any financial decision.

    Filing corporate income taxes in Canada is a vital requirement, whether you're a new small business or an established entity. This comprehensive guide will help you effectively navigate this process, with a specific focus on Schedule 100 and 125. 

    Equip yourself with knowledge on how to enhance your financial standing and efficiently handle your tax obligations, securing your business's success within the Canadian fiscal structure.

    We'll go over the following topics: 

    • What is required before filing: Schedule 100, 125, and other related documents
    • How to calculate net income and business expenses using simple formulas
    • How to file corporate taxes in Canada
    • How to prepare an accurate T2 Corporation Income Tax Return

    Key Financial Statements: Income Statement and Balance Sheet

    As a Canadian corporation, it is important to understand your financial statements and reporting requirements for tax purposes. The Canada Revenue Agency (CRA) requires corporations to file a corporate income tax return annually, which includes a balance sheet and an income statement.

    How to Compute Gross and Net Income

    Gross Income = Total Revenue - Cost of Goods Sold
    Net Income = Total Revenue - Total Expenses*

    *Total Expenses = Operating Expenses + Non-Operating Expenses

    The first step in computing the income is to gather all the required income statement information, including total sales, all sources of income, operating expenses, and non-operating expenses for the year. Once the detailed information has been obtained, plug them into one of the three formulas above to calculate the gross income, total business expenses, and net income.

    The balance sheet computation comes next. Compared to the income statement, the main difference with the formula is that it calculates all assets and total liabilities starting from zero.

    How to Compute Assets

    Assets = Liabilities + Equity

    Using these simple formulas will allow you to obtain your company's net worth or stockholder's equity at a specific time. 

    Once the income statement and balance sheet information have been completed, it's time to start preparing your T2 Corporation Income Tax Return.

    Schedule 100 and 125 and Other Related Documents

    All the documents you need to prepare your corporate tax return are available on the Canada Revenue Agency's website. Once there, find "T2 Returns and Relevant Schedules" using the search field for a faster and more accurate result.

    When you click the top result, you are redirected to the T2 Returns and Schedules page that lists all the forms you need to prepare your company's tax return and fulfill your corporation's tax obligations. These are the relevant schedules or forms you have to accomplish for the preparation of your business tax return:

    Schedule 100 - Balance Sheet Information

    Canada Schedule 100 Balance Sheet Information tax form is a vital document the Canada Revenue Agency (CRA) requires for corporations and partnerships to provide a comprehensive snapshot of their financial standing. This form highlights the corporation's assets, liabilities, equity as well as retained earnings offering crucial insights into its financial health.

    The form mandates the reporting of balance sheet line items, including: 

    • cash, 
    • accounts receivable, 
    • inventories, 
    • property, 
    • plant, 
    • equipment, 
    • accounts payable, 
    • loans, 
    • and accrued business expenses

    Schedule 125 - Income Statement Information

    Canada Schedule 125 or the Income Statement Information tax form, is a crucial document used by individuals and businesses in Canada to report their income, operating, and non-operating expenses. This form plays a significant role in calculating the taxable income and determining the amount of tax owed.

    It requires detailed information about various sources of income, such as: 

    • employment, 
    • self-employment, 
    • investment income, 
    • aggregate investment income
    • active business income, 
    • rental properties, 
    • and deductions and expenses incurred throughout the tax year. 

    Moreover, the form provides a clear breakdown of revenue and expenses, allowing taxpayers to understand their financial position and make informed decisions for future financial planning.

    Schedule 50 - Shareholder Information

    Canada Schedule 50 Shareholder Information tax form is a crucial document that provides detailed information about a company's shareholders to the Canadian Revenue Agency (CRA). This form contains essential data such as: 

    • shareholders' names, 
    • addresses, 
    • social insurance numbers, 
    • and the number and class of shares they hold.

    It is compulsory for corporations operating in Canada to accurately fill out this shareholder information form and submit it annually. The information gathered through Schedule 50 assists CRA in effectively monitoring and enforcing tax regulations. 

    This form ensures transparency in the tax system by enabling the government to verify the accuracy of reported income and holdings, preventing tax evasion, and promoting fairness among taxpayers.

    T-2 Form with pen ontop

    Schedule 8 - Capital Cost Allowance (CCA)

    Canada Schedule 8 Capital Cost Allowance (CCA) tax form is an important document used to calculate depreciation expenses for income tax purposes in Canada. This form is primarily used by businesses to determine the amount they can deduct each year as capital cost allowance on their eligible assets.

    Companies make costs for acquiring and upgrading assets, but the CCA makes it easier for businesses to recover. Just note that CCA rates are different depending on the asset. By completing Schedule 8, businesses can accurately calculate their CCA deductions and reduce their taxable income, benefiting from tax savings.

    Schedule 1 - Net Income (Loss) for Income Tax Purposes

    To report your corporation's net income or loss for a tax assessment, you need the Canada Schedule 1 Net Income (Loss) for Income Tax Purposes tax form. This form is integral to the Canadian income tax return, officially known as the T1 General form.

    It requires taxpayers to meticulously calculate their revenues, deductions, and expenses to determine their net income or loss. By filling out Schedule 1 accurately, taxpayers can ensure compliance with Canadian tax laws, facilitating a fair and efficient income tax assessment.

    Schedule 200 - T2 Corporation Income Tax Return

    A Canada T2 Corporation Income Tax Return is a tax form filed by Canadian corporations to report their annual income, deductions, and tax payable to the Canada Revenue Agency. Corporations use this return to calculate the taxes owed to the government based on their net income generated during the tax year.

    The T2 return includes various schedules and forms that capture detailed financial information, such as: 

    • revenues, 
    • expenses, 
    • capital gains, 
    • and tax credits. 

    It is essential for corporations to accurately complete and file their T2 returns on time to ensure compliance with Canadian tax laws and avoid penalties or interest charges.

    Schedule 4 - Corporation Loss Continuity and Application

    Canada Schedule 4 Corporation Loss Continuity Application is a tax form used by corporations in Canada to claim their losses and carry them forward to future tax years. This form helps businesses to offset their current or future income with the losses incurred in previous years, reducing their overall tax liability.

    The form requires corporations to provide detailed information about their losses, including 

    • year incurred, 
    • the amount, 
    • and any adjustments or transfers made between associated corporations.

    By completing this form accurately, businesses can optimize the valuable tax planning strategy and ensure that their losses are effectively utilized to minimize their tax burden while maximizing their available deductions.

    A sign saying "Canada Revenue Agency National Headquarters"

    Submission to the Canada Revenue Agency

    Once all the forms above have been filled out accurately, it is time to submit your corporate income tax return. Knowing how to file business taxes in Canada properly is very important. The CRA accepts both paper and electronic submissions of corporate income tax returns.

    When filing a hard copy income tax return, attach all required schedules, supporting documents, and financial statements. If anything is missing or incomplete, it may delay processing your corporation income tax return.

    It is important to note that the T2 Corporation Income Tax Return is due within six months after your company's tax year ends. If you are filing late, there will be a penalty fee of 5% per month for up to 12 months when your return is filed beyond the deadline.

    If both Schedule 100 and 125 forms have been completed correctly, CRA automatically calculates Schedule 50 and Schedule 200. Once these schedules are complete, do not forget to submit them with all other required documents before the due date to fulfill your corporation's tax obligations.

    Schedule 100 and 125 With Unloop Assistance

    Now that you know how to file corporate taxes in Canada, don't forget to consult a tax professional if you have any questions. With the right help and guidance, filing your company's tax return should be easy. 

    If either Form 100 or 125 has been completed incorrectly, the CRA will charge penalties up to 12 months after the due date of the T2 Corporation Income Tax Return (Schedule 200) as per tax law.

    Make your corporation income tax return tax filing smooth and problem-free. Partner with tax specialists or a qualified accounting firm that can guide you through corporate tax filing. 

    Unloop offers income tax preparation services and tax management. Sales taxes or income taxes in Canada or the US? We got you! You do not have to worry about completing your financial statement information as we utilize the latest and most efficient software for your bookkeeping. We can generate an income statement summary and balance sheet in a few clicks. 

    Book a consultation call with us today!

    Read more

    Disclaimer: Please note this article is not financial advice. The purpose of our blog is purely educational, so please consult a professional accountant or financial advisor before making any financial decision.

    Amazon is not just a regular online marketplace; it's a massive platform that facilitates countless transactions on a daily basis. And where there are transactions, there are taxes. Sellers must understand the tax obligations of selling on such a platform. The solution? Amazon seller tax software designed for e-commerce platforms. 

    Taxes can pose business challenges due to the varying rates across jurisdictions. One wrong move can result in penalties, fines, and potential legal issues. By harnessing the power of tax software tools, you can automate sales tax filings while staying compliant with the ever-changing tax regulations of Amazon. 

    Before we delve into the best tax software for Amazon sellers, let's ensure we're all on the same page about the fundamentals of sales tax in this online marketplace. 

    Understanding Sales Tax Basics for Amazon Sellers

    Sales tax is a transaction-based tax that varies by state and sometimes by local jurisdictions. As an Amazon seller, you must know whether you are responsible for collecting and remitting sales tax returns based on specific rules and regulations.

    In many cases, Amazon takes care of the hassle of calculating, collecting, and remitting sales tax for orders shipped to certain states. Isn't that a relief? No more stressing about manually figuring out tax processes for every transaction in those states.

    But what about the other states? Sadly, the landscape changes when it comes to other states where Amazon doesn't assume the role of a facilitator. In these jurisdictions, sellers are responsible for the entire sales tax process. They must fulfill their duty accordingly to avoid any legal issues.

    You can refer to this table for more information to find out which countries are covered by Amazon's marketplace legislation.

    What Makes FBA the Most Complex Aspect for Sales Tax?

    Sales tax is a topic that affects every ecommerce retailer, regardless of their size. But when it comes to Amazon FBA, the realm of sales tax can become more intricate and demanding compared to other retailers.

    Amazon FBA offers numerous advantages, such as storage, packaging, and shipping services, allowing you to focus on their products and customer experience. But the convenience of FBA also brings with it a complex web of sales tax obligations that businesses must unravel.

    Let’s start with the concept of Nexus. It refers to an Amazon seller's connection or presence in a particular state. With FBA, sellers often store their inventory in Amazon’s fulfillment centers across various states. This physical presence in multiple states can trigger sales tax obligations in those jurisdictions, even if the seller is based in a different state.

    Another one is the dynamic nature of inventory movement within Amazon’s FBA network. Inventory may be transferred between fulfillment centers to optimize storage and shipping efficiency. While this benefits sellers in terms of logistics, it adds intricacy to sales tax compliance since the movement can impact the specific jurisdictions where sales occur.

    Regulatory changes can also indicate an ongoing challenge for FBA sellers. Sales tax laws and regulations are not static; they often undergo state, country, and local modifications. These changes encompass new tax rates, adjusted thresholds, or revised exemptions. Staying updated and ensuring compliance can be demanding.

    Let's not forget about physical products or tangible personal property. Sales tax obligations typically apply to the sale of physical goods, which is true for many products sold through Amazon FBA. Determining the correct sales tax rates and taxability of each item can be a lot, mainly when exemptions or special rules apply to certain things.

    Navigating these hurdles requires a proactive approach to streamline sales tax management. The question now is, how will you rise to the challenge and stay on top of your tax responsibilities?

    4 Sales Tax Compliance Software for Amazon Sellers

    Managing Amazon sales tax compliance can quickly become overwhelming and prone to errors. Fortunately, there are solutions available to simplify the process.

    You can now leverage sales tax automation software that integrates with your Amazon account. These nifty solutions take the burden off your shoulders by automatically calculating the appropriate sales tax for each transaction based on the customer's location and applicable tax rules.

    As promised, here are four tax software options for Amazon sellers like you:

    1. TaxJar

    TaxJar
    Key Features
  • Automatic Sales Tax Calculations
  • Transaction Tracking
  • Process/Workflow Automation
  • Free VAT Audit
  • Nexus Insights
  • PricingSubscription-based pricing, with plans starting at $19/month
    Sales ChannelsIntegrates with major ecommerce platforms, including Amazon, Shopify, Etsy, and Paypal
    Tax Filing and ReportingUses TaxJar Autofile, a built-in technology that can electronically submit sales tax returns directly to the respective tax authorities.
    Customer SupportOffers customer support via email and phone

    One of the most challenging tasks in sales tax rate computation is the first step—knowing which jurisdiction's sales tax nexus you fall under. National and local tax regulations make sales tax more complicated. But you can skip these worries with Taxjar, as the software stores information from 11,000 states, provinces, and municipalities. 

    Amazon also has the Marketplace Tax Collection, so even the tax acquisition and remittance are made for you. Meanwhile, Taxjar lets you export sales data in a CSV file to complete your sales taxes and have it ready for your financial reports.

    2. Taxomate

    Taxomate
    Key Features
  • Automatic Sales Tax Calculations
  • Accounting Software Integration
  • Data Capture and Transfer
  • Sales Management
  • Statement Reconciliation
  • PricingSubscription-based pricing, with plans starting at $12/month
    Sales ChannelsIntegrates with Amazon and other e-commerce platforms like eBay, Shopify, and Walmart
    Tax Filing and ReportingAccountants can import settlements as sales receipts into QuickBooks or Xero and match them against bank deposits from Amazon.
    Bookkeepers can generate quarterly and yearly tax reports and verify them against the form 1099-K sent by Amazon to the IRS.
    Customer SupportOffers customer support via email, chat, 1:1 onboarding

    Taxomate has you covered on your sales and income taxes. As your taxes are monitored, so is your inventory. You'll have data on best-selling products and when it is time for stock replenishment. 

    Once you purchase from Amazon and other ecommerce sites like Shopify and eBay, the details are automatically sent to Taxomate. Given that you have expanded your customers abroad and use a different currency, the multicurrency function of Taxomate will make tax computation and remittance easier.

    3. A2X

    A2X
    Key Features
  • Automatic Sales Tax Calculations
  • Accounting Software Integration
  • Customizable Templates and Reports
  • Multi-Currency
  • Financial Analysis
  • Bank Reconciliation
  • PricingSubscription-based pricing, with plans starting at $19/month
    Sales ChannelsIntegrates with Amazon and other ecommerce platforms like eBay, Shopify, Walmart, BigCommerce, and Etsy
    Tax Filing and ReportingA2X tells you exactly how much sales tax was collected per bank deposit. 
    Customer SupportFAQs/Forum, Phone Support, Knowledge Base, Email/Help Desk, Chat, 24/7 (Live rep)

    Another reliable software that can track your ecommerce business operations is A2X. Unlike other software that focuses on taxes, A2X's coverage is broader. It serves as automated bookkeeping for your business, which removes the need for manual input and the risk of data inaccuracy. 

    Amazon FBA and sales tax assistance are made possible because the software monitors FBA inventory locations and the destination of orders. These two details are the basis of sales tax rates. Because of the historical data available on the software, you can also check trends on sales tax and your business as a whole. 

    4. HelloTax

    HelloTax
    Key Features
  • Automatic Sales Tax Calculations
  • Turnover Tracking
  • Threshold Limit Monitoring
  • Live Data Validation
  • Deadline Notifications
  • Quality Control
  • Tax Letter Inbox
  • PricingSubscription-based pricing, with plans starting at 39€/month
    Sales ChannelsIntegrates with Amazon and other ecommerce platforms like eBay, Shopify, WooCommerce, CDiscount, and Magento
    Tax Filing and ReportingOnce your accounts are connected, and sales data are uploaded, HelloTax will organize your transactions and prepare reports. 
    They will handle the filing of your VAT returns in the countries of your choice and take over communication with the tax authorities. 
    All the necessary information and deadlines will be accessible to you on your dashboard.
    Customer SupportFAQs/Forum, Phone Support, Knowledge Base, Email/Help Desk, Chat, 24/7 (Live rep)

    Your customers might be from countries that pay VAT, so it pays to know about it and how it is implemented. HelloTax helps you comply with requirements by offering features tailored to VAT calculations, reporting, and compliance. 

    Various EU countries and some provinces in Canada can benefit from this tax information reporting software. Most have distinct VAT systems and regulations requiring careful attention.

    Unloop: Your Trusted Partner in Sales Tax and Accounting

    Navigating taxes, whether for local or international sales, can be a complex undertaking. You must understand how much tax is owed in each country or the recent changes in guidelines. But fear not; we're here to help!

    At Unloop, we understand your challenges as an Amazon seller, so we've curated a list of exceptional software solutions to make your tax troubles a breeze. These innovative applications enable you to accurately calculate tax rates based on specific regions where your products are sold, simplifying the compliance process like never before.

    But our support doesn’t stop here. We’re here to handle all your financial management needs through our reliable and efficient sales tax preparer services. You can focus on the bigger picture of your business while we handle the nitty-gritty of Amazon tax management.

    Let us be your reliable partner in conquering the complexities of Amazon sales tax. Book a call now!

    4 Amazon Seller Tax Software for Your Ecommerce Success
    Watch Now

    Disclaimer: Please note this article is not financial advice. The purpose of our blog is purely educational, so please consult a professional accountant or financial advisor before making any financial decision.

    Amazon is not just a regular online marketplace; it's a massive platform that facilitates countless transactions on a daily basis. And where there are transactions, there are taxes. Sellers must understand the tax obligations of selling on such a platform. The solution? Amazon seller tax software designed for e-commerce platforms. 

    Taxes can pose business challenges due to the varying rates across jurisdictions. One wrong move can result in penalties, fines, and potential legal issues. By harnessing the power of tax software tools, you can automate sales tax filings while staying compliant with the ever-changing tax regulations of Amazon. 

    Before we delve into the best tax software for Amazon sellers, let's ensure we're all on the same page about the fundamentals of sales tax in this online marketplace. 

    Understanding Sales Tax Basics for Amazon Sellers

    Sales tax is a transaction-based tax that varies by state and sometimes by local jurisdictions. As an Amazon seller, you must know whether you are responsible for collecting and remitting sales tax returns based on specific rules and regulations.

    In many cases, Amazon takes care of the hassle of calculating, collecting, and remitting sales tax for orders shipped to certain states. Isn't that a relief? No more stressing about manually figuring out tax processes for every transaction in those states.

    But what about the other states? Sadly, the landscape changes when it comes to other states where Amazon doesn't assume the role of a facilitator. In these jurisdictions, sellers are responsible for the entire sales tax process. They must fulfill their duty accordingly to avoid any legal issues.

    You can refer to this table for more information to find out which countries are covered by Amazon's marketplace legislation.

    What Makes FBA the Most Complex Aspect for Sales Tax?

    Sales tax is a topic that affects every ecommerce retailer, regardless of their size. But when it comes to Amazon FBA, the realm of sales tax can become more intricate and demanding compared to other retailers.

    Amazon FBA offers numerous advantages, such as storage, packaging, and shipping services, allowing you to focus on their products and customer experience. But the convenience of FBA also brings with it a complex web of sales tax obligations that businesses must unravel.

    Let’s start with the concept of Nexus. It refers to an Amazon seller's connection or presence in a particular state. With FBA, sellers often store their inventory in Amazon’s fulfillment centers across various states. This physical presence in multiple states can trigger sales tax obligations in those jurisdictions, even if the seller is based in a different state.

    Another one is the dynamic nature of inventory movement within Amazon’s FBA network. Inventory may be transferred between fulfillment centers to optimize storage and shipping efficiency. While this benefits sellers in terms of logistics, it adds intricacy to sales tax compliance since the movement can impact the specific jurisdictions where sales occur.

    Regulatory changes can also indicate an ongoing challenge for FBA sellers. Sales tax laws and regulations are not static; they often undergo state, country, and local modifications. These changes encompass new tax rates, adjusted thresholds, or revised exemptions. Staying updated and ensuring compliance can be demanding.

    Let's not forget about physical products or tangible personal property. Sales tax obligations typically apply to the sale of physical goods, which is true for many products sold through Amazon FBA. Determining the correct sales tax rates and taxability of each item can be a lot, mainly when exemptions or special rules apply to certain things.

    Navigating these hurdles requires a proactive approach to streamline sales tax management. The question now is, how will you rise to the challenge and stay on top of your tax responsibilities?

    4 Sales Tax Compliance Software for Amazon Sellers

    Managing Amazon sales tax compliance can quickly become overwhelming and prone to errors. Fortunately, there are solutions available to simplify the process.

    You can now leverage sales tax automation software that integrates with your Amazon account. These nifty solutions take the burden off your shoulders by automatically calculating the appropriate sales tax for each transaction based on the customer's location and applicable tax rules.

    As promised, here are four tax software options for Amazon sellers like you:

    1. TaxJar

    TaxJar
    Key Features
  • Automatic Sales Tax Calculations
  • Transaction Tracking
  • Process/Workflow Automation
  • Free VAT Audit
  • Nexus Insights
  • PricingSubscription-based pricing, with plans starting at $19/month
    Sales ChannelsIntegrates with major ecommerce platforms, including Amazon, Shopify, Etsy, and Paypal
    Tax Filing and ReportingUses TaxJar Autofile, a built-in technology that can electronically submit sales tax returns directly to the respective tax authorities.
    Customer SupportOffers customer support via email and phone

    One of the most challenging tasks in sales tax rate computation is the first step—knowing which jurisdiction's sales tax nexus you fall under. National and local tax regulations make sales tax more complicated. But you can skip these worries with Taxjar, as the software stores information from 11,000 states, provinces, and municipalities. 

    Amazon also has the Marketplace Tax Collection, so even the tax acquisition and remittance are made for you. Meanwhile, Taxjar lets you export sales data in a CSV file to complete your sales taxes and have it ready for your financial reports.

    2. Taxomate

    Taxomate
    Key Features
  • Automatic Sales Tax Calculations
  • Accounting Software Integration
  • Data Capture and Transfer
  • Sales Management
  • Statement Reconciliation
  • PricingSubscription-based pricing, with plans starting at $12/month
    Sales ChannelsIntegrates with Amazon and other e-commerce platforms like eBay, Shopify, and Walmart
    Tax Filing and ReportingAccountants can import settlements as sales receipts into QuickBooks or Xero and match them against bank deposits from Amazon.
    Bookkeepers can generate quarterly and yearly tax reports and verify them against the form 1099-K sent by Amazon to the IRS.
    Customer SupportOffers customer support via email, chat, 1:1 onboarding

    Taxomate has you covered on your sales and income taxes. As your taxes are monitored, so is your inventory. You'll have data on best-selling products and when it is time for stock replenishment. 

    Once you purchase from Amazon and other ecommerce sites like Shopify and eBay, the details are automatically sent to Taxomate. Given that you have expanded your customers abroad and use a different currency, the multicurrency function of Taxomate will make tax computation and remittance easier.

    3. A2X

    A2X
    Key Features
  • Automatic Sales Tax Calculations
  • Accounting Software Integration
  • Customizable Templates and Reports
  • Multi-Currency
  • Financial Analysis
  • Bank Reconciliation
  • PricingSubscription-based pricing, with plans starting at $19/month
    Sales ChannelsIntegrates with Amazon and other ecommerce platforms like eBay, Shopify, Walmart, BigCommerce, and Etsy
    Tax Filing and ReportingA2X tells you exactly how much sales tax was collected per bank deposit. 
    Customer SupportFAQs/Forum, Phone Support, Knowledge Base, Email/Help Desk, Chat, 24/7 (Live rep)

    Another reliable software that can track your ecommerce business operations is A2X. Unlike other software that focuses on taxes, A2X's coverage is broader. It serves as automated bookkeeping for your business, which removes the need for manual input and the risk of data inaccuracy. 

    Amazon FBA and sales tax assistance are made possible because the software monitors FBA inventory locations and the destination of orders. These two details are the basis of sales tax rates. Because of the historical data available on the software, you can also check trends on sales tax and your business as a whole. 

    4. HelloTax

    HelloTax
    Key Features
  • Automatic Sales Tax Calculations
  • Turnover Tracking
  • Threshold Limit Monitoring
  • Live Data Validation
  • Deadline Notifications
  • Quality Control
  • Tax Letter Inbox
  • PricingSubscription-based pricing, with plans starting at 39€/month
    Sales ChannelsIntegrates with Amazon and other ecommerce platforms like eBay, Shopify, WooCommerce, CDiscount, and Magento
    Tax Filing and ReportingOnce your accounts are connected, and sales data are uploaded, HelloTax will organize your transactions and prepare reports. 
    They will handle the filing of your VAT returns in the countries of your choice and take over communication with the tax authorities. 
    All the necessary information and deadlines will be accessible to you on your dashboard.
    Customer SupportFAQs/Forum, Phone Support, Knowledge Base, Email/Help Desk, Chat, 24/7 (Live rep)

    Your customers might be from countries that pay VAT, so it pays to know about it and how it is implemented. HelloTax helps you comply with requirements by offering features tailored to VAT calculations, reporting, and compliance. 

    Various EU countries and some provinces in Canada can benefit from this tax information reporting software. Most have distinct VAT systems and regulations requiring careful attention.

    Unloop: Your Trusted Partner in Sales Tax and Accounting

    Navigating taxes, whether for local or international sales, can be a complex undertaking. You must understand how much tax is owed in each country or the recent changes in guidelines. But fear not; we're here to help!

    At Unloop, we understand your challenges as an Amazon seller, so we've curated a list of exceptional software solutions to make your tax troubles a breeze. These innovative applications enable you to accurately calculate tax rates based on specific regions where your products are sold, simplifying the compliance process like never before.

    But our support doesn’t stop here. We’re here to handle all your financial management needs through our reliable and efficient sales tax preparer services. You can focus on the bigger picture of your business while we handle the nitty-gritty of Amazon tax management.

    Let us be your reliable partner in conquering the complexities of Amazon sales tax. Book a call now!

    Read more

    Disclaimer: Please note this article is not financial advice. The purpose of our blog is purely educational, so please consult a professional accountant or financial advisor before making any financial decision.

    As a small business owner in Alberta, you may be looking to start selling your products or services to your locality and eventually expand across Canada. However, it's essential to be aware of the local Alberta and Canadian sales taxes to know how they affect your business finances. Whether you have begun your business or are still thinking about what to put up, this article will be helpful for you!

    We'll discuss some great business ideas in Alberta, Canada, and give you the sales tax knowledge you need to be a tax-compliant business. Let us also share a few tips to ensure your small business thrives.

    Top Brick and Mortar Opportunities in Alberta

    Alberta is home to more than 4.7 million people, and the province has various resources. Through market research, you'll know what products the population needs. The supplies easily found in Alberta can give you an idea of what products to sell. Here are some business ideas that may click in the region: 

    Assistance to Busy Professionals

    Alberta is a highly industrialized province. It is home to many professionals working 8-12 hours daily, so offering services that can assist them are great business opportunities. Here are some services you can explore:

    • Pet daycare 
    • Baby daycare center
    • Home cleaning service
    • Laundry service
    • Lawn and garden service
    • Snow removal service

    Serving Beef and Dairy

    Anything related to beef and dairy is an excellent business, as Alberta is rich in beef and dairy farms. Many individuals born and raised in the region manage their own fields. If you have recently bought or inherited land in Alberta, here are some ventures to take: 

    • Beef and dairy delicacies
    • A restaurant
    • A catering business
    • Supplying to huge names in the food industry

    Anything Related to Construction

    Next to food, you can utilize Alberta's prominence as a great source of construction materials. Construction businesses will never lose demand—buildings and establishments are continuously built as Canadian provinces industrialize and improve their local economies. As a small business, you can begin producing small supplies and slowly grow to become a supplier to construction businesses. 

    Ecommerce Opportunities in Alberta

    It is tempting to think that the sky's the limit when selling online, but this may not be true. There are individual considerations when selling on physical stores and eCommerce sites. 

    Do market research, study what sells and where they sell best, manage your inventory, and learn how to deliver your sales. 

    These tasks include your store launching, optimization, and product advertising and marketing. With millions of sellers on different eCommerce websites, the competition online is only getting more challenging. You need to be ahead or at par with your counterparts. For that to happen, you can do any of the following:

    Go for the big eCommerce platforms: Know which platforms to launch your store in. The top eCommerce sites in Canada are: 

    • Amazon, 
    • Walmart, 
    • eBay, 
    • Costco, 
    • and Home Depot. 

    Expanding internationally also becomes easier when you start selling on these sites. 

    Know what to sell: You can rely on numbers when deciding. Numbers will tell you which products are in demand. 

    Manage your inventory: Once you have decided what to sell, you need to plan when you'll store your products and how you will deliver them. Many eCommerce sites also offer warehousing and fulfillment, like Fulfillment By Amazon.

    Alberta Sales Tax and Countrywide Charges

    Your tax obligations should go hand-in-hand with your objective and creative business plans. With every sale you make, you need to charge sales taxes. You are also obliged to file your personal income tax and corporate income taxes yearly. What are these? Let's learn about them one by one. 

    Alberta Sales Tax Rates

    Alberta follows the charging of General Sales Tax (GST), a federal tax charged to almost all products sold in Canada. Alberta's sales tax rate is 5%, so you have to multiply this value by the product's total price to determine how much sales tax you will add to the buyer's total cost. 

    Provincial Sales Tax Across Canada

    Across Canada's 13 provinces, sales tax current rates differ as some charge Goods and Services Tax (GST), while others charge Provincial Sales Tax (PST), Harmonized Sales Tax (HST), or Quebec Sales Tax (QST).

    Alberta, Northwest Territories, Nunavut, and Yukon charge GST only. Saskatchewan, British Columbia, and Manitoba Charge both GST and PST. Quebec has GST and QST(Quebec is the only province with QST), and the other provinces of New Brunswick, Newfoundland and Labrador, Nova Scotia, and Prince Edward Island have HST.

    Knowing these different taxes is necessary once you open your business to buyers nationwide and in different provinces. 

    Corporate and Personal Income Tax

    You also need to know your personal and corporate income tax returns. The two are computed similarly: You must check to which tax bracket your income belongs to know how much you need to pay. Income tax in Canada is paid either monthly, quarterly, or annually. 

    Tips for a Successful Small Business

    Now, you already have some ideas about what type of business you can launch in Alberta and the taxes you should know. Before we let you go, here are some tips to ensure your small business thrives and succeeds

    • Build a company you care about. Getting up and running every day is easier because you are working on something meaningful and close to your heart. 
    • Be objective with your business plan. Set realistic and measurable goals, and strategize how to reach each target. 
    • Have a solid support team. Delegate the technical tasks to experts to ensure they are done correctly and get frequent reports. 
    • Be honest with your strengths and weaknesses. Knowing your business strengths allows you to invest in them more and duplicate them. These weaknesses will enable you to be more competent in strategizing. 
    • Know your target audience. The lifeblood of your business is your customers. Always get to know them, what they want, how they respond to your services and offers, and what more you can offer. 
    • Keep an eye on your company finances. Know your KPIs and have weekly, monthly, quarterly, and annual reports. The smaller your business, the more often reports should be. Knowing your financial status can help you adjust game plans right away. 
    • Always pay GST/PST/HST/QST accordingly. Always comply with the tax requirements to ensure the Canada Revenue Agency will not run after you for unpaid taxes.
    • Know when tax exemptions apply. After knowing how to comply with sales taxes, check which transactions and goods, like basic groceries, are classified by the government as tax-exempt. This way, you can recognize the rights of tax-exempted groups and individuals.

    Alberta Sales Tax Assistance From Unloop

    And that’s it. We hope we have enlightened you with enough information on sales taxes in Alberta and other Canadian provinces. With this knowledge, you can save money by paying the right sales tax amount for your products or services sold across Canada. 

    If you need bookkeeping, accounting, and tax computation assistance, Unloop can be your partner. We began as a small eCommerce business, so we know the exact assistance a small business owner needs. 

    Give us a call now at 877-421-7270. We'd love to discuss our offers with you!

    Local Alberta Sales Tax and Countrywide Rates: A Guide for Small Businesses
    Watch Now

    Disclaimer: Please note this article is not financial advice. The purpose of our blog is purely educational, so please consult a professional accountant or financial advisor before making any financial decision.

    As a small business owner in Alberta, you may be looking to start selling your products or services to your locality and eventually expand across Canada. However, it's essential to be aware of the local Alberta and Canadian sales taxes to know how they affect your business finances. Whether you have begun your business or are still thinking about what to put up, this article will be helpful for you!

    We'll discuss some great business ideas in Alberta, Canada, and give you the sales tax knowledge you need to be a tax-compliant business. Let us also share a few tips to ensure your small business thrives.

    Top Brick and Mortar Opportunities in Alberta

    Alberta is home to more than 4.7 million people, and the province has various resources. Through market research, you'll know what products the population needs. The supplies easily found in Alberta can give you an idea of what products to sell. Here are some business ideas that may click in the region: 

    Assistance to Busy Professionals

    Alberta is a highly industrialized province. It is home to many professionals working 8-12 hours daily, so offering services that can assist them are great business opportunities. Here are some services you can explore:

    • Pet daycare 
    • Baby daycare center
    • Home cleaning service
    • Laundry service
    • Lawn and garden service
    • Snow removal service

    Serving Beef and Dairy

    Anything related to beef and dairy is an excellent business, as Alberta is rich in beef and dairy farms. Many individuals born and raised in the region manage their own fields. If you have recently bought or inherited land in Alberta, here are some ventures to take: 

    • Beef and dairy delicacies
    • A restaurant
    • A catering business
    • Supplying to huge names in the food industry

    Anything Related to Construction

    Next to food, you can utilize Alberta's prominence as a great source of construction materials. Construction businesses will never lose demand—buildings and establishments are continuously built as Canadian provinces industrialize and improve their local economies. As a small business, you can begin producing small supplies and slowly grow to become a supplier to construction businesses. 

    Ecommerce Opportunities in Alberta

    It is tempting to think that the sky's the limit when selling online, but this may not be true. There are individual considerations when selling on physical stores and eCommerce sites. 

    Do market research, study what sells and where they sell best, manage your inventory, and learn how to deliver your sales. 

    These tasks include your store launching, optimization, and product advertising and marketing. With millions of sellers on different eCommerce websites, the competition online is only getting more challenging. You need to be ahead or at par with your counterparts. For that to happen, you can do any of the following:

    Go for the big eCommerce platforms: Know which platforms to launch your store in. The top eCommerce sites in Canada are: 

    • Amazon, 
    • Walmart, 
    • eBay, 
    • Costco, 
    • and Home Depot. 

    Expanding internationally also becomes easier when you start selling on these sites. 

    Know what to sell: You can rely on numbers when deciding. Numbers will tell you which products are in demand. 

    Manage your inventory: Once you have decided what to sell, you need to plan when you'll store your products and how you will deliver them. Many eCommerce sites also offer warehousing and fulfillment, like Fulfillment By Amazon.

    Alberta Sales Tax and Countrywide Charges

    Your tax obligations should go hand-in-hand with your objective and creative business plans. With every sale you make, you need to charge sales taxes. You are also obliged to file your personal income tax and corporate income taxes yearly. What are these? Let's learn about them one by one. 

    Alberta Sales Tax Rates

    Alberta follows the charging of General Sales Tax (GST), a federal tax charged to almost all products sold in Canada. Alberta's sales tax rate is 5%, so you have to multiply this value by the product's total price to determine how much sales tax you will add to the buyer's total cost. 

    Provincial Sales Tax Across Canada

    Across Canada's 13 provinces, sales tax current rates differ as some charge Goods and Services Tax (GST), while others charge Provincial Sales Tax (PST), Harmonized Sales Tax (HST), or Quebec Sales Tax (QST).

    Alberta, Northwest Territories, Nunavut, and Yukon charge GST only. Saskatchewan, British Columbia, and Manitoba Charge both GST and PST. Quebec has GST and QST(Quebec is the only province with QST), and the other provinces of New Brunswick, Newfoundland and Labrador, Nova Scotia, and Prince Edward Island have HST.

    Knowing these different taxes is necessary once you open your business to buyers nationwide and in different provinces. 

    Corporate and Personal Income Tax

    You also need to know your personal and corporate income tax returns. The two are computed similarly: You must check to which tax bracket your income belongs to know how much you need to pay. Income tax in Canada is paid either monthly, quarterly, or annually. 

    Tips for a Successful Small Business

    Now, you already have some ideas about what type of business you can launch in Alberta and the taxes you should know. Before we let you go, here are some tips to ensure your small business thrives and succeeds

    • Build a company you care about. Getting up and running every day is easier because you are working on something meaningful and close to your heart. 
    • Be objective with your business plan. Set realistic and measurable goals, and strategize how to reach each target. 
    • Have a solid support team. Delegate the technical tasks to experts to ensure they are done correctly and get frequent reports. 
    • Be honest with your strengths and weaknesses. Knowing your business strengths allows you to invest in them more and duplicate them. These weaknesses will enable you to be more competent in strategizing. 
    • Know your target audience. The lifeblood of your business is your customers. Always get to know them, what they want, how they respond to your services and offers, and what more you can offer. 
    • Keep an eye on your company finances. Know your KPIs and have weekly, monthly, quarterly, and annual reports. The smaller your business, the more often reports should be. Knowing your financial status can help you adjust game plans right away. 
    • Always pay GST/PST/HST/QST accordingly. Always comply with the tax requirements to ensure the Canada Revenue Agency will not run after you for unpaid taxes.
    • Know when tax exemptions apply. After knowing how to comply with sales taxes, check which transactions and goods, like basic groceries, are classified by the government as tax-exempt. This way, you can recognize the rights of tax-exempted groups and individuals.

    Alberta Sales Tax Assistance From Unloop

    And that’s it. We hope we have enlightened you with enough information on sales taxes in Alberta and other Canadian provinces. With this knowledge, you can save money by paying the right sales tax amount for your products or services sold across Canada. 

    If you need bookkeeping, accounting, and tax computation assistance, Unloop can be your partner. We began as a small eCommerce business, so we know the exact assistance a small business owner needs. 

    Give us a call now at 877-421-7270. We'd love to discuss our offers with you!

    Read more

    Disclaimer: Please note this article is not financial advice. The purpose of our blog is purely educational, so please consult a professional accountant or financial advisor before making any financial decision.

    It’s been well established—bookkeeping is an important aspect of any business. A certified bookkeeper in Ontario will provide valuable services that your company needs to function properly. If you want to ensure that your books are in order, then invest in a bookkeeper or hire a chartered professional accountant for these services. If you want a convenient option, bookkeeping services in Burlington, Ontario are some ways to do it. 

    What is the main benefit of hiring certified bookkeepers? It's simple—they help you stay compliant with government regulations! As a business owner, you must already be aware that non-compliance could lead to a CRA audit, which also means more headaches than necessary.

    This article tackles how bookkeeping can protect your business during a CRA audit and why you should take the time to find the best possible certified professionals for this job!

    Things You Need to Know About Audits

    There are a few things you should know about CRA audits. First of all, the CRA can audit any business at any time. They don't need to have any specific reason to conduct an audit—they can simply decide to do one at their own discretion. The CRA is not obliged to notify you ahead of time that they are coming. They may show up at your business unannounced and demand to check your books.

    Keep in mind that CRA has the authority to assess penalties and interest on any taxes you owe. This reassessment could amount to thousands or even tens of thousands of dollars, so it is important to make sure your books are in order and that you are compliant with local government regulations. Bookkeeping services in Hamilton, Ontario, must adhere to Hamilton’s laws, while bookkeeping services in Windsor, Ontario, must adhere to Windsor’s—you might get overwhelmed at first, but it’s really just a matter of hiring a trusted team of professionals with the local tax know-how.

    The CRA does not have a specific set of criteria when choosing which businesses to audit. Instead, it conducts audits based on a number of reasons. Other factors that could lead to an audit are:

    • Not complying with government regulations
    • Failing to file tax returns or declarations
    • Having discrepancies between your books and your tax returns
    • Receiving a large refund or owing a large amount of money
    • Owning a business that’s viewed as high risk

    They examine whether there's a writing discrepancy between the amount of cash in the business records and the amount certified by an auditor.

    An auditor evaluates the books to ensure that all income has been recorded, all deductions have been approved, and all expenses are classified correctly. The auditor also checks your balance sheet to make sure everything adds up accurately.

    Below are the other things that an auditor can do:

    • Undisclosed foreign accounts
    • Tells you if you can expense things during a specified period (such as capital expenditures)
    • Determines if there are any future tax implications related to your transactions
    • Assesses compliance with government regulations, including laws on import-export duties and bankruptcy payments
    • Examines how much bank interest was earned on your deposits during the year
    • Verifies how much money is owed to the Canada Revenue Agency (CRA)

    The Auditing Process

    It was mentioned earlier that CRA could conduct audits at their own discretion. They can conduct the audit without notification. However, the CRA respects taxpayers' time, and the auditor usually gives a mail or phone call that includes the time, date, and location of the audit. Most of the time, audits take place in the taxpayers' residence, business address, or representative's office. Audits may also take place in the CRA office, and that means that you have a chance to be assigned to an auditor located outside of your region.

    Before the audit begins, it's automatic that the auditor will present you with supporting credentials for further identification and validation of authority. You need to prepare your books and other financial statements needed for the audit. Finally, the auditor provides a detailed receipt of any borrowed documents and returns them the soonest.

    REMINDER: Financial data and any records related to your tax information aren't allowed to be sent via email because of security reasons. The auditor will give you instructions on how you can send documents online using the CRA's secured portals. Hire the best bookkeeping services for a proper compilation of your tax records.

    For more information about a tax service, please read Income Tax Services and the Different Types of Income Taxes They Can Help You With, written by one of our CPAs here in Unloop.

    Things to be Examined During the Audit

    The auditor examines books, information, and documents collectively called records that also include the following:

    • Any information available to CRA such as credit history, filed tax return, and property details
    • Business records including bank statements, receipts, ledgers, rental records, journals, and contracts
    • Personal records like credit card statements, mortgage documents, and bank statements
    • Personal or corporate records of the people or entities not being audited, such as a spouse, significant other, family relations, corporations, trust, and partnerships
    • Adjustments by your accountant or bookkeeper for accounting and tax purposes

    A number of possibilities may happen after the audit. Moreover, it can be closed if the auditor deems the previous assessment valid and correct. However, you may be subjected to reassessment if discrepancies are found, leading to more taxes owed or a refund. You will receive a letter no matter what the outcome is. In case you are for reassessment, you have until 30 days to conform with the proposal.

    You can disagree with the proposal for reassessment as long as you can explain your reason and provide supporting documents to establish your position.

    Always Be Compliant

    A certified bookkeeper in Ontario is worth investing in because it will definitely help you be compliant with government regulations. In addition, having a certified professional on your side can give you confidence during the audit from CRA and save you more time for discrepancy-free documents.Hire the best bookkeeping services today. Contact Unloop NOW!

    Bookkeeping Services in Ontario and Their Importance During a CRA Audit
    Watch Now

    Disclaimer: Please note this article is not financial advice. The purpose of our blog is purely educational, so please consult a professional accountant or financial advisor before making any financial decision.

    It’s been well established—bookkeeping is an important aspect of any business. A certified bookkeeper in Ontario will provide valuable services that your company needs to function properly. If you want to ensure that your books are in order, then invest in a bookkeeper or hire a chartered professional accountant for these services. If you want a convenient option, bookkeeping services in Burlington, Ontario are some ways to do it. 

    What is the main benefit of hiring certified bookkeepers? It's simple—they help you stay compliant with government regulations! As a business owner, you must already be aware that non-compliance could lead to a CRA audit, which also means more headaches than necessary.

    This article tackles how bookkeeping can protect your business during a CRA audit and why you should take the time to find the best possible certified professionals for this job!

    Things You Need to Know About Audits

    There are a few things you should know about CRA audits. First of all, the CRA can audit any business at any time. They don't need to have any specific reason to conduct an audit—they can simply decide to do one at their own discretion. The CRA is not obliged to notify you ahead of time that they are coming. They may show up at your business unannounced and demand to check your books.

    Keep in mind that CRA has the authority to assess penalties and interest on any taxes you owe. This reassessment could amount to thousands or even tens of thousands of dollars, so it is important to make sure your books are in order and that you are compliant with local government regulations. Bookkeeping services in Hamilton, Ontario, must adhere to Hamilton’s laws, while bookkeeping services in Windsor, Ontario, must adhere to Windsor’s—you might get overwhelmed at first, but it’s really just a matter of hiring a trusted team of professionals with the local tax know-how.

    The CRA does not have a specific set of criteria when choosing which businesses to audit. Instead, it conducts audits based on a number of reasons. Other factors that could lead to an audit are:

    • Not complying with government regulations
    • Failing to file tax returns or declarations
    • Having discrepancies between your books and your tax returns
    • Receiving a large refund or owing a large amount of money
    • Owning a business that’s viewed as high risk

    They examine whether there's a writing discrepancy between the amount of cash in the business records and the amount certified by an auditor.

    An auditor evaluates the books to ensure that all income has been recorded, all deductions have been approved, and all expenses are classified correctly. The auditor also checks your balance sheet to make sure everything adds up accurately.

    Below are the other things that an auditor can do:

    • Undisclosed foreign accounts
    • Tells you if you can expense things during a specified period (such as capital expenditures)
    • Determines if there are any future tax implications related to your transactions
    • Assesses compliance with government regulations, including laws on import-export duties and bankruptcy payments
    • Examines how much bank interest was earned on your deposits during the year
    • Verifies how much money is owed to the Canada Revenue Agency (CRA)

    The Auditing Process

    It was mentioned earlier that CRA could conduct audits at their own discretion. They can conduct the audit without notification. However, the CRA respects taxpayers' time, and the auditor usually gives a mail or phone call that includes the time, date, and location of the audit. Most of the time, audits take place in the taxpayers' residence, business address, or representative's office. Audits may also take place in the CRA office, and that means that you have a chance to be assigned to an auditor located outside of your region.

    Before the audit begins, it's automatic that the auditor will present you with supporting credentials for further identification and validation of authority. You need to prepare your books and other financial statements needed for the audit. Finally, the auditor provides a detailed receipt of any borrowed documents and returns them the soonest.

    REMINDER: Financial data and any records related to your tax information aren't allowed to be sent via email because of security reasons. The auditor will give you instructions on how you can send documents online using the CRA's secured portals. Hire the best bookkeeping services for a proper compilation of your tax records.

    For more information about a tax service, please read Income Tax Services and the Different Types of Income Taxes They Can Help You With, written by one of our CPAs here in Unloop.

    Things to be Examined During the Audit

    The auditor examines books, information, and documents collectively called records that also include the following:

    • Any information available to CRA such as credit history, filed tax return, and property details
    • Business records including bank statements, receipts, ledgers, rental records, journals, and contracts
    • Personal records like credit card statements, mortgage documents, and bank statements
    • Personal or corporate records of the people or entities not being audited, such as a spouse, significant other, family relations, corporations, trust, and partnerships
    • Adjustments by your accountant or bookkeeper for accounting and tax purposes

    A number of possibilities may happen after the audit. Moreover, it can be closed if the auditor deems the previous assessment valid and correct. However, you may be subjected to reassessment if discrepancies are found, leading to more taxes owed or a refund. You will receive a letter no matter what the outcome is. In case you are for reassessment, you have until 30 days to conform with the proposal.

    You can disagree with the proposal for reassessment as long as you can explain your reason and provide supporting documents to establish your position.

    Always Be Compliant

    A certified bookkeeper in Ontario is worth investing in because it will definitely help you be compliant with government regulations. In addition, having a certified professional on your side can give you confidence during the audit from CRA and save you more time for discrepancy-free documents.Hire the best bookkeeping services today. Contact Unloop NOW!

    Read more

    Disclaimer: Please note this article is not financial advice. The purpose of our blog is purely educational, so please consult a professional accountant or financial advisor before making any financial decision.

    As your business grows, ensuring it runs smoothly will be challenging, especially when managing your financial data. Thankfully, Shopify allows third-party software to enrich your ecommerce experience. Plenty of Shopify accounting software is available to help small businesses like yours. 

    Let’s discover how online accounting software can help you make quick work of your Shopify business's books!

    What Can Shopify Offer Store Owners Like You?

    Complete beginners can use Shopify order management, Shopify's POS (Point of Sale) system, fast and secure Shopify transactions, payment channels, and Shopify accounting integration by becoming one of the platform’s store owners. 

    A Shopify seller like you can enjoy the following features that the ecommerce business platform provides.

    Ease of UseShopify is easy and intuitive; you don't need to go through a library's worth of documentation to understand its fundamental operations, such as invoicing, cash flow and expense tracking, and inventory tracking.
    Seamless SetupThe platform unburdens you from hiring an entire team to manage your website's front- and back-end, and manages everything tech-related for you.
    Reliable SecurityShopify keeps your SSL certificates up-to-date and keeps your store up-to-date with the latest cybersecurity.
    24-Hour SupportShopify offers always-available and responsive customer service. You can reach the technical support team through instant messaging, email, and phone calls.
    Mobile-Ready PlatformShopify ensures a mobile-friendly experience for both sellers and buyers. The Shopify platform works great on small and large devices and matches the screen size to the device.
    Customizable ThemesShopify has an ever-expanding theme collection for your customizability and convenience. You can also browse the countless themes on third-party sites aside from Shopify's default themes.
    Store Enhancement With AppsYou can enrich your customer’s shopping experience by using Shopify with apps from its app store. The possibility is endless with the number of apps in the Shopify app store.
    Powerful AnalyticsShopify can help you rank higher in search engine results using its tried and tested search engine optimization (SEO) features. You can further refine your marketing to reach your target audience by utilizing analytics and insights from Shopify.

    What Challenges Will Shopify Sellers Encounter? 

    Knowing how helpful Shopify is to online sellers may encourage and urge you to set up your own online business. Great! However, every seller will inevitably encounter a few road bumps and challenges in their business venture, especially with accounting. Here are some of them:

    • Errors and Lost Documents: People who manually input details from physical documents may commit mistakes. These files can also easily get lost or destroyed. Likewise, Excel sheets where you place these details are prone to file corruption.
    • Inventory Tracking and Management: Shopify has a built-in inventory management system. However, you can only make the most of it by integrating it with an accounting tool. 
    • Sales Tax Tracking: Shopify allows sellers to set the sales tax and include it in customers' details when they checkout. However, the platform does not collect nor remit these taxes. Those complicated accounting tasks will be yours to handle.
    • Missed Payments: Failure to get payment from customers on time or the inability to pay suppliers immediately affects your cash flow. It is even more challenging when doing cash-based accounting, as you won’t get a complete view of your finances.

    These problems are common, so your chances of experiencing them are high. Yet, knowing them will lessen the fear and let you prepare ahead of time.

    Accounting Do’s and Don’ts for Shopify Sellers

    In the face of these challenging Shopify hurdles, first-time sellers may tremble in fear and abandon their ecommerce dreams altogether. Don’t worry; we’ve collated a list of accounting do’s and don’ts to prepare beginner Shopify sellers when encountering such challenges.

    short graphic showing the do's and don'ts of Shopify accounting

    How Can Accounting Software Integration Help My Budding Business?

    As mentioned, one of the crucial Shopify accounting do’s is to find and use the ideal accounting tool and software for your business. 

    The best accounting software for Shopify makes it easy for you to take charge of your books and your small business's finances. Here are some of the features that many accounting software may offer.

    Syncs Your Numbers Accurately and Automatically

    With bookkeeping and accounting, accuracy is a top priority. Only when all the data in the books is correct can you get an objective view of your finances. With accounting software, apps, and integrations, you automate everything and eliminate manual input—the root cause of costly mistakes.

    Automation allows users to view organized data from various payment gateways, the business’s bank account, inventory management tools, tax software, and more in a single place.

    Seamless integration between the accounting software and the Shopify platform can also significantly speed up your workflow. With one click of a button, you can sync your records instantly. Some software can even do this automatically without pressing a button.

    Helps Manage Your Inventory

    As a Shopify seller, inventory management is a task that will occupy your time. You need visibility on how many items you still have, which items to replenish, and which have enough supply. You also need to see the shipping, storage, and fulfillment costs. These will help you determine which delivery method is best for your business.

    Helps You Keep Track of Your Store Whenever and Wherever

    You can summon the accounting software mobile app with a single tap on the screen. As a result, you can check on the latest numbers of your business no matter where you are. As long as you have a stable internet connection, you will never have to be apart from your business. You can even perform tasks such as creating invoices while on the move.

    Gives Financial Reports in One Click

    We know how busy an entrepreneur like you can be. The best accounting software comes with a one-click financial report feature. You don't have to ask your finance guy to check the books for you to get a clearer picture of how your business is performing. You can even generate helpful and insightful graphs and charts to help you make better business decisions.

    Let’s You Track Expenditures Easily

    With so much money going through your business, keeping your books straight can be a handful. However, integration between Shopify and accounting software makes this tedious task a breeze. You can link your credit card and bank account to the accounting software so that it records and categorizes your transactions as soon as you make them.

    Keeps You on Top of Taxes

    Selling on Shopify requires you to charge sales taxes when applicable. The thing about sales taxes is that they are sensitive to change. When you have apps and software that keep these changes on track, you can charge the correct sales tax every time. 

    Accounting software allows you to efficiently compute your income and pay the correct dues during tax season.

    What Are Your Shopify Accounting Software Options?

    After learning how beneficial Shopify accounting software and apps are, you will naturally head to Google for the best free accounting software available. However, before you go on and download the first one you see, know that finding an exceptional and suitable accounting solution is crucial (even if it might be a financial investment). 

    You can only pick the ideal accounting software if you've identified your business needs. Analyze your business status first. What's the current financial situation? What do you need to improve right now, and what are your plans? 

    Setting your knowledge and expectations of your business will help determine which features you will look for in software. Here are some of the qualities of accounting software that you will want to consider before investing in one:

    • Ease of Use
    • Cost-Efficiency
    • Multiple Software Features
    • Security and Safety
    • Device Compatibility
    • Pricing

    When it comes to your accounting software options, the top contenders are QuickBooks Online and Xero Accounting, with other tools like Sage Business Cloud Accounting, FreshBooks, Wave, Zoho Books, and Netsuite closely following.

    We’ve juxtaposed these seven accounting software in the graphic to highlight their differences.

    a table presenting the different features and details of the top 7 Shopify accounting software available

    Other Commendable Applications

    Software can further help you when you link other applications and integrations. You can enjoy the convenience of having all your data in one place. Be sure to reap these benefits using the following Shopify accounting apps and tools.

    For Bookkeeping

    • A2X gets all financial data you have from Shopify and other ecommerce sites categorized and organized to ensure accurate accounting, reporting, and taxes.
    • Bench is all about bookkeeping—the first stage of accounting. This tool backtracks the financial data of new clients and keeps their books up-to-date. 

    For Inventory Management

    • Cin7 Omni is an inventory management tool for ecommerce businesses like Shopify, but business owners in the B2B and 3PL&EDI businesses can use it, too.
    • ERPAG is a manufacturing software helpful for Shopify sellers who manufacture their own goods. The cloud-based material requirements planning (MRP) system gives you visibility of raw material costs.

    For Accounting

    • DEAR Systems/Cin7 Core collates all the data in the manufacturing stage, retailing, and selling. You can integrate inventory, sales, and other accounting details into your central accounting system.
    • Holded is an accounting tool with invoicing, projects, inventory, CRM, ERP, and integrations. It is designed for ecommerce businesses and many more industries.
    • Reckon One is a tool you can rely on for accounting, invoicing, and payroll. Timesheets, employee expenses, bank reconciliations, and projects are also handled.

    For Reporting

    • Syft Analytics software can help you generate comprehensive reports for your Shopify business. The generated graphs and charts can help you in decision-making.

    For ERP

    • Priority Software is an enterprise resource planning (ERP) software. It lets you manage all your business activities, like accounting, projects and risk management, procurement, and more!
    • Versa Cloud ERP is another tool to help you optimize your business operations, like manufacturing, distribution, purchases, inventory management features, reporting, and accounting.

    For Taxes

    • Taxomate is a tool that focuses on ecommerce sites like Amazon, Shopify, and eBay. You can rely on it for CoGS, checking inventory value, and multi-currency support.
    • TaxJar makes sales tax tracking, calculations, applications, collections, and remittances easy. The tool handles these all.
    • Taxify handles your sales and uses taxes, ensuring that you charge the correct taxes to your customers and remit the right tax amount each time.

    Final Thoughts

    Managing a business is tough, especially for first-time business owners. Fortunately, cloud-based platforms and tools can make your life much easier. 

    A combination of ecommerce platforms and ecommerce accounting tools, together with the expertise of professional bookkeepers, will take the burden of managing your business accounting off your shoulders. 

    Consider employing the help of a reliable finance solution like Unloop! 

    With a secure and intuitive ecommerce platform, easy-to-use accounting software, and our expert bookkeepers on board, you never have to stress about managing your online business.

    Book a call today and let us help your business flourish!

    A Booming Business With Clean Books: The Unbeatable Shopify and Shopify Accounting Software Tandem
    Watch Now

    Disclaimer: Please note this article is not financial advice. The purpose of our blog is purely educational, so please consult a professional accountant or financial advisor before making any financial decision.

    As your business grows, ensuring it runs smoothly will be challenging, especially when managing your financial data. Thankfully, Shopify allows third-party software to enrich your ecommerce experience. Plenty of Shopify accounting software is available to help small businesses like yours. 

    Let’s discover how online accounting software can help you make quick work of your Shopify business's books!

    What Can Shopify Offer Store Owners Like You?

    Complete beginners can use Shopify order management, Shopify's POS (Point of Sale) system, fast and secure Shopify transactions, payment channels, and Shopify accounting integration by becoming one of the platform’s store owners. 

    A Shopify seller like you can enjoy the following features that the ecommerce business platform provides.

    Ease of UseShopify is easy and intuitive; you don't need to go through a library's worth of documentation to understand its fundamental operations, such as invoicing, cash flow and expense tracking, and inventory tracking.
    Seamless SetupThe platform unburdens you from hiring an entire team to manage your website's front- and back-end, and manages everything tech-related for you.
    Reliable SecurityShopify keeps your SSL certificates up-to-date and keeps your store up-to-date with the latest cybersecurity.
    24-Hour SupportShopify offers always-available and responsive customer service. You can reach the technical support team through instant messaging, email, and phone calls.
    Mobile-Ready PlatformShopify ensures a mobile-friendly experience for both sellers and buyers. The Shopify platform works great on small and large devices and matches the screen size to the device.
    Customizable ThemesShopify has an ever-expanding theme collection for your customizability and convenience. You can also browse the countless themes on third-party sites aside from Shopify's default themes.
    Store Enhancement With AppsYou can enrich your customer’s shopping experience by using Shopify with apps from its app store. The possibility is endless with the number of apps in the Shopify app store.
    Powerful AnalyticsShopify can help you rank higher in search engine results using its tried and tested search engine optimization (SEO) features. You can further refine your marketing to reach your target audience by utilizing analytics and insights from Shopify.

    What Challenges Will Shopify Sellers Encounter? 

    Knowing how helpful Shopify is to online sellers may encourage and urge you to set up your own online business. Great! However, every seller will inevitably encounter a few road bumps and challenges in their business venture, especially with accounting. Here are some of them:

    • Errors and Lost Documents: People who manually input details from physical documents may commit mistakes. These files can also easily get lost or destroyed. Likewise, Excel sheets where you place these details are prone to file corruption.
    • Inventory Tracking and Management: Shopify has a built-in inventory management system. However, you can only make the most of it by integrating it with an accounting tool. 
    • Sales Tax Tracking: Shopify allows sellers to set the sales tax and include it in customers' details when they checkout. However, the platform does not collect nor remit these taxes. Those complicated accounting tasks will be yours to handle.
    • Missed Payments: Failure to get payment from customers on time or the inability to pay suppliers immediately affects your cash flow. It is even more challenging when doing cash-based accounting, as you won’t get a complete view of your finances.

    These problems are common, so your chances of experiencing them are high. Yet, knowing them will lessen the fear and let you prepare ahead of time.

    Accounting Do’s and Don’ts for Shopify Sellers

    In the face of these challenging Shopify hurdles, first-time sellers may tremble in fear and abandon their ecommerce dreams altogether. Don’t worry; we’ve collated a list of accounting do’s and don’ts to prepare beginner Shopify sellers when encountering such challenges.

    short graphic showing the do's and don'ts of Shopify accounting

    How Can Accounting Software Integration Help My Budding Business?

    As mentioned, one of the crucial Shopify accounting do’s is to find and use the ideal accounting tool and software for your business. 

    The best accounting software for Shopify makes it easy for you to take charge of your books and your small business's finances. Here are some of the features that many accounting software may offer.

    Syncs Your Numbers Accurately and Automatically

    With bookkeeping and accounting, accuracy is a top priority. Only when all the data in the books is correct can you get an objective view of your finances. With accounting software, apps, and integrations, you automate everything and eliminate manual input—the root cause of costly mistakes.

    Automation allows users to view organized data from various payment gateways, the business’s bank account, inventory management tools, tax software, and more in a single place.

    Seamless integration between the accounting software and the Shopify platform can also significantly speed up your workflow. With one click of a button, you can sync your records instantly. Some software can even do this automatically without pressing a button.

    Helps Manage Your Inventory

    As a Shopify seller, inventory management is a task that will occupy your time. You need visibility on how many items you still have, which items to replenish, and which have enough supply. You also need to see the shipping, storage, and fulfillment costs. These will help you determine which delivery method is best for your business.

    Helps You Keep Track of Your Store Whenever and Wherever

    You can summon the accounting software mobile app with a single tap on the screen. As a result, you can check on the latest numbers of your business no matter where you are. As long as you have a stable internet connection, you will never have to be apart from your business. You can even perform tasks such as creating invoices while on the move.

    Gives Financial Reports in One Click

    We know how busy an entrepreneur like you can be. The best accounting software comes with a one-click financial report feature. You don't have to ask your finance guy to check the books for you to get a clearer picture of how your business is performing. You can even generate helpful and insightful graphs and charts to help you make better business decisions.

    Let’s You Track Expenditures Easily

    With so much money going through your business, keeping your books straight can be a handful. However, integration between Shopify and accounting software makes this tedious task a breeze. You can link your credit card and bank account to the accounting software so that it records and categorizes your transactions as soon as you make them.

    Keeps You on Top of Taxes

    Selling on Shopify requires you to charge sales taxes when applicable. The thing about sales taxes is that they are sensitive to change. When you have apps and software that keep these changes on track, you can charge the correct sales tax every time. 

    Accounting software allows you to efficiently compute your income and pay the correct dues during tax season.

    What Are Your Shopify Accounting Software Options?

    After learning how beneficial Shopify accounting software and apps are, you will naturally head to Google for the best free accounting software available. However, before you go on and download the first one you see, know that finding an exceptional and suitable accounting solution is crucial (even if it might be a financial investment). 

    You can only pick the ideal accounting software if you've identified your business needs. Analyze your business status first. What's the current financial situation? What do you need to improve right now, and what are your plans? 

    Setting your knowledge and expectations of your business will help determine which features you will look for in software. Here are some of the qualities of accounting software that you will want to consider before investing in one:

    • Ease of Use
    • Cost-Efficiency
    • Multiple Software Features
    • Security and Safety
    • Device Compatibility
    • Pricing

    When it comes to your accounting software options, the top contenders are QuickBooks Online and Xero Accounting, with other tools like Sage Business Cloud Accounting, FreshBooks, Wave, Zoho Books, and Netsuite closely following.

    We’ve juxtaposed these seven accounting software in the graphic to highlight their differences.

    a table presenting the different features and details of the top 7 Shopify accounting software available

    Other Commendable Applications

    Software can further help you when you link other applications and integrations. You can enjoy the convenience of having all your data in one place. Be sure to reap these benefits using the following Shopify accounting apps and tools.

    For Bookkeeping

    • A2X gets all financial data you have from Shopify and other ecommerce sites categorized and organized to ensure accurate accounting, reporting, and taxes.
    • Bench is all about bookkeeping—the first stage of accounting. This tool backtracks the financial data of new clients and keeps their books up-to-date. 

    For Inventory Management

    • Cin7 Omni is an inventory management tool for ecommerce businesses like Shopify, but business owners in the B2B and 3PL&EDI businesses can use it, too.
    • ERPAG is a manufacturing software helpful for Shopify sellers who manufacture their own goods. The cloud-based material requirements planning (MRP) system gives you visibility of raw material costs.

    For Accounting

    • DEAR Systems/Cin7 Core collates all the data in the manufacturing stage, retailing, and selling. You can integrate inventory, sales, and other accounting details into your central accounting system.
    • Holded is an accounting tool with invoicing, projects, inventory, CRM, ERP, and integrations. It is designed for ecommerce businesses and many more industries.
    • Reckon One is a tool you can rely on for accounting, invoicing, and payroll. Timesheets, employee expenses, bank reconciliations, and projects are also handled.

    For Reporting

    • Syft Analytics software can help you generate comprehensive reports for your Shopify business. The generated graphs and charts can help you in decision-making.

    For ERP

    • Priority Software is an enterprise resource planning (ERP) software. It lets you manage all your business activities, like accounting, projects and risk management, procurement, and more!
    • Versa Cloud ERP is another tool to help you optimize your business operations, like manufacturing, distribution, purchases, inventory management features, reporting, and accounting.

    For Taxes

    • Taxomate is a tool that focuses on ecommerce sites like Amazon, Shopify, and eBay. You can rely on it for CoGS, checking inventory value, and multi-currency support.
    • TaxJar makes sales tax tracking, calculations, applications, collections, and remittances easy. The tool handles these all.
    • Taxify handles your sales and uses taxes, ensuring that you charge the correct taxes to your customers and remit the right tax amount each time.

    Final Thoughts

    Managing a business is tough, especially for first-time business owners. Fortunately, cloud-based platforms and tools can make your life much easier. 

    A combination of ecommerce platforms and ecommerce accounting tools, together with the expertise of professional bookkeepers, will take the burden of managing your business accounting off your shoulders. 

    Consider employing the help of a reliable finance solution like Unloop! 

    With a secure and intuitive ecommerce platform, easy-to-use accounting software, and our expert bookkeepers on board, you never have to stress about managing your online business.

    Book a call today and let us help your business flourish!

    Read more

    After years of earning the trust of business owners and retailers, Peachtree Accounting has rebranded and is now known as Sage Accounting. Sage Accounting software also offers Sage 50, Sage 100, and more products for accounting needs.

    Interested to know what’s new with Peachtree, or should we say Sage Accounting? Can we still use Peachtree Accounting software? What can businesses get from this rebranding, especially small business owners? Let’s dive deeper into this article and learn the new strengths of Sage Accounting.

    A Brief History of Sage Accounting

    Before we explore the improvements in Sage Accounting, let’s first learn the history behind this accounting software.

    💡Before it became the Sage Accounting that we know, it was first known as Peachtree Accounting. It was released way back in the 1980s by the Sage Group. 

    Everything was simple back then. Do you still remember what Windows looked like? The setup of Peachtree required Windows 95, Windows 98, or Windows NT 4. Then, you insert the Peachtree Accounting compact disc and install it. Peachtree was, in fact, a classic software.

    After more than twenty years of providing powerful accounting and financial reporting capabilities, Sage released their 2011 version. Two years later, the cloud-based online accounting software Sage 50cloud was officially launched in the US market. 

    Now, Sage Accounting offers an excellent roster of accounting products and services for all sizes of businesses, including Sage Intacct and Sage X3.

    Screenshot of Sage’s product catalog, including Sage Intacct, People, Sage X3, Sage 50cloud Accounting, Sage HR, and Accounting.

    Sage Accounting Software Review: Different Name But Same Trusted Solution? 

    Peachtree was well-received by many—a trusted solution, the perfect accounting software for small businesses. So, we’re pretty sure many of the product’s long-time users doubt the upgrade is any good. Why fix something that’s already perfect, right? 

    But, as advertised, Sage Accounting still features the same functionality and interface as Peachtree. So, believe us when we say it still looks like the ever-so-technical dashboard of Peachtree with a few tweaks in the system. 

    There are upsides to getting the latest software. Let’s see if the Sage business cloud accounting improvements are worth your money.  

    New Features of Sage Accounting Software

    We live in the era of technology and e-commerce. As a result, no device, no mere program, does one simple function. Let’s take a look at some of the basic accounting functions and new features of Sage accounting:

    Basic accounting services: 
  • Accounts receivable and accounts payable functions

  • Cash flow forecasts

  • Financial reports: cash flow statements, profit analysis, sales tax reports, cash flow statements, etc.,

  • Review of the trial balance report

  • Payroll

  • Job costing

  • Inventory management

  • Track payments

  • Syncing to bank accounts which allows your financial records to be kept in one place
  • New features: 
  • Integrated with Sage CRM or Act! CRM which allows you to handle customer queries and manage customer information

  • Cloud-connected so that you can avoid human error and for added data protection

  • Insurance Tab

  • Additional digits (up to 14 digits) for international currencies

  • An online support team for setting up your Sage account
  • Advantages of Sage Accounting Software Today 

    Seamless. Convenient. Collaborative. 

    These are the words we would use to describe today’s new and improved Sage online accounting software. Let’s take a deeper look into the strengths of this cloud-based accounting software:

    a table showing the ratings of sage accounting features, from top to bottom: easier report generation (4 stars), automated bookkeeping & auto entry feature (4 stars), accessibility (5 stars), invite and share access to key personnel (4 stars), built-in audit trail (3 stars)

    Easier Report Generation

    Sage may not always have a user-friendly interface. However, filing payroll and income tax reports could never have been easier and simpler with Sage Accounting. Everything you need is right before you, just a click away. 

    Sage Accounting’s simplicity is a huge advantage, especially when not all business owners are tech-savvy. Since they’re comfortable with using this tool, it is only a matter of time before they can enjoy the other benefits of Sage Accounting completely. 

    Automated Bookkeeping & Auto Entry Feature

    The accounting software has an automated bookkeeping system that allows you to focus on other parts of your business. You don’t have to worry about losing the receipts you have on hand through the Sage Accounting plan. With your smartphone, you can take a picture of the receipt and upload it directly to the accounting software.

    The Auto Entry feature automatically extracts information from the receipt and categorizes them. These categorized entries are posted accurately on Sage, eliminating the need for manual data input.

    Accessibility

    With Microsoft Office 365 Integration, Sage Accounting provides you with secure online access and financial tools on any device at any time of day. Of course, you need to have internet access, but who doesn’t have internet access in this day and age? 

    Financial reports from the previous year are easily traceable, and every transaction is backed up and saved. You have fewer worries about redoing your work. 

    Invite and Share Access to Key Personnel

    Employees, customers, and suppliers are all part of your company. Therefore, it makes sense that your financial statements include paychecks, purchase orders, and deposits. 

    Sage Accounting allows you to invite your accountant and colleagues and manage their access settings. Such a feature gives way to a more collaborative work environment as it happens in real-time, which is more secure overall.

    Built-In Audit Trail

    The built-in audit trail lets you track every user’s activity, providing peace of mind that your employees are doing their job and your books are updated on time.

    a man pointing to an opened laptop with sage 50 software on the screen

    Limitations of Sage Accounting

    Now that you know the improvements and advantages of Sage Accounting, it would also be beneficial for your business to consider the potential drawbacks of this software before using it.

  • No time-tracking features

  • Limited third-party integrations

  • Need to upgrade to Sage Accounting plan to use accrual accounting

  • Mastering tools and features can be time-consuming
  • Alternatives to Sage Accounting

    Not satisfied with Sage Accounting’s makeover? No problem. We want to give you financial decisions optimal for your organization’s unique needs. So, if Sage Accounting is not the one for you, here are the top 3 accounting programs you might want to try:

    Wave

    Compared to Sage Accounting’s Sage 50cloud program, Wave has limited features centered around invoicing and printing receipts. Wave is suitable for business owners who use traditional accounting tools and want to try out accounting software. The tool’s accounting, invoicing, and receipt scanning features are free.

    FreshBooks 

    This could be the perfect alternative if your business is doing great in your industry and expansion is around the corner. FreshBooks offers great invoice-to-payment functionality integrated with e-commerce platforms such as Shopify and Stripe.

    QuickBooks Online

    Do you want flexible and customizable reporting with a minimalist look at an affordable price? QuickBooks Online offers many features, but it is best for small businesses or freelancers. 

    Be In the Loop With Unloop 

    If you’re starting your business venture, you’re lucky to have read about Peachtree Accounting’s upgrade to Sage Accounting. Being in the know is always key to staying on top of things. If you’re looking for a robust and reliable accounting solution, you now know Sage should be on your list.

    If you are still looking for a team to work with, Unloop is here. We provide accounting services at affordable prices. If you want to know more about us, book a call, and we’ll help you make bookkeeping and financial management easier for your business. 

    What's New in Sage Accounting Software? (2023)
    Watch Now

    After years of earning the trust of business owners and retailers, Peachtree Accounting has rebranded and is now known as Sage Accounting. Sage Accounting software also offers Sage 50, Sage 100, and more products for accounting needs.

    Interested to know what’s new with Peachtree, or should we say Sage Accounting? Can we still use Peachtree Accounting software? What can businesses get from this rebranding, especially small business owners? Let’s dive deeper into this article and learn the new strengths of Sage Accounting.

    A Brief History of Sage Accounting

    Before we explore the improvements in Sage Accounting, let’s first learn the history behind this accounting software.

    💡Before it became the Sage Accounting that we know, it was first known as Peachtree Accounting. It was released way back in the 1980s by the Sage Group. 

    Everything was simple back then. Do you still remember what Windows looked like? The setup of Peachtree required Windows 95, Windows 98, or Windows NT 4. Then, you insert the Peachtree Accounting compact disc and install it. Peachtree was, in fact, a classic software.

    After more than twenty years of providing powerful accounting and financial reporting capabilities, Sage released their 2011 version. Two years later, the cloud-based online accounting software Sage 50cloud was officially launched in the US market. 

    Now, Sage Accounting offers an excellent roster of accounting products and services for all sizes of businesses, including Sage Intacct and Sage X3.

    Screenshot of Sage’s product catalog, including Sage Intacct, People, Sage X3, Sage 50cloud Accounting, Sage HR, and Accounting.

    Sage Accounting Software Review: Different Name But Same Trusted Solution? 

    Peachtree was well-received by many—a trusted solution, the perfect accounting software for small businesses. So, we’re pretty sure many of the product’s long-time users doubt the upgrade is any good. Why fix something that’s already perfect, right? 

    But, as advertised, Sage Accounting still features the same functionality and interface as Peachtree. So, believe us when we say it still looks like the ever-so-technical dashboard of Peachtree with a few tweaks in the system. 

    There are upsides to getting the latest software. Let’s see if the Sage business cloud accounting improvements are worth your money.  

    New Features of Sage Accounting Software

    We live in the era of technology and e-commerce. As a result, no device, no mere program, does one simple function. Let’s take a look at some of the basic accounting functions and new features of Sage accounting:

    Basic accounting services: 
  • Accounts receivable and accounts payable functions

  • Cash flow forecasts

  • Financial reports: cash flow statements, profit analysis, sales tax reports, cash flow statements, etc.,

  • Review of the trial balance report

  • Payroll

  • Job costing

  • Inventory management

  • Track payments

  • Syncing to bank accounts which allows your financial records to be kept in one place
  • New features: 
  • Integrated with Sage CRM or Act! CRM which allows you to handle customer queries and manage customer information

  • Cloud-connected so that you can avoid human error and for added data protection

  • Insurance Tab

  • Additional digits (up to 14 digits) for international currencies

  • An online support team for setting up your Sage account
  • Advantages of Sage Accounting Software Today 

    Seamless. Convenient. Collaborative. 

    These are the words we would use to describe today’s new and improved Sage online accounting software. Let’s take a deeper look into the strengths of this cloud-based accounting software:

    a table showing the ratings of sage accounting features, from top to bottom: easier report generation (4 stars), automated bookkeeping & auto entry feature (4 stars), accessibility (5 stars), invite and share access to key personnel (4 stars), built-in audit trail (3 stars)

    Easier Report Generation

    Sage may not always have a user-friendly interface. However, filing payroll and income tax reports could never have been easier and simpler with Sage Accounting. Everything you need is right before you, just a click away. 

    Sage Accounting’s simplicity is a huge advantage, especially when not all business owners are tech-savvy. Since they’re comfortable with using this tool, it is only a matter of time before they can enjoy the other benefits of Sage Accounting completely. 

    Automated Bookkeeping & Auto Entry Feature

    The accounting software has an automated bookkeeping system that allows you to focus on other parts of your business. You don’t have to worry about losing the receipts you have on hand through the Sage Accounting plan. With your smartphone, you can take a picture of the receipt and upload it directly to the accounting software.

    The Auto Entry feature automatically extracts information from the receipt and categorizes them. These categorized entries are posted accurately on Sage, eliminating the need for manual data input.

    Accessibility

    With Microsoft Office 365 Integration, Sage Accounting provides you with secure online access and financial tools on any device at any time of day. Of course, you need to have internet access, but who doesn’t have internet access in this day and age? 

    Financial reports from the previous year are easily traceable, and every transaction is backed up and saved. You have fewer worries about redoing your work. 

    Invite and Share Access to Key Personnel

    Employees, customers, and suppliers are all part of your company. Therefore, it makes sense that your financial statements include paychecks, purchase orders, and deposits. 

    Sage Accounting allows you to invite your accountant and colleagues and manage their access settings. Such a feature gives way to a more collaborative work environment as it happens in real-time, which is more secure overall.

    Built-In Audit Trail

    The built-in audit trail lets you track every user’s activity, providing peace of mind that your employees are doing their job and your books are updated on time.

    a man pointing to an opened laptop with sage 50 software on the screen

    Limitations of Sage Accounting

    Now that you know the improvements and advantages of Sage Accounting, it would also be beneficial for your business to consider the potential drawbacks of this software before using it.

  • No time-tracking features

  • Limited third-party integrations

  • Need to upgrade to Sage Accounting plan to use accrual accounting

  • Mastering tools and features can be time-consuming
  • Alternatives to Sage Accounting

    Not satisfied with Sage Accounting’s makeover? No problem. We want to give you financial decisions optimal for your organization’s unique needs. So, if Sage Accounting is not the one for you, here are the top 3 accounting programs you might want to try:

    Wave

    Compared to Sage Accounting’s Sage 50cloud program, Wave has limited features centered around invoicing and printing receipts. Wave is suitable for business owners who use traditional accounting tools and want to try out accounting software. The tool’s accounting, invoicing, and receipt scanning features are free.

    FreshBooks 

    This could be the perfect alternative if your business is doing great in your industry and expansion is around the corner. FreshBooks offers great invoice-to-payment functionality integrated with e-commerce platforms such as Shopify and Stripe.

    QuickBooks Online

    Do you want flexible and customizable reporting with a minimalist look at an affordable price? QuickBooks Online offers many features, but it is best for small businesses or freelancers. 

    Be In the Loop With Unloop 

    If you’re starting your business venture, you’re lucky to have read about Peachtree Accounting’s upgrade to Sage Accounting. Being in the know is always key to staying on top of things. If you’re looking for a robust and reliable accounting solution, you now know Sage should be on your list.

    If you are still looking for a team to work with, Unloop is here. We provide accounting services at affordable prices. If you want to know more about us, book a call, and we’ll help you make bookkeeping and financial management easier for your business. 

    Read more

    Disclaimer: Please note this article is not financial advice. The purpose of our blog is purely educational, so please consult a professional accountant or financial advisor before making any financial decision.

    Nearly every business owner knows QuickBooks. Only three years ago, Intuit announced QuickBooks Amazon integration for small businesses to enjoy seamless payment processing and reconciliation on Amazon Business. The productivity rate has exponentially increased since this launch. 

    Still haven't connected your Amazon Business and QuickBooks Online accounts? We’ll show you how an Amazon-QuickBooks integration can help you achieve new levels of accounting efficiency and success. 

    Upsides of QuickBooks Amazon Integration  

    Two is better than one, they say. So imagine the capabilities of the most powerful online market platform and the most comprehensive accounting software combined. The possibilities are endless. 

    QuickBooks organizes your bank accounts' order and purchase transactions into categories and links. Thus, having Amazon-QuickBooks integration is a great way to save time and keep track of your books to revisit wherever and whenever you need them. 

    In addition, accounting automation and reconciliation have never been easier. You can easily locate a transaction and get a complete breakdown. 

    Imagine your business flow if you had this kind of integration. 

    • Has an easy-to-understand dashboard: Users can access information about their business activities, like monthly sales and top-selling Amazon orders, through an easy-to-read graph. They can filter and drill them down based on the date range, product category, or individual stock-keeping units.
    • Seamlessly links with your bank: Your bank account balance will be in-sync with QuickBooks's records affected by your day-to-day business operations. As a result, you'll have an easier time reconciling your business's bank account balance. 
    • Manages your inventory: You can sync inventory replenishment and completed sales to your QuickBooks account. Get an accurate inventory valuation, positively affecting your income statement (COGS) and balance sheet (inventory account) reports.
    • Automates your transactions: The integration saves you time and ensures that everything in the books is accurate with automation. Important documents like income declarations and tax payments will also be accurate, saving you from penalties.
    • Calculates your sales and income taxes: You can view your sales tax obligation in each state with one click. Because it’s automated, it takes the hassle out of tax time. All you need is to put your product information and let the software do the rest.
    • Provides comprehensive reports: With all the data in one place, you can run different reports using a single software. You can also customize reports to see your company’s key performance indicators. 
    • Stores and secures your data in the cloud: The integration also ensures data security by storing all the data in the cloud, protecting all confidential financial data from hacking and corruption.

    Do you know how to integrate Amazon with Quickbooks Online? How about your Amazon Seller account and QuickBooks Desktop? Let's help you set things up!  

    Amazon Seller App on Mobile

    QuickBooks-Amazon Seller Integration

    Currently, QuickBooks Online cannot be synced directly to your Amazon account. But you can do this through a third-party technology or an accounting and bookkeeping agency. 

    One of the ways to link your Amazon account and QuickBooks Online account is through Intuit’s own Amazon Marketplace Connector.

    What You'll Need 

    Procedure

    Step 1: Connect. 

    To start, go to Apps. Then, search Amazon Marketplace Connector by Intuit, click Get App Now, and follow the instructions. You'll then be directed to the log-in page of QuickBooks.

    Step 2: Configure. 

    You'll need to set up the following Synchronization Options: 

    • Account Timezone
    • Integrations Starting Date 
    • Email Sync Report Options 

    Step 3: Organize Your Workflow.

    Now, you can begin selecting and deselecting the details you want to be part of your workflow. QuickBooks offers several useful workflow options.

    • Invoice Creation Workflow: To manage your Amazon sales data as invoices on QuickBooks. 
    • Financial Event Workflow: To make deposits on QuickBooks Online and pay your employees automatically in the Amazon marketplace. 

    Step 4: Sync. 

    Your QuickBooks account is ready to sync once you have mixed and matched your workflow options. First, choose between auto-sync (which syncs your account every hour) and manual sync, and then on your Synchronization Options, click Sync Now

    FAQs 

    Is Amazon Marketplace Connector by Intuit free? 

    • Yes, and it has unlimited users. 

    Will my data be safe and secure? 

    • Yes, your data will be safe and sound.

    Is there customer support available? 

    • Yes, a dedicated team will help you set up or deal with any issues you may have. 

    QuickBooks-Amazon Business Integration 

    Fortunately, Amazon Business account owners have the Amazon Business Purchases app, which makes the integration process even easier for their QuickBooks Online account. 

    What You'll Need 

    • Active QuickBooks Online account 
    • Log-in credentials as the master administrator
    • An existing account for Amazon Business

    Procedure

    Step 1: Connect. 

    Go to Apps; this time, search for the Amazon Business Purchases app and download it.

    Step 2: Sync. 

    Next, choose how far back you want QuickBooks to go when it downloads transactions from Amazon: a week, a month, a year, or two years. Whatever you choose, you still control which downloaded transactions will be added to your books and shown on your reports. 

    Once you have decided, select Agree. A pop-up tab will appear, and you must enter your Amazon Business account credentials. Boom—done! 

    Step 3: Configure. 

    Your new Amazon Business purchases will appear on QuickBooks automatically. However, you must confirm them before they appear in your books.

    Purchases on Amazon appear in QuickBooks, the same as your connected bank and credit card accounts. 

    Transactions listed under the For Review tab are up for approval. They won't appear on your reports or financial statements until you confirm them. Once you've confirmed a purchase from Amazon, you'll find it in the Review tab. It will stay there unless you undo your approval and make a change. 

    If you download something you don't want to add to your QuickBooks, you can exclude it. 

    Step 4: Manage Your Purchases. 

    The Source or Payee column displays the bank or credit card account used when you make a purchase. 

    Since you can use multiple bank accounts for these purchases, it is important to confirm what you see here to the bank accounts in your QuickBooks.  

    If you need to manage your bank or credit card accounts on QuickBooks, select the Account drop-down menu of each account. Don't forget to save afterward.

    Select one under the For Review tab to take a closer look at a purchase transaction. With this, you'll see the products you purchased and an Amazon order link. 

    For each product purchased, select a category that best describes the product you bought. Once done, click Add. That transaction will automatically go to the Reviewed tab. If you want to see the transaction details again, just select them. 

    If you also download from your bank or credit card records, you'll also download the purchases from them. Make sure to match them at the For Review tab after you've added them from Amazon Business Purchases. Why? 

    FAQs 

    Is the Amazon Business Purchases App free? 

    • Yes, unless you are using an Amazon Business Prime account. 

    Can you use your personal Amazon.com account with QuickBooks? 

    • Unfortunately, you can't connect your QuickBooks Online with your personal Amazon account. It only works with Amazon Business accounts. 

    Can you use Amazon Business to connect to your client's account through your QuickBooks Online account? 

    • You can't. Amazon and QuickBooks only allow the same administrator of both accounts to connect for the safety and security of your books and reports. 
    QuickBooks Desktop Pro, Mac, Premier Software

    QuickBooks Desktop Amazon Integration

    Like the Amazon Seller Central-QBO integration, QuickBooks Desktop doesn't directly integrate with Amazon. For now, third-party apps in the market offer this integration for QuickBooks Desktop Pro, Premier, and Enterprise, such as:

    • A2X — Best-received Amazon ecommerce accounting app that uses Google's cloud platform; you can make up to 10,000 transactions per month 
    • Connex — Powered by Intuit and the priciest one with 24,000 transactions annually if you get the Gold subscription
    • Synder — Most reasonably priced among the three; its third-tier plan offers multi-channel businesses 1,000 plus transactions per month 

    Note that these three are paid apps. A2X and Synder offer a week's worth of free trial, but Connex doesn't.

    Despite using a third-party app and spending excess expenses, connecting QuickBooks Desktop and Amazon is easier than you might think. Just go through the configuration wizard, select Amazon (or any platform you prefer), and click Connect. Easy! 

    E-Commerce Integration with Webgility

    Intuit has decided to make life easier for Amazon sellers with the recent release of QuickBooks Desktop 2022. 

    The product’s new features include its swift and seamless e-commerce integration with Webgility, enabling users to track their transactions on Amazon, Shopify, and other e-commerce platforms easily and streamline other business processes.

    Step 1: Sign up.

    Simply register and purchase a package in Webgility to get started.

    Step 2: Initiate.

    In your QuickBooks Desktop interface, head to Company and click My Company. You will see an option to Get E-commerce Integration. Click this option.

    Step 3: Connect.

    Select and activate your preferred Webgility package. With your QuickBooks Desktop 2022 account signed in, your QuickBooks account will promptly link with Webgility.

    Get Financial Advice from Unloop's Experts 

    QuickBooks Amazon integration saves up time on manual data entry and eliminates switching between QuickBooks and Amazon over and over. Time is money, as we say. 

    Moreover, it gives you an overview of how your business is doing. Integrating your Amazon to QuickBooks Online or Desktop is a great financial decision if you have a growing Amazon business and increasing business partners. The QuickBooks Desktop version may have some drawbacks in terms of pricing, but it's worth the money for hassle-free bookkeeping!

    If you're unsure about this hip and new integration by Intuit and Amazon, you can always contact Unloop's financial experts for all your accounting needs. We're here to offer our insights and our high-quality ecommerce accounting service. Call us at 877-421-7270, and talk about the future of your Amazon business with us today.

    QuickBooks-Amazon Integration: Next-Level Connections for Your Business
    Watch Now

    Disclaimer: Please note this article is not financial advice. The purpose of our blog is purely educational, so please consult a professional accountant or financial advisor before making any financial decision.

    Nearly every business owner knows QuickBooks. Only three years ago, Intuit announced QuickBooks Amazon integration for small businesses to enjoy seamless payment processing and reconciliation on Amazon Business. The productivity rate has exponentially increased since this launch. 

    Still haven't connected your Amazon Business and QuickBooks Online accounts? We’ll show you how an Amazon-QuickBooks integration can help you achieve new levels of accounting efficiency and success. 

    Upsides of QuickBooks Amazon Integration  

    Two is better than one, they say. So imagine the capabilities of the most powerful online market platform and the most comprehensive accounting software combined. The possibilities are endless. 

    QuickBooks organizes your bank accounts' order and purchase transactions into categories and links. Thus, having Amazon-QuickBooks integration is a great way to save time and keep track of your books to revisit wherever and whenever you need them. 

    In addition, accounting automation and reconciliation have never been easier. You can easily locate a transaction and get a complete breakdown. 

    Imagine your business flow if you had this kind of integration. 

    • Has an easy-to-understand dashboard: Users can access information about their business activities, like monthly sales and top-selling Amazon orders, through an easy-to-read graph. They can filter and drill them down based on the date range, product category, or individual stock-keeping units.
    • Seamlessly links with your bank: Your bank account balance will be in-sync with QuickBooks's records affected by your day-to-day business operations. As a result, you'll have an easier time reconciling your business's bank account balance. 
    • Manages your inventory: You can sync inventory replenishment and completed sales to your QuickBooks account. Get an accurate inventory valuation, positively affecting your income statement (COGS) and balance sheet (inventory account) reports.
    • Automates your transactions: The integration saves you time and ensures that everything in the books is accurate with automation. Important documents like income declarations and tax payments will also be accurate, saving you from penalties.
    • Calculates your sales and income taxes: You can view your sales tax obligation in each state with one click. Because it’s automated, it takes the hassle out of tax time. All you need is to put your product information and let the software do the rest.
    • Provides comprehensive reports: With all the data in one place, you can run different reports using a single software. You can also customize reports to see your company’s key performance indicators. 
    • Stores and secures your data in the cloud: The integration also ensures data security by storing all the data in the cloud, protecting all confidential financial data from hacking and corruption.

    Do you know how to integrate Amazon with Quickbooks Online? How about your Amazon Seller account and QuickBooks Desktop? Let's help you set things up!  

    Amazon Seller App on Mobile

    QuickBooks-Amazon Seller Integration

    Currently, QuickBooks Online cannot be synced directly to your Amazon account. But you can do this through a third-party technology or an accounting and bookkeeping agency. 

    One of the ways to link your Amazon account and QuickBooks Online account is through Intuit’s own Amazon Marketplace Connector.

    What You'll Need 

    Procedure

    Step 1: Connect. 

    To start, go to Apps. Then, search Amazon Marketplace Connector by Intuit, click Get App Now, and follow the instructions. You'll then be directed to the log-in page of QuickBooks.

    Step 2: Configure. 

    You'll need to set up the following Synchronization Options: 

    • Account Timezone
    • Integrations Starting Date 
    • Email Sync Report Options 

    Step 3: Organize Your Workflow.

    Now, you can begin selecting and deselecting the details you want to be part of your workflow. QuickBooks offers several useful workflow options.

    • Invoice Creation Workflow: To manage your Amazon sales data as invoices on QuickBooks. 
    • Financial Event Workflow: To make deposits on QuickBooks Online and pay your employees automatically in the Amazon marketplace. 

    Step 4: Sync. 

    Your QuickBooks account is ready to sync once you have mixed and matched your workflow options. First, choose between auto-sync (which syncs your account every hour) and manual sync, and then on your Synchronization Options, click Sync Now

    FAQs 

    Is Amazon Marketplace Connector by Intuit free? 

    • Yes, and it has unlimited users. 

    Will my data be safe and secure? 

    • Yes, your data will be safe and sound.

    Is there customer support available? 

    • Yes, a dedicated team will help you set up or deal with any issues you may have. 

    QuickBooks-Amazon Business Integration 

    Fortunately, Amazon Business account owners have the Amazon Business Purchases app, which makes the integration process even easier for their QuickBooks Online account. 

    What You'll Need 

    • Active QuickBooks Online account 
    • Log-in credentials as the master administrator
    • An existing account for Amazon Business

    Procedure

    Step 1: Connect. 

    Go to Apps; this time, search for the Amazon Business Purchases app and download it.

    Step 2: Sync. 

    Next, choose how far back you want QuickBooks to go when it downloads transactions from Amazon: a week, a month, a year, or two years. Whatever you choose, you still control which downloaded transactions will be added to your books and shown on your reports. 

    Once you have decided, select Agree. A pop-up tab will appear, and you must enter your Amazon Business account credentials. Boom—done! 

    Step 3: Configure. 

    Your new Amazon Business purchases will appear on QuickBooks automatically. However, you must confirm them before they appear in your books.

    Purchases on Amazon appear in QuickBooks, the same as your connected bank and credit card accounts. 

    Transactions listed under the For Review tab are up for approval. They won't appear on your reports or financial statements until you confirm them. Once you've confirmed a purchase from Amazon, you'll find it in the Review tab. It will stay there unless you undo your approval and make a change. 

    If you download something you don't want to add to your QuickBooks, you can exclude it. 

    Step 4: Manage Your Purchases. 

    The Source or Payee column displays the bank or credit card account used when you make a purchase. 

    Since you can use multiple bank accounts for these purchases, it is important to confirm what you see here to the bank accounts in your QuickBooks.  

    If you need to manage your bank or credit card accounts on QuickBooks, select the Account drop-down menu of each account. Don't forget to save afterward.

    Select one under the For Review tab to take a closer look at a purchase transaction. With this, you'll see the products you purchased and an Amazon order link. 

    For each product purchased, select a category that best describes the product you bought. Once done, click Add. That transaction will automatically go to the Reviewed tab. If you want to see the transaction details again, just select them. 

    If you also download from your bank or credit card records, you'll also download the purchases from them. Make sure to match them at the For Review tab after you've added them from Amazon Business Purchases. Why? 

    FAQs 

    Is the Amazon Business Purchases App free? 

    • Yes, unless you are using an Amazon Business Prime account. 

    Can you use your personal Amazon.com account with QuickBooks? 

    • Unfortunately, you can't connect your QuickBooks Online with your personal Amazon account. It only works with Amazon Business accounts. 

    Can you use Amazon Business to connect to your client's account through your QuickBooks Online account? 

    • You can't. Amazon and QuickBooks only allow the same administrator of both accounts to connect for the safety and security of your books and reports. 
    QuickBooks Desktop Pro, Mac, Premier Software

    QuickBooks Desktop Amazon Integration

    Like the Amazon Seller Central-QBO integration, QuickBooks Desktop doesn't directly integrate with Amazon. For now, third-party apps in the market offer this integration for QuickBooks Desktop Pro, Premier, and Enterprise, such as:

    • A2X — Best-received Amazon ecommerce accounting app that uses Google's cloud platform; you can make up to 10,000 transactions per month 
    • Connex — Powered by Intuit and the priciest one with 24,000 transactions annually if you get the Gold subscription
    • Synder — Most reasonably priced among the three; its third-tier plan offers multi-channel businesses 1,000 plus transactions per month 

    Note that these three are paid apps. A2X and Synder offer a week's worth of free trial, but Connex doesn't.

    Despite using a third-party app and spending excess expenses, connecting QuickBooks Desktop and Amazon is easier than you might think. Just go through the configuration wizard, select Amazon (or any platform you prefer), and click Connect. Easy! 

    E-Commerce Integration with Webgility

    Intuit has decided to make life easier for Amazon sellers with the recent release of QuickBooks Desktop 2022. 

    The product’s new features include its swift and seamless e-commerce integration with Webgility, enabling users to track their transactions on Amazon, Shopify, and other e-commerce platforms easily and streamline other business processes.

    Step 1: Sign up.

    Simply register and purchase a package in Webgility to get started.

    Step 2: Initiate.

    In your QuickBooks Desktop interface, head to Company and click My Company. You will see an option to Get E-commerce Integration. Click this option.

    Step 3: Connect.

    Select and activate your preferred Webgility package. With your QuickBooks Desktop 2022 account signed in, your QuickBooks account will promptly link with Webgility.

    Get Financial Advice from Unloop's Experts 

    QuickBooks Amazon integration saves up time on manual data entry and eliminates switching between QuickBooks and Amazon over and over. Time is money, as we say. 

    Moreover, it gives you an overview of how your business is doing. Integrating your Amazon to QuickBooks Online or Desktop is a great financial decision if you have a growing Amazon business and increasing business partners. The QuickBooks Desktop version may have some drawbacks in terms of pricing, but it's worth the money for hassle-free bookkeeping!

    If you're unsure about this hip and new integration by Intuit and Amazon, you can always contact Unloop's financial experts for all your accounting needs. We're here to offer our insights and our high-quality ecommerce accounting service. Call us at 877-421-7270, and talk about the future of your Amazon business with us today.

    Read more

    Stop guessing

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    +1 877 421 7270
    228 Park Ave S #82849
    New York, NY 10003
    United States
    7676 Woodbine Ave #2
    Markham, ON L3R 2N2
    Canada
    228 Park Ave S #82849
    New York, NY 10003
    United States
    7676 Woodbine Ave #2
    Markham, ON L3R 2N2
    Canada
    About unloop

    Unloop is the first and only accounting firm exclusively servicing ecommerce and inventory businesses in the US and Canada. With the power of people and technology, our team dives deep into COGS and inventory accounting.. You are paired with a dedicated bookkeeping team that prepares accurate financial statements, financial forecasts, and can also pay bills or run payroll for you. Come tax time, everything is organized and ready to go, so you don't need to worry. Book a call with an ecommerce accountant today to learn more.

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