E-commerce accountants are incredibly important for the success of your online business. Keeping track of a business’s accounting is always a challenge, and with e-commerce, there is also the challenge of working with a digital platform and processing a large amount of transaction data. That’s why it’s wise for online entrepreneurs to hire a good e-commerce accountant.
But what exactly does an e-commerce accountant do? In this article, we explain what they do and how it helps you as an online entrepreneur. We also tell you about the best accounting tool for online entrepreneurs and accountants!
What does an e-commerce accountant do?
E-commerce accountants are responsible for preparing the annual accounts, maintaining the financial administration and advising on tax matters. However, unlike traditional accountants, e-commerce accountants must also be up to date with the latest technology and specific challenges of working in a digital business environment. For example, in 2021, we encountered the One Stop Shop scheme: this scheme changed the accounting for many (online) entrepreneurs.
It is also important to remember that an e-commerce accountant is not only involved in keeping track of finances, but also in giving advice to entrepreneurs. A good accountant, for example, helps determine the right prices, manage costs, and make investment decisions.
E-commerce accountants & VAT
E-commerce accountants have extensive knowledge of VAT legislation, which is important for maintaining the financial administration of an online business. For example, they can advise entrepreneurs on the right VAT rates for products and how they should be processed in the administration. In addition, they are familiar with the specific rules for VAT in e-commerce, such as the rules for VAT transfer schemes and the VAT exemptions for small businesses. A good e-commerce accountant ensures that the VAT returns are submitted on time and correctly, so that entrepreneurs do not receive fines or other fiscal problems.
An important aspect of an e-commerce accountant’s work is automating financial processes. This saves time and reduces the risk of errors. In addition, e-commerce accountants can gain real-time insight into the financial situation of the company using the right software, which makes important decisions easier.
Accounting & Staxxer
An example of such software is Staxcloud. This software gives entrepreneurs and accountants real-time overview of all VAT flows, and tells you when and where you need to pay VAT. Entrepreneurs can also manage their own VAT affairs through the software.
But for accountants, it is also an important and useful tool to have insight into the financial situation of businesses. Because the overview is real-time, the software also serves as a control tool for accountants. Through the software, you can even request VAT registrations and outsource European VAT declarations (including your One Stop Shop declaration). This makes the work of an e-commerce accountant much easier!
Are you an e-commerce accountant and want to try our software? Or are you an entrepreneur and want to know how we can help you? Then contact us.