Avalara
Corporate tax software
Sales tax and VAT compliance software
Cross border e-commerce software
Accounting & finance software
- Features
- Ease of use
- Ease of management
- Quality of support
- Affordability
- Market presence
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Pay-as-you-go
Free Trial unavailableFree version unavailable
Small
Medium
Large
- Information technology and software
- Media and communications
- Retail and wholesale
What is Avalara
Avalara is a tax compliance platform focused on automating indirect tax calculation, returns filing, and related compliance workflows for businesses that sell across multiple jurisdictions. It is commonly used by finance, tax, and e-commerce operations teams to determine sales tax/VAT on transactions, manage exemption certificates, and prepare and file periodic returns. The product is typically deployed via integrations with ERP, accounting, and e-commerce systems and supports cross-border and multi-region tax rules through a centralized rules and reporting layer.
Broad indirect tax coverage
Avalara supports sales tax and VAT use cases across many jurisdictions and transaction types, which helps organizations operating in multiple states or countries standardize compliance processes. It provides tools for tax determination, returns preparation, and exemption certificate handling within the same ecosystem. This breadth is particularly relevant for businesses with complex nexus/registration footprints and frequent rate or rule changes.
Integration-first deployment model
Avalara is commonly implemented through prebuilt connectors and APIs to accounting, ERP, and e-commerce platforms, enabling tax calculation at the point of transaction. This reduces manual tax rate maintenance inside each source system and centralizes tax logic. The approach fits organizations that need consistent tax treatment across multiple sales channels and billing systems.
Compliance workflow automation
The platform includes workflow-oriented capabilities such as exemption certificate collection/management and returns filing support, which can reduce reliance on spreadsheets and ad hoc processes. Centralized reporting and audit-oriented records can help teams respond to tax authority inquiries with more consistent documentation. These capabilities align with indirect tax compliance needs more than income tax preparation.
Complexity for smaller businesses
Organizations with limited transaction volume or single-jurisdiction exposure may find the implementation and ongoing administration heavier than simpler tax tools. Configuration, mapping, and exception handling can require tax and systems expertise to maintain accuracy. For small teams, the operational overhead can outweigh the benefits of automation.
Ongoing cost and usage sensitivity
Total cost can increase with transaction volume, number of integrations, jurisdictions, and enabled modules (for example, filing and certificate management). This can make budgeting less predictable for fast-growing e-commerce businesses or companies expanding into new regions. Buyers often need to validate pricing assumptions against expected growth and channel mix.
Not a full corporate income tax suite
While Avalara addresses indirect tax compliance, it is not primarily designed as an end-to-end corporate income tax provision and return preparation system. Companies with significant corporate tax requirements may still need separate tools and processes for income tax, transfer pricing, or statutory reporting. This can lead to a multi-vendor tax stack and additional integration work.
Plan & Pricing
Tiered / Fixed-price services (selected items)
| Plan / Service | Price | Key features & notes |
|---|---|---|
| Avalara License Guidance | "as low as $119" | One-off guidance to find/understand required business licenses (pricing page lists “as low as $119”). |
| Sales tax registration | $403 per location | One-time registration service to register your business for sales tax (pricing page lists $403 per location). |
| Sales Tax Risk Assessment (Premium) | $9,800 (Premium) | Risk-assessment service — Avalara also offers a Free Risk Assessment and a Standard option (see notes). |
Usage-based / Pay-as-you-go products (selected)
Pricing model: Pay-as-you-go Avalara 1099 & W-9 (Track1099) – IRS e‑filing tiered per-form pricing:
- First 15 forms (1–15): $3.10 per form
- Next 150 forms (16–165): $2.30 per form
- Next 335 forms (166–500): $1.30 per form
- Forms 501 and above: $0.63 per form State e-filing: $1.49 per form (any volume) Recipient postal mail (Jan–Apr): $1.84 per mailing (other postal tiers noted).
MyLodgeTax / Property Manager (Avalara MyLodgeTax) – pay-as-you-go / per-return + subscription fees:
- Filing & remittance fee: $15 per return (for 6+ properties)
- Monthly subscription: $2/property for 1st 50 properties; $1/property for 50+ properties
- One-time set-up fee: $50 per property
Other notes
- Many core Avalara products (AvaTax, Returns, Exemption Certificate Management, VAT Returns & Reporting, Cross-border solutions) use volume-based or customized pricing that scales with transaction volume, jurisdictions, integrations, and product mix; Avalara asks customers to contact sales for tailored quotes or demos.
Seller details
Avalara, Inc.
Durham, North Carolina, USA
2004
Private
https://www.avalara.com
https://x.com/Avalara
https://www.linkedin.com/company/avalara/
