Overview
ProductRatingMost Used ByProduct SummaryStarting Price
Avalara
Score 8.2 out of 10
N/A
Avalara AvaTax connects to the software that businesses already have and delivers sales tax decisions based on precise geo-location in more than 12,000 taxing jurisdictions in the U.S.N/A
TaxJar
Score 8.1 out of 10
N/A
TaxJar offers automated sales tax reporting and filing. According to the vendor, capabilities include: Accurate, Detailed Sales Tax Reports: TaxJar’s local jurisdiction reports show sales and sales tax collected not only for each state, but for local jurisdiction (counties, cities, special jurisdictions, etc). Users can also sort data by any date range. Estimated Sales Tax Reports: Users can see a comparison of what they actually collected versus what…
$19
for up to 200 orders/month
Pricing
AvalaraTaxJar
Editions & Modules
No answers on this topic
Starter
$19
for up to 200 orders/month
Professional
$99
for up to 200 orders/month
Premium
Custom
Offerings
Pricing Offerings
AvalaraTaxJar
Free Trial
NoYes
Free/Freemium Version
NoNo
Premium Consulting/Integration Services
YesNo
Entry-level Setup FeeOptionalOptional
Additional Details30 day free trial. No obligation, no activation fees. Upgrade, downgrade or cancel anytime. Pricing based on order volume. Transactions are equal to -Orders imported into TaxJar with one or more line items -SmartCalcs API pushed sales tax calculation If you go over your transaction limit during a single month, we will charge you the difference between the plan you’re on and the next highest plan. The next month you’ll start back on the original plan that you subscribed to, and the process will repeat itself again. This is all done automatically. Your plan will never be interrupted and you will not have to speak with a salesperson.
More Pricing Information
Community Pulse
AvalaraTaxJar
Considered Both Products
Avalara
Chose Avalara
TaxJar seems does not seem to be as broad in their service offerings yet.
Chose Avalara
I am not a fan of Vertex. I prefer Avalara much more. TaxJar is great for small e-commerce businesses or e-commerce businesses with simple transactions that require little to no tax decision making. Avalara is great for medium or larger enterprises, and I would always recommend …
Chose Avalara
For our Amazon store, we used TaxJar, but they didn't seem to be able to keep up with the demand to add states.
Chose Avalara
Once we found that there was a connector between Avalara and our accounting ordering software, TaxJar was dismissed. The connectivity was a huge deciding factor.
Chose Avalara
Avalara is a lot easier and more accurate compared to our previous sales tax plugins. The reporting and everything are much easier access and understand. Our website moves much more efficiently with Avalara than it ever did with TaxJar or TaxCloud. And we are able to use it on …
Chose Avalara
We briefly reviewed TaxJar, but went with Avalara when we did our evaluation. Avalara Provided everything that we needed.
Chose Avalara
Avalara is much more comprehensive than TaxJar. For some reason, TaxJar doesn't offer filing in specific locations which is very frustrating.
Chose Avalara
Avalara offers more in terms of liability reports and integrating with our ERP system
Chose Avalara
Weak or non-existent integration.
Chose Avalara
Avalara was more intuitive and integrated with our existing ERP.
Chose Avalara
I was not involved in the decision making process for Avalara.
Chose Avalara
We looked at others, however with our older ERP system we already new that Avalara was what we needed.
Chose Avalara
We believe that Avalara better supports franchise model.
TaxJar
Chose TaxJar
I believe TaxJar is better suited to smaller, especially Home-Based businesses with its good customer service focus and more reasonable pricing for small biz. Avalara, as far as I know, is not priced competitively for micro-sized businesses. TaxJar began in the small business …
Chose TaxJar
TaxJar is SO much cheaper than Avalara and SO much easier to use. Not even close - TaxJar is better. The only reason I would choose Avalara is if it had better native integrations with whatever software stack my business ran on. For our business, TaxJar made so much more …
Chose TaxJar
I looked at Avalara in the beginning and the price point was way too high. I have been with TaxJar since shortly after they started and they are a great company. Watching them grow has been great. Just need to accommodate the accountant a little better.
Chose TaxJar
TaxJar was a better price than Avalara, mostly because it was a streamlined version of Avalara. TaxJar offers a no-frills software that does exactly what you need it to do, calculate and collect sales tax. If you need something more robust then I would look elsewhere, …
Chose TaxJar
At the time we made the switch, Avalara did not appear to do what we needed. They did not try to stop us from leaving or seem to care why we were leaving. About a year later I did reach out to Avalara after a mailer we got from them. They did clear up that they could do what …
Chose TaxJar
I thought taxjar had a much easier intergration and UI
Chose TaxJar
TaxJar is less expensive, simpler to integrate and their billing is straightforward so that you don't have to worry about huge surprises at the end of a month or quarter. They spend a lot less time on sales/marketing but their support is excellent and overall we have had a …
Top Pros
Top Cons
TrustRadius Insights
AvalaraTaxJar
Highlights

TrustRadius
Research Team Insight
Published

Avalara and TaxJar are popular tax compliance software products. Using these tools, businesses can automate tax compliance while also ensuring taxes are filed correctly and on time.

Avalara is often used by medium to large businesses to handle tax filing and reporting. These businesses appreciate Avalara’s flexible pricing that allows organizations to pay for the number of transactions and features they need. Businesses with many other technologies can also make good use of Avalara’s many integrations.

TaxJar is more popular with smaller businesses that utilize TaxJar’s simple API and interface. These companies benefit from TaxJar’s strong automation tools with popular ecommerce products like Shopify and Amazon. Using TaxJar makes it easy for non-technical staff to set up and manage tax compliance.

Features

Avalara and TaxJar both offer all the expected features of tax compliance software, but they also have a few features that set them apart.

Avalara has many integrations that allow it to seamlessly fit into almost any business without interrupting the existing software infrastructure. Avalara also offers flexible pricing options, so businesses can purchase the plan that matches the number of transactions they make. This makes Avalara an affordable choice for businesses that make a small number of transactions but still want to automate tax compliance.

TaxJar has fewer integrations compared to Avalara, but the integrations that exist contain powerful automation tools. Businesses using popular ecommerce products like Shopify can export data directly to TaxJar without downloading any CSV files. This makes TaxJar usable for businesses without in house technical staff.

Limitations

Though Avalara and TaxJar provide strong features for tax compliance software, each one also has some limitations that are important to consider.

Avalara requires users to manually import tax data in CSV files, which may need reformatting depending on the integration. This can be a problem for companies that are looking for closer to total automation of tax compliance. Many users have reported slow customer support response time from Avalara as well.

TaxJar requires the manual input of tax rates for most countries outside of the United States and the European Union. This can be a major downside to companies that engage in international business. TaxJar only provides email support at the basic pricing, and many users have reported that customer support at the basic price point can be slow or otherwise not useful.

Pricing

Avalara offers three pricing tiers for small businesses, differentiated primarily by the number of yearly transactions they cover. $50 per year covers 250 transactions, $95 per year covers 500 transactions, and $200 per year covers 1500 transactions. Avalara also offers plans for large businesses, but these are priced individually depending on the business in question.

TaxJar offers 2 pricing tiers. The basic pricing tier costs $17.00 per month and includes basic tax compliance features and email support. TaxJar Plus is priced depending on the business and includes extensive support features, advanced integrations, and user management features. TaxJar also provides a 30 day free trial for users who want to try the software before purchasing.

Features
AvalaraTaxJar
Type of tax
Comparison of Type of tax features of Product A and Product B
Avalara
7.9
338 Ratings
1% above category average
TaxJar
9.3
6 Ratings
17% above category average
Sales and Use Taxes8.8331 Ratings9.76 Ratings
Cross-border Taxes7.671 Ratings9.01 Ratings
VAT / GST Taxes7.160 Ratings00 Ratings
Energy and Fuel Taxes8.126 Ratings00 Ratings
Tax Reporting & Compliance
Comparison of Tax Reporting & Compliance features of Product A and Product B
Avalara
8.2
316 Ratings
5% above category average
TaxJar
9.6
6 Ratings
21% above category average
Geolocation for Tax Assessment8.5190 Ratings10.03 Ratings
3rd-Party Software Integrations8.0253 Ratings8.76 Ratings
Tax Data Reporting8.3282 Ratings9.85 Ratings
Compliance Administration Management8.5215 Ratings9.54 Ratings
Tax Exemption Processing8.4229 Ratings10.02 Ratings
Tax Document Management8.1219 Ratings9.54 Ratings
Complex Tax Scenario Management7.5150 Ratings10.01 Ratings
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AvalaraTaxJar
Small Businesses
TaxJar
TaxJar
Score 8.1 out of 10
Intuit Lacerte
Intuit Lacerte
Score 9.0 out of 10
Medium-sized Companies
LOVAT
LOVAT
Score 10.0 out of 10
LOVAT
LOVAT
Score 10.0 out of 10
Enterprises
ADP SmartCompliance
ADP SmartCompliance
Score 8.3 out of 10
ADP SmartCompliance
ADP SmartCompliance
Score 8.3 out of 10
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User Ratings
AvalaraTaxJar
Likelihood to Recommend
8.1
(450 ratings)
9.3
(13 ratings)
Likelihood to Renew
9.9
(30 ratings)
-
(0 ratings)
Usability
8.2
(442 ratings)
-
(0 ratings)
Availability
8.0
(9 ratings)
-
(0 ratings)
Performance
8.0
(9 ratings)
-
(0 ratings)
Support Rating
5.5
(21 ratings)
7.5
(2 ratings)
In-Person Training
8.0
(2 ratings)
-
(0 ratings)
Online Training
9.0
(4 ratings)
-
(0 ratings)
Implementation Rating
10.0
(198 ratings)
-
(0 ratings)
Configurability
9.0
(6 ratings)
-
(0 ratings)
Ease of integration
9.0
(12 ratings)
-
(0 ratings)
Product Scalability
10.0
(8 ratings)
-
(0 ratings)
Vendor post-sale
5.0
(9 ratings)
-
(0 ratings)
Vendor pre-sale
8.0
(9 ratings)
-
(0 ratings)
User Testimonials
AvalaraTaxJar
Likelihood to Recommend
Avalara
Avalara is well suited for us because it makes it easier for us to navigate sales tax and filing state sales tax returns for multiple states. I appreciate how simple they made this process for us, helps save us a great amount of time and allows us to focus on the business. Less appropriate, is that most of our customers are sales exempt and it can be a bit challenging at times with AvaTax overriding our tax calculation within NetSuite. Overall, that issue has been less and less, so we are moving in the right direction.
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Stripe
If you aren't a tax professional, this is a must. Trying to manually calculate which county/city/state sales tax is owed will break your brain. Actually, even if you were a tax professional, why would you want to manually do it when you could just have a tool like this to calculate it for you. I wish it was also affordable to have it file for you and there are some crunchy bits, but its pros definitely outweigh the cons.
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Pros
Avalara
  • Sales tax rates at a "roof top" level
  • Has extensive research and documentation on telecommunications industry
  • Research is always up to date
  • The ability to ask questions and get clarification on specific situations with no limit as to how you ask a question and often get the answer the same day
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Stripe
  • The CSV upload for clients that do not have or want to connect directly is very good. It allows us to get a lot of the information done quickly.
  • The cost is very competitive.
  • According to our clients, the integration is relatively easy.
  • For the most part, the reports are accurate.
Read full review
Cons
Avalara
  • Avalara needs to be able to provide tax and legal advice, so we don't have to go to an outside source.
  • Some states we file in have more than just sales tax on the return. For example, Washington has B&O tax, tire tax, sales and use tax. It would help a lot if Avalara could report all of these taxes, so we don't have to file manually.
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Stripe
  • Continually increase its native integration features with BigCommerce, which recently just opened up more Checkout APIs and Sales Tax APIs.
  • The Amazon integration is confusing only because Amazon (sometimes?) calculates and collects sales tax on your behalf. It's not clear what's best-- to let Amazon do it for you or for TaxJar to handle it.
  • Onboarding could be a bit easier and guided.
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Likelihood to Renew
Avalara
We need their help with filing and keeping track of things. It is very likely we are in the process of renewing right now. Autumn is our case manager and she has been a great help in keeping us updated on our usage and renewal. I feel we will be using this for a very long time.
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Stripe
No answers on this topic
Usability
Avalara
I only say this because we had no real training on the system at all. We requested it multiple times, and no one could give us that. We had to figure a lot out for ourselves, got a rep change and finally got someone to help us navigate a bit better. Please make sure any onboarding clients get proper training and resources before going live.
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Stripe
No answers on this topic
Reliability and Availability
Avalara
I have been using Avalara for years and do not remember ever having an outage during working hours. The service is accurate and dependable.
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Stripe
No answers on this topic
Performance
Avalara
We do have trouble tying Avalara's reporting back to our POS, but we just got a new POS system and there are bugs we are still trying to work out within the POS system. I do not believe this is an Avalara issue
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Stripe
No answers on this topic
Support Rating
Avalara
In my experience, numerous questions, and particularly those regarding billing issues are just ignored, and it is impossible to get to someone to discuss. Your account manager will tell you they are taking care of it and then it just goes into a black hole.
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Stripe
We had a few questions about integrations & onboarding, and support answered quickly and in-depth. They understood our questions - which were a bit technical in nature - and were able to provide an explanation in a timely and specific manner that allowed us to get the system up and running quickly.
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In-Person Training
Avalara
I wasn't here when they first started with Avalara.
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Stripe
No answers on this topic
Online Training
Avalara
The documentation online we informative and helpful. The videos from the Avalara institute and the help tab if we have any questions and the search too were helpful. We like the ease of using the click here for more information tool about nexus and the information for the ECM Pro training were helpful. Whenever we have a question we normally get an email along with the tool as to where to find our answer. We also like that it shows information about nexus status of the states we maybe approaching and we can look more into it.
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Stripe
No answers on this topic
Implementation Rating
Avalara
The implementation team from Avalara was very knowledgable and did a good job of passing along information so that we could maintain the system and be able to make future changes ourselves. We had asked for some custom tax setup and they worked with us to get additional taxes set up that they didn't previously have. They worked with us to pull our documentation on tax rules and make sure those were included. I had hoped more scenarios would be there out of the box to cut down on the configuration time.
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Stripe
No answers on this topic
Alternatives Considered
Avalara
We selected Avalara because our prior service did not have the range of tax codes required for our products. They had nothing related to medical devices or supplies, so we used a generic 'taxable' tax code. Customers were unhappy because some states exempted the product we sold, even if the customer was not tax-exempt. It caused many issues, including credit memos to refund sales tax charges.
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Stripe
TaxJar is less expensive, simpler to integrate and their billing is straightforward so that you don't have to worry about huge surprises at the end of a month or quarter. They spend a lot less time on sales/marketing but their support is excellent and overall we have had a much better experience with TaxJar.
Read full review
Scalability
Avalara
There is no change that has to happen as your company grows, Avalara continues to do it's job for any size company
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Stripe
No answers on this topic
Return on Investment
Avalara
  • With Wayfair, our tax obligation increased 300% and still growing. Avalara was an extremely valuable resource in helping us manage those requirements.
  • Avalara has allowed us to maintain staff levels without increasing our overhead for any new associates to focus on those tax issues.
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Stripe
  • With regards to ROI, it definitely saves time. And time, as they say, is money. It may be hard to put a particular dollar sign on this, but it definitely has provided a positive return.
  • It keeps me aware of where I have sales tax nexus that I might not know about otherwise. This is important. Even if I have to check it manually, at least I am made aware of where I need to file.
  • It allows me to track how much in sales tax we've paid year over year, which is a good indication of how our sales are doing.
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ScreenShots

Avalara Screenshots

Screenshot of Screenshot of Screenshot of Screenshot of Screenshot of

TaxJar Screenshots

Screenshot of TaxJar Reports dashboard showing you the states in which you have nexus, how much sales tax was collected, and your gross sales summary.Screenshot of TaxJar state report showing breakdown of sales tax by city, county, and local jurisdiction for easy sales tax filing.