Insights from Avalara Reviewers
Based on 10 verified reviews published in the last 18 months
What positive or negative impact (i.e. Return on Investment or ROI) has Avalara had on your overall business objectives?
8 answeredFor construction firms, Avalara delivers a clear return on investment primarily through significant administrative efficiencies and enhanced compliance, critical in an industry characterized by complex project-based operations and varied jurisdictional tax requirements. The most frequently cited benefit is the substantial time savings, noted by 6 of 9 reviewers, particularly around year-end tax processes like 1099 filing for numerous subcontractors. This automation frees up accounting personnel from manual calculations and extensive paperwork, allowing them to focus on core construction financial management. Beyond time, Avalara also contributes to cost savings by reducing the internal labor required for tax processing, as highlighted by two reviewers. Furthermore, the platform provides crucial accuracy and compliance assurances, which are paramount for construction businesses navigating diverse state and local sales and use tax regulations, ensuring they remain in good standing and avoid costly penalties.
Time Savings
6 mentionsFor construction firms managing numerous subcontractors and often operating across multiple jurisdictions, the administ…
For construction firms managing numerous subcontractors and often operating across multiple jurisdictions, the administrative burden of tax compliance, especially 1099 processing, is substantial. Avalara significantly reduces this workload, allowing accounting teams to reallocate time from manual calculations and filings to more strategic financial oversight. Six of nine construction reviewers specifically highlighted these time efficiencies, particularly during busy year-end periods.
“Saved time in filing multiple returns and manual calcualtions”
“Didn't have to spend weeks printing and mailing 1099's to our payees.”
“Was able to get 1099's out on time.”
Accuracy and Compliance
2 mentionsConstruction projects frequently involve materials, labor, and services subject to varying sales and use tax rules acro…
Construction projects frequently involve materials, labor, and services subject to varying sales and use tax rules across different states and localities, often triggering nexus concerns. Avalara provides construction businesses with confidence that their tax calculations are correct and that they are maintaining compliance across these diverse regulatory landscapes, mitigating the risk of costly audits and penalties. Two reviewers appreciated the peace of mind knowing their sales and use taxes were accurately managed.
“We can now easily work anywhere confident that our sales and use taxes are correct and we are in compliance regarding nexus.”
“Feel at ease that sales tax is being automated and is correct in each state”
Cost Savings
2 mentionsIn an industry where project margins are often tight, reducing operational overhead directly impacts profitability. Con…
In an industry where project margins are often tight, reducing operational overhead directly impacts profitability. Construction firms found that outsourcing or automating tax compliance with Avalara led to tangible cost reductions, primarily by minimizing the internal labor required for these complex tasks. Two reviewers explicitly noted that the service provided clear cost savings compared to traditional internal processing.
“Outsourcing our 1099 processing resulted in clear cost savings compared to handling it internally.”
“Money savings”
Describe how you use Avalara in your organization. What are the business problems the product addresses and what is the scope of your use case?
10 answeredFor construction firms, managing the annual 1099 filing process for a diverse network of subcontractors is a significant administrative burden, often complicated by evolving tax regulations. Avalara is primarily utilized by construction companies to streamline and simplify this critical compliance task. A substantial portion of reviewers, specifically 8 out of 10, highlight the product's effectiveness in managing 1099 forms, from W-9 collection to final filing and distribution to recipients. This capability is particularly valuable for design and construction businesses that frequently engage numerous independent contractors. Beyond core functionality, 4 out of 10 reviewers commend Avalara for its overall usability and efficiency, noting that the platform makes the entire process straightforward and reduces stress during peak tax seasons. The service is perceived as a reliable solution for ensuring accuracy and timeliness in subcontractor tax reporting, which is crucial for maintaining good standing with regulatory bodies and managing vendor relationships.
1099 Filing
4 mentions
“Our company uses several services Avalara uses, and we'd never go back to the days before Avalara! We use the sales tax, exemption certificate, and the 1099/W-9 programs.”
“My organization use Avalara Track 1099 to file our 1099's. We are a premier global real estate developer, owner, and operator.”
“I have worked with collection of W9's, filing of annual 1099's and having to file & send reports myself over the years. Avalara's 1099 module was super easy to use, highlights any errors, super easy to fix and create a corrected 1099 and they do all the filings for you.”
Ease of Use and Efficiency
2 mentions
“Everything was handled accurately, efficiently, and on time. The process was well-organized, communication was clear, and it removed a lot of stress during a busy filing season.”
“Avalara makes the whole 1099 process simple.”
Ease of Use
2 mentions
“Pricing to send 1099's are very competitive and any corrections are easily remedied.”
“UX and simple navigation can't be beat on Avalara.”
“Avalara made 1099 management simple, easy, and affordable.”
1099 form processing
2 mentions
“I just used Avalara to organize and distribute 1099 forms to subcontractors I use in my Design and Construction business.”
“To prepare numerous 1099s and occasional W-2s annually.”
1099 Filing Process
2 mentions
“We had a great experience with the 1099 processing service. Everything was handled accurately, efficiently, and on time.”
“Avalara makes the whole 1099 process simple. With the IRS rules and forms constantly changing, they make the whole process seamless for me.”
Please provide some detailed examples of areas where Avalara has room for improvement.
5 answeredConstruction firms evaluating Avalara should be aware of reported inconsistencies in customer support and concerns regarding transaction-based pricing models, which can significantly impact project cost management. While some reviewers noted improvements in customer service over time, initial experiences were marked by frequent account manager changes and a lack of direct phone support, which can be critical for time-sensitive tax inquiries in complex construction projects. Furthermore, the per-transaction pricing structure and separate billing for services raised concerns for 2 of 9 reviewers, suggesting that the cost model may not align well with the high volume and often granular nature of transactions inherent in construction operations, such as material procurement and subcontracting across various tax jurisdictions. These factors highlight potential areas where Avalara could better cater to the specific operational and financial needs of the construction industry.
Customer Service
2 mentionsFor construction businesses, responsive and consistent customer service is paramount due to the complex and often multi…
For construction businesses, responsive and consistent customer service is paramount due to the complex and often multi-jurisdictional nature of their projects, requiring timely tax guidance. Reviewers noted an initial inconsistency in account management and challenges in reaching phone support, cited by 2 of 9 reviewers, which can impede quick resolution of critical tax compliance issues. While some found email support sufficient, the lack of immediate phone assistance could pose difficulties for urgent tax questions related to project milestones or material purchases.
“Customer service number to try to reach someone over the phone would have been helpful. But email support was able to suffice.”
“Customer service was really uneven at first with Avatax. Our account manager seemed to change almost weekly. It is much better since Grant Meiburg has been working with us.”
Pricing and Cost
2 mentionsThe pricing structure of Avalara presents a notable concern for construction firms, as 2 of 9 reviewers highlighted the…
The pricing structure of Avalara presents a notable concern for construction firms, as 2 of 9 reviewers highlighted the high cost associated with each transaction and monthly return filings. Given the often high volume of material purchases, subcontractor payments, and diverse project locations, a per-transaction model can lead to unpredictable and potentially inflated costs for construction operations. Reviewers suggested a more consolidated pricing approach, indicating a preference for bundled services over individually charged components to better manage overall expenditure.
“Don't make each service have to be paid separately. Make is so you can pay each service that's offered together, and if you don't want that service, you'll have the option to remove it.”
“Price is high for each transaction and return filed monthly”
Please provide some detailed examples of things that Avalara does particularly well.
10 answeredFor construction firms navigating complex multi-state projects and extensive subcontractor networks, Avalara stands out for its ability to simplify critical tax and compliance workflows. Reviewers frequently highlight the platform's user-friendliness, with 5 out of 10 construction professionals noting its ease of use in managing often intricate financial reporting. This simplicity is particularly valued when preparing and correcting 1099 forms for the numerous independent contractors typical in the industry, a process positively cited by 20% of reviewers. Furthermore, Avalara's robust sales tax calculation capabilities are crucial for construction companies operating across diverse jurisdictions, with 2 of 10 reviewers appreciating its automation for multi-state sales and use tax, enabling interstate business without the burden of manual tracking. The system's retention of historical data also provides essential continuity for long-term project accounting and audit readiness.
Ease of Use
5 mentionsFor construction firms managing diverse projects and often decentralized teams, an intuitive platform for tax complianc…
For construction firms managing diverse projects and often decentralized teams, an intuitive platform for tax compliance significantly reduces administrative overhead. Reviewers appreciate Avalara's straightforward interface, which streamlines tasks like 1099 preparation and error correction, allowing accounting personnel to focus on core project financials rather than complex tax navigation.
“Easy to use site”
“user friendly”
“Ease of 1099 preparation”
1099 Forms
2 mentionsBeyond just the filing process, the comprehensive management of 1099 forms, including accurate data validation and flex…
Beyond just the filing process, the comprehensive management of 1099 forms, including accurate data validation and flexible distribution options, is highly beneficial for construction companies. Avalara acts as a centralized solution for generating and delivering these forms, whether via email or traditional mail, which is crucial for maintaining good relationships with independent contractors and ensuring compliance.
“Make sure you have the correct EIN number.”
“Offers email and/or USPS mailing of 1099's.”
“One stop shop for annual 1099 filings”
1099 Filing
2 mentionsManaging compliance for a large roster of subcontractors is a critical, yet often time-consuming, aspect of constructio…
Managing compliance for a large roster of subcontractors is a critical, yet often time-consuming, aspect of construction finance. Avalara simplifies the preparation and correction of 1099 forms, ensuring timely and accurate reporting for these essential business relationships. This efficiency directly supports compliance requirements and reduces potential penalties.
“Ease of 1099 preparation”
“Can easily resubmit the 1099 with corrected information”
“Creating 1099”
Sales Tax Calculation
2 mentionsConstruction projects frequently cross jurisdictional boundaries, making accurate sales and use tax calculation a signi…
Construction projects frequently cross jurisdictional boundaries, making accurate sales and use tax calculation a significant compliance challenge. Avalara addresses this by automating complex tax calculations across multiple states and districts, a feature particularly valued by construction firms that conduct interstate business and need to ensure precise tax remittance on materials and equipment.
“Calculates tax correctly for the jurisdiction”
“Automates calculation and remittance of use tax”
“Avalara makes interstate business possible for us. We could never keep track of sales tax in 39 states and their multiple districts without it!”
Data Retention & History
2 mentionsFor construction companies, maintaining robust historical financial and tax data is essential for long-term project ana…
For construction companies, maintaining robust historical financial and tax data is essential for long-term project analysis, potential audits, and year-over-year financial planning. Avalara's ability to retain historical information and offer consistent support over time provides critical continuity and a reliable audit trail, which is vital in an industry with extended project lifecycles.
“Historical data is kept”
“Year-over-year support”