Softwr

Accounting · head to head

Avalara vs FreeAgent

Avalara logo

Avalara

Accounting

Tax compliance done right

From
$29/month
Rated
-
Full reviewWebsite
FreeAgent logo

FreeAgent

Accounting

Accounting software for small businesses and freelancers

From
Free
Rated
-
Full reviewWebsite

The short version

  • Only FreeAgent has a free tier, so it costs nothing to try first.
  • Each has a real cost: Avalara pricing varies significantly based on products, integrations, transaction volume, and jurisdictions; FreeAgent introductory pricing shown is 50% off the regular rates
  • Prices and features above were last checked on 30 August 2026.

Where they differ

Only the attributes on which Avalara and FreeAgent actually diverge.

Attributes where Avalara and FreeAgent differ
AttributeAvalaraFreeAgent
Starting price$29/monthFree
Free tierNoYes
PlatformsWeb, ApiWeb
Founded2004Unknown

Identical on both: pricing model (subscription), user rating (Not yet rated), category (Accounting).

What each one covers

Drawn from each product's published feature list. An absence here means we hold no record of it - not that the product lacks it.

Only in Avalara

  • Tax calculation
  • Returns filing
  • Exemption management
  • Document management
  • Real-time rates
  • QuickBooks
  • NetSuite
  • Shopify

Only in FreeAgent

Nothing recorded that Avalara does not also cover.

What people use each for

The jobs each tool is most often brought in to do.

Avalara

  • Real-time sales tax calculation at checkoutnot FreeAgent
  • Multi-state and multi-jurisdiction tax determinationnot FreeAgent
  • VAT, lodging, communications and excise tax calculationnot FreeAgent
  • Feeding tax results into an ERP or ecommerce platform through the APInot FreeAgent

FreeAgent

  • Submitting VAT and Self Assessment tax returns to HMRC directlynot Avalara
  • Splitting rental income and expenses across multiple properties automaticallynot Avalara
  • Collecting invoice payments faster through one-click payments and remindersnot Avalara
  • Capturing bills and receipts via AI to auto-categorize expensesnot Avalara
  • Filing Real Time Information payroll directly to HMRC for employeesnot Avalara

Where each one falls short

Documented limitations, not opinions. Every one is a constraint you would hit in normal use.

Avalara

  • Pricing varies significantly based on products, integrations, transaction volume, and jurisdictions
  • No free tier or trial period published
  • Enterprise sales model requires contacting sales specialists for customized quotes

FreeAgent

  • Introductory pricing shown is 50% off the regular rates
  • All prices exclude 20% VAT
  • Add-ons required for some features (Smart Capture Unlimited £5/month, Amazon integration £6/month)

Pricing, plan by plan

Avalara

$29/month
  • AvaTax$50/month
    • Tax calculation
    • Exemption certificates
    • Returns filing

FreeAgent

Free
  • Sole Traders$9.5/month
    • Introductory rate (regular price £19/month)
    • Annual option at £95/year (regular £190)
  • Landlords$5/month
    • Introductory rate (regular price £10/month)
    • Annual option at £50/year (regular £100)
  • UK Partnerships/LLPs$13.5/month
    • Introductory rate (regular price £27/month)
    • Annual option at £135/year (regular £270)
  • UK Limited Companies$16.5/month
    • Introductory rate (regular price £33/month)
    • Annual option at £330/year (regular £330)

Which should you pick?

Choose Avalara if

  • You need tax calculation.
  • You work on Web, Api.
  • You also want returns filing.
Avalara review

Choose FreeAgent if

  • You want to start without paying.
FreeAgent review

Questions people ask

Is Avalara or FreeAgent better?
Neither clearly leads. Avalara starts at $29/month and FreeAgent at Free, and user ratings are close enough to be indistinguishable. Choose on capability and platform support.
Which is cheaper, Avalara or FreeAgent?
FreeAgent has a free tier; the other does not. Paid plans start at $29/month for Avalara and Free for FreeAgent.
Does Avalara or FreeAgent run on more platforms?
Avalara runs on Web, Api. FreeAgent runs on Web.
Can I use FreeAgent for free?
Yes. FreeAgent has a free tier, so you can try it without paying. Avalara starts at $29/month.
What is Avalara best used for?
Avalara is most often used for real-time sales tax calculation at checkout, multi-state and multi-jurisdiction tax determination, vat, lodging, communications and excise tax calculation, feeding tax results into an erp or ecommerce platform through the api. Of those, real-time sales tax calculation at checkout and multi-state and multi-jurisdiction tax determination are not what FreeAgent is typically brought in for.
What can Avalara do that FreeAgent cannot?
Avalara covers Tax calculation, Returns filing, Exemption management, Document management.

Answered from the vendors’ own pages

Avalara: What are the starting prices for Avalara services?

Avalara Tax Calculation and Returns Compliance Package starts at $699. License Guidance is available for as low as $119. Sales Tax Registration costs $403 per location.

Source
FreeAgent: Does FreeAgent offer a free option?

FreeAgent is free for qualifying customers maintaining business accounts with NatWest, Royal Bank of Scotland, Ulster Bank, or certain Mettle accounts.

Source
Avalara: How does Avalara's pricing scale?

Avalara uses volume-based pricing that varies based on the number of integrated business applications, volume of monthly sales transactions, number of states or jurisdictions for tax collection, and Streamlined Sales Tax enrollment. Pricing scales with business growth and transaction volume.

Source
FreeAgent: What is FreeAgent's pricing for sole traders?

Sole traders pay £9.50/month (50% introductory rate; regular £19/month), or £95/year annually (regular £190/year), excluding 20% VAT.

Source
FreeAgent: What add-ons does FreeAgent offer?

Optional add-ons include Smart Capture Unlimited at £5/month and Amazon integration at £6/month, allowing customers to extend base plan functionality.

Source
FreeAgent: Does FreeAgent offer a trial?

FreeAgent provides a 30-day free trial with no commitment, and customers can cancel at any time during or after the trial period.

Source
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