Softwr

Accounting · head to head

Avalara vs TaxJar

Avalara logo

Avalara

Accounting

Tax compliance done right

From
$29/month
Rated
-
Full reviewWebsite
TaxJar logo

TaxJar

Accounting

Sales tax, simplified

From
Free
Rated
-
Full reviewWebsite

The short version

  • Only TaxJar 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; TaxJar both published plans include only 200 orders per month, so higher volume costs more
  • They diverge on capability: Avalara covers Returns filing, TaxJar covers AutoFile returns.
  • Prices and features above were last checked on 30 August 2026.

Where they differ

Only the attributes on which Avalara and TaxJar actually diverge.

Attributes where Avalara and TaxJar differ
AttributeAvalaraTaxJar
Starting price$29/monthFree
Pricing modelsubscriptionusage-based
Free tierNoYes
Founded20042013

Identical on both: platforms (Web, Api), 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

  • Returns filing
  • Exemption management
  • Document management
  • Real-time rates
  • QuickBooks
  • NetSuite
  • Magento
  • GDPR

Only in TaxJar

  • AutoFile returns
  • Economic nexus tracking
  • Exemption certificates
  • Multi-channel support
  • Amazon
  • WooCommerce
  • Stripe
  • Bank-level encryption

Both cover

  • Tax calculation
  • Shopify
  • SOC 2
  • Web support
  • Api support

What people use each for

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

Avalara

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

TaxJar

  • Calculating US sales tax at checkoutnot Avalara
  • Reporting sales tax liability by state and jurisdictionnot Avalara
  • Automatically filing state sales tax returnsnot 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

TaxJar

  • Both published plans include only 200 orders per month, so higher volume costs more
  • The Starter plan at $39 per month allows only 3 data import integrations
  • AutoFile state filings are metered: Starter includes 2 credits a year and each extra filing costs $50, Professional includes 4 and each extra costs $55
  • Real time tax calculation API access requires the Professional plan at $99 per month
  • Phone support, a Customer Success Manager and a dedicated onboarding specialist require the Professional plan
  • The developer sandbox requires the Professional plan
  • The 10% saving requires annual billing

Pricing, plan by plan

Avalara

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

TaxJar

Free
  • Starter$39/month
    • Up to 200 orders per month
    • 3 data integrations
    • API access included
  • Professional$99/month
    • Up to 200 orders per month
    • 10 total data integrations
    • 10,000 API calls per minute

Which should you pick?

Choose Avalara if

  • You need returns filing.
  • You work on Web, Api.
  • You also want exemption management.
Avalara review

Choose TaxJar if

  • You need autofile returns.
  • You want to start without paying.
  • You work on Web, Api.
  • You also want economic nexus tracking.
TaxJar review

Questions people ask

Is Avalara or TaxJar better?
Neither clearly leads. Avalara starts at $29/month and TaxJar at Free, and user ratings are close enough to be indistinguishable. Choose on capability and platform support.
Which is cheaper, Avalara or TaxJar?
TaxJar has a free tier; the other does not. Paid plans start at $29/month for Avalara and Free for TaxJar.
Does Avalara or TaxJar run on more platforms?
Both run on Web, Api, so platform support will not decide this one for you.
Can I use TaxJar for free?
Yes. TaxJar 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 TaxJar is typically brought in for.
What can Avalara do that TaxJar cannot?
Avalara covers Returns filing, Exemption management, Document management, Real-time rates. TaxJar covers AutoFile returns, Economic nexus tracking, Exemption certificates, Multi-channel support. Both handle Tax calculation, Shopify, SOC 2, Web support.

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
TaxJar: How much does TaxJar cost?

TaxJar pricing starts at $39/month for Starter and $99/month for Professional. Save 10% or more with annual pricing. A 30-day free trial is available.

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
TaxJar: What is the difference between TaxJar Starter and Professional?

Both plans handle up to 200 orders/month, but Professional includes phone support, dedicated success manager, 10 users, and more data integrations and API capacity.

Source
TaxJar: Does TaxJar offer discounts for annual billing?

Yes, TaxJar saves customers 10% or more when paying annually instead of monthly for both Starter and Professional plans.

Source
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