Document:

2018 EQUITY INCENTIVE PLAN AS AMENDED AND RESTATED

 Exhibit 10.3 

AVALARA, INC. 

2018 EQUITY INCENTIVE PLAN 

SECTION 1. PURPOSE 
 The purpose of the
Avalara, Inc. 2018 Equity Incentive Plan is to attract, retain and motivate employees, officers, directors, consultants, agents, advisors and independent contractors of the Company and its Related Companies by providing them with the opportunity to
acquire a proprietary interest in the Company and to align their interests and efforts to the long-term interests of the Company’s shareholders. 

SECTION 2. DEFINITIONS 
 Certain
capitalized terms used in the Plan have the meanings set forth in Appendix A. 
 SECTION 3.
ADMINISTRATION 
  

	3.1	Administration of the Plan 

  

	(a)	The Plan shall be administered by the Board and/or the Compensation Committee. The Compensation Committee shall be composed of two or more directors, each of whom is (i) a
“non-employee director” within the meaning of Rule 16b-3(b)(3) promulgated under the Exchange Act, or any successor definition adopted by the Securities and
Exchange Commission, and (ii) “independent” within the meaning of stock exchange listing rules or rules of a similar regulatory authority applicable to the Company. 

 

	(b)	Notwithstanding the foregoing, the Board may delegate concurrent responsibility for administering the Plan, including with respect to designated classes of Eligible Persons, to different committees consisting of two or
more members of the Board, subject to such limitations as the Board deems appropriate, except with respect to Awards granted to Participants who are subject to Section 16 of the Exchange Act. Members of any committee shall serve for such term
as the Board may determine, subject to removal by the Board at any time. To the extent consistent with applicable law, the Board may authorize one or more senior executive officers of the Company to grant Awards to designated classes of
Eligible Persons, within limits specifically prescribed by the Board; provided, however, that no such officer shall have or obtain authority to grant Awards to himself or herself or to any person subject to Section 16 of the Exchange Act.

  

	(c)	All references in the Plan to the “Committee” shall be, as applicable, to the Board, the Compensation Committee or any other committee or executive officer to whom authority has been delegated to
administer the Plan. 

  

	3.2	Administration and Interpretation by Committee 

  

	(a)	 Except for the terms and conditions explicitly set forth in the Plan and to the extent permitted by applicable
law, the Committee shall have full power and exclusive authority, subject to such orders or resolutions not inconsistent with the provisions of the Plan as may from time to time be adopted by the Board or the Compensation Committee and the limits of
any delegated authority, to (i) select the Eligible Persons to whom Awards may from time to time be granted under the Plan; (ii) determine the type or types of Awards to be granted to each Participant under the Plan; (iii) determine
the number of shares of Common Stock to be covered by each Award granted 

  

	 	
under the Plan; (iv) determine the terms and conditions of any Award granted under the Plan; (v) approve the forms of notice or agreement for use under the Plan; (vi) amend,
modify, suspend, discontinue or terminate the Plan, waive any restrictions or conditions applicable to an Award or amend or modify the terms and conditions of an outstanding Award; (vii) determine whether, to what extent and under what
circumstances Awards may be settled in cash, shares of Common Stock or other property or canceled or suspended; (viii) interpret and administer the Plan and any instrument evidencing an Award, notice or agreement executed or entered into under
the Plan; (ix) establish such rules and regulations as it shall deem appropriate for the proper administration and operation of the Plan; (x) delegate ministerial duties to such of the Company’s employees as it so determines; and
(xi) make any other determination and take any other action that the Committee deems necessary or desirable for administration of the Plan. 

  

	(b)	Notwithstanding the foregoing, the Committee shall not have the right, without shareholder approval, to (i) lower the exercise or grant price of an Option or SAR after it is granted; (ii) cancel an Option or
SAR at a time when its exercise or grant price exceeds the Fair Market Value of the underlying stock, in exchange for cash, another option or stock appreciation right, restricted stock, or other equity award; or (iii) take any other action that
is treated as a repricing under U.S. generally accepted accounting principles. 

  

	(c)	The effect on the vesting of an Award of a Company-approved leave of absence or a Participant’s reduction in hours of employment or service shall be determined by the Company’s chief human resources officer or
other person performing that function or, with respect to directors or executive officers, by the Compensation Committee, whose determination shall be final. 

  

	(d)	Decisions of the Committee shall be final, conclusive and binding on all persons, including the Company, any Participant, any shareholder and any Eligible Person. A majority of the members of the Committee may determine
its actions. 

 SECTION 4. SHARES SUBJECT TO THE PLAN 

 

	4.1	Authorized Number of Shares 

 Subject to adjustment from time to time as provided in Section 15.1,
the number of shares of Common Stock available for issuance under the Plan shall be: 
  

	(a)	8% of the total number of shares of Common Stock outstanding on the Effective Close Date (rounded up to the nearest whole share); plus 

 

	(b)	an annual share increase to be added as of January 1st of each calendar year commencing after the Effective Close Date equal to the lesser of (i) 5% of the aggregate number of shares of Common Stock outstanding on
December 31st of the immediately preceding calendar year, (rounded up to the nearest whole share and excluding for this purpose any such outstanding shares of Common Stock that were granted under the Plan and remain unvested and subject to
forfeiture as of the relevant December 31st) and (ii) an amount determined by the Committee; provided, however, that any shares that become available from any such increases in previous years that are not actually issued shall continue to be
available for issuance under the Plan; plus 

  

	(c)	any shares subject to outstanding awards under the Company’s 2006 Equity Incentive Plan (the “2006 Plan”) on the IPO Date that subsequently cease to be subject to such awards (other than by
reason of exercise or settlement of the awards to the extent they are exercised for or settled in vested or nonforfeitable shares), which shares shall cease, as of the applicable dates, to be set aside or reserved for issuance pursuant to the 2006
Plan and shall instead be set aside and reserved for issuance pursuant to the Plan. 

  
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 Shares issued under the Plan shall be drawn from authorized and unissued shares. 

 

	4.2	Share Usage 

  

	(a)	If any Award lapses, expires, terminates or is canceled prior to the issuance of shares thereunder or if shares of Common Stock are issued under the Plan to a Participant and thereafter are forfeited to the Company, the
shares subject to such Awards and the forfeited shares shall again be available for issuance under the Plan. Any shares of Common Stock (i) tendered by a Participant or retained by the Company as full or partial payment to the Company for the
purchase price of an Award or to satisfy tax withholding obligations in connection with an Award, or (ii) covered by an Award that is settled in cash, or in a manner such that some or all of the shares of Common Stock covered by the Award are
not issued, shall be available for Awards under the Plan. The number of shares of Common Stock available for issuance under the Plan shall not be reduced to reflect any dividends or dividend equivalents that are reinvested into additional shares of
Common Stock or credited as additional shares of Common Stock subject or paid with respect to an Award. 

  

	(b)	The Committee shall also, without limitation, have the authority to grant Awards as an alternative to or as the form of payment for grants or rights earned or due under other compensation plans or arrangements of the
Company. 

  

	(c)	Notwithstanding any other provision of the Plan to the contrary, the Committee may grant Substitute Awards under the Plan. Substitute Awards shall not reduce the number of shares authorized for issuance under the Plan.
In the event that an Acquired Entity has shares available for awards or grants under one or more preexisting plans not adopted in contemplation of such acquisition or combination and previously approved by the Acquired Entity’s shareholders,
then, to the extent determined by the Board or the Compensation Committee, the shares available for grant pursuant to the terms of such preexisting plans (as adjusted, to the extent appropriate, using the exchange ratio or other adjustment or
valuation ratio or formula used in such acquisition or combination to determine the consideration payable to holders of securities of the entities that are parties to such acquisition or combination) may be used for Awards under the Plan and shall
not reduce the number of shares of Common Stock authorized for issuance under the Plan; provided, however, that Awards using such available shares shall not be made after the date awards or grants could have been made under the terms of such
preexisting plans, absent the acquisition or combination, and shall only be made to individuals who were not employees or directors of the Company or a Related Company prior to such acquisition or combination. In the event that a written agreement
between the Company and an Acquired Entity pursuant to which a merger or consolidation is completed is approved by the Board and that agreement sets forth the terms and conditions of the substitution for or assumption of outstanding awards of the
Acquired Entity, those terms and conditions shall be deemed to be the action of the Committee without any further action by the Committee, except as may be required for compliance with Rule 16b-3 under the
Exchange Act, and the persons holding such awards shall be deemed to be Participants. 

  

	(d)	Notwithstanding any other provision of this Section 4.2 to the contrary, the maximum number of shares of Common Stock that may be issued upon the exercise of Incentive Stock Options shall be 5,000,000 shares,
subject to adjustment as provided in Section 15.1. 

  
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	4.3	Limitation on Awards to Non-Employee Directors 

 Notwithstanding
any other provision of the Plan to the contrary, during any calendar year, no member of the Board who is not an employee of the Company or a Related Company may be granted Awards or cash compensation solely with respect to service as a director that
exceeds in the aggregate $750,000 in value (such value for Awards denominated in shares computed as of the Grant Date of such Awards in accordance with applicable financial accounting standards). For purposes of the foregoing limit, Awards granted
in previous calendar years will not count against the Award limits in subsequent calendar years, even if the Awards from previous calendar years are earned, vest or are otherwise settled in calendar years following the calendar year in which they
are granted. 
 SECTION 5. ELIGIBILITY 

An Award may be granted to any employee, officer or director of the Company or a Related Company whom the Committee from time to time selects. An Award may
also be granted to any consultant, agent, advisor or independent contractor for bona fide services rendered to the Company or any Related Company that (a) are not in connection with the offer and sale of the Company’s securities in a capital-raising transaction and (b) do not directly or indirectly promote or maintain a market for the Company’s securities. 

SECTION 6. AWARDS 
  

	6.1	Form, Grant and Settlement of Awards 

 The Committee shall have the authority, in its sole discretion, to
determine the type or types of Awards to be granted under the Plan. Such Awards may be granted either alone or in addition to or in tandem with any other type of Award. Any Award settlement may be subject to such conditions, restrictions and
contingencies as the Committee shall determine. 
  

	6.2	Evidence of Awards 

 Awards granted under the Plan shall be evidenced by a written, including an
electronic, instrument that shall contain such terms, conditions, limitations and restrictions as the Committee shall deem advisable that are not inconsistent with the Plan. 
  

	6.3	Dividends and Distributions 

 Participants may, if the Committee so determines, other than with respect
to Options or Stock Appreciation Rights, be credited with dividends or dividend equivalents for dividends paid with respect to shares of Common Stock underlying an Award in a manner determined by the Committee in its sole discretion; provided,
however, that with respect to Awards that are subject to achievement of performance goals, any such credited dividends or dividend equivalents may be paid only with respect to the portion of such Awards that is actually earned. The Committee may
apply any restrictions to the dividends or dividend equivalents that the Committee deems appropriate. The Committee, in its sole discretion, may determine the form of payment of dividends or dividend equivalents, including cash, shares of Common
Stock, Restricted Stock or Stock Units. Also notwithstanding the foregoing, the right to any dividends or dividend equivalents declared and paid on Restricted Stock must comply with or qualify for an exemption under Section 409A. 

  
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 SECTION 7. OPTIONS 

 

	7.1	Grant of Options 

 The Committee may grant Options designated as Incentive Stock Options or Nonqualified
Stock Options. 
  

	7.2	Option Exercise Price 

 Options shall be granted with an exercise price per share not less than 100% of
the Fair Market Value of the Common Stock on the Grant Date (and such exercise price shall not be less than the minimum exercise price required by Section 422 of the Code with respect to Incentive Stock Options), except in the case of
Substitute Awards. 
  

	7.3	Term of Options 

 Subject to earlier termination in accordance with the terms of the Plan and the
instrument evidencing the Option, the maximum term of an Option shall be ten years from the Grant Date. For Incentive Stock Options, the maximum term shall comply with Section 422 of the Code. 

 

	7.4	Exercise of Options 

  

	(a)	The Committee shall establish and set forth in each instrument that evidences an Option the time at which, or the installments in which, the Option shall vest and become exercisable. 

 

	(b)	To the extent an Option has vested and become exercisable, the Option may be exercised in whole or from time to time in part by delivery to the Company or a brokerage firm designated or approved by the Company of a
properly executed stock option exercise agreement or notice, in a form and in accordance with procedures established by the Committee, setting forth the number of shares with respect to which the Option is being exercised, the restrictions imposed
on the shares purchased under such exercise agreement or notice, if any, and such representations and agreements as may be required by the Committee, accompanied by payment in full as described in Section 7.5. An Option may be exercised only
for whole shares and may not be exercised for less than a reasonable number of shares at any one time, as determined by the Committee. 

  

	7.5	Payment of Exercise Price 

 The exercise price for shares purchased under an Option shall be paid in full
to the Company by delivery of consideration equal to the product of the Option exercise price and the number of shares purchased. Such consideration must be paid before the Company will issue the shares being purchased to the Participant and must be
in a form or a combination of forms acceptable to the Committee for that purchase, which forms, in the Committee’s discretion, may include: 
  

	(a)	cash; 

  

	(b)	check or wire transfer; 

  

	(c)	having the Company withhold shares of Common Stock that would otherwise be issued on exercise of the Option that have an aggregate Fair Market Value equal to the aggregate exercise price of the shares being purchased
under the Option; 

  

	(d)	tendering (either actually or, so long as the Common Stock is registered under Section 12(b) or 12(g) of the Exchange Act, by attestation) shares of Common Stock owned by the Participant that have an aggregate Fair
Market Value equal to the aggregate exercise price of the shares being purchased under the Option; 

  
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	(e)	so long as the Common Stock is registered under Section 12(b) or 12(g) of the Exchange Act, and to the extent permitted by law, delivery of a properly executed exercise agreement or notice, together with
irrevocable instructions to a brokerage firm designated or approved by the Company to deliver promptly to the Company the aggregate amount of proceeds to pay the Option exercise price and any withholding tax obligations that may arise in connection
with the exercise, all in accordance with the regulations of the Federal Reserve Board; or 

  

	(f)	such other consideration as the Committee may permit. 

  

	7.6	Effect of Termination of Service 

  

	(a)	The Committee shall establish and set forth in each instrument that evidences an Option whether the Option shall continue to be exercisable, and the terms and conditions of such exercise, after a Termination of Service,
any of which provisions may be waived or modified by the Committee at any time. 

  

	(b)	If the exercise of the Option following a Participant’s Termination of Service, but while the Option is otherwise exercisable, would be prohibited solely because the issuance of Common Stock upon exercise of the
Option would violate the registration requirements under the Securities Act or similar requirements under the laws of any state or foreign jurisdiction, then the Option shall remain exercisable until the earlier of (i) the Option
Expiration Date and (ii) the expiration of a total period of three (3) months (or such longer period of time as determined by the Committee in its sole discretion), which time period need not be consecutive, after the
Participant’s Termination of Service during which exercise of the Option would not be in violation of the Securities Act or other requirements. 

SECTION 8. INCENTIVE STOCK OPTION LIMITATIONS 

Notwithstanding any other provision of the Plan to the contrary, the terms and conditions of any Incentive Stock Options shall in addition comply in all
respects with Section 422 of the Code, or any successor provision, and any applicable regulations thereunder, including, to the extent required thereunder, the following: 
  

	8.1	Eligible Employees 

 Individuals who are not employees of the Company or one of its parent or subsidiary
corporations (as such terms are defined for purposes of Section 422 of the Code) on the Grant Date may not be granted Incentive Stock Options. 
  

	8.2	Dollar Limitation 

 To the extent the aggregate Fair Market Value of Common Stock with respect to which
Incentive Stock Options are exercisable for the first time by a Participant during any calendar year exceeds $100,000 (or, if different, the maximum limitation in effect at the time of grant under the Code), such portion in excess of $100,000 shall
be treated as a Nonqualified Stock Option. 

  
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	8.3	Ten Percent Shareholders 

 In the case of an Incentive Stock Option granted to a Participant who owns
more than 10% of the total combined voting power of all classes of the stock of the Company or of its parent or subsidiary corporations (a “Ten Percent Shareholder”), such Option shall be granted with an exercise price per
share not less than 110% of the Fair Market Value of the Common Stock on the Grant Date and with a maximum term of five years from the Grant Date. The determination of more than 10% ownership shall be made in accordance with Section 422 of the
Code. 
 SECTION 9. STOCK APPRECIATION RIGHTS 
  

	9.1	Grant of Stock Appreciation Rights 

 The Committee may grant Stock Appreciation Rights to Participants at
any time on such terms and conditions as the Committee shall determine in its sole discretion. An SAR may be granted in tandem with an Option (a “tandem SAR”) or alone (a “freestanding SAR”). The grant
price of a tandem SAR shall be equal to the exercise price of the related Option. The grant price of a freestanding SAR shall be established in accordance with procedures for Options set forth in Section 7.2. An SAR may be exercised upon such
terms and conditions and for such term as the Committee determines in its sole discretion; provided, however, that, subject to earlier termination in accordance with the terms of the Plan and the instrument evidencing the SAR, the maximum term of a
freestanding SAR shall be ten years, and in the case of a tandem SAR, (a) the term shall not exceed the term of the related Option and (b) the tandem SAR may be exercised for all or part of the shares subject to the related Option upon the
surrender of the right to exercise the equivalent portion of the related Option, except that the tandem SAR may be exercised only with respect to the shares for which its related Option is then exercisable. 

 

	9.2	Payment of SAR Amount 

 Upon the exercise of an SAR, a Participant shall be entitled to receive payment
in an amount determined by multiplying: (a) the excess of the Fair Market Value of the Common Stock on the date of exercise over the grant price of the SAR by (b) the number of shares with respect to which the SAR is exercised. At the
discretion of the Committee as set forth in the instrument evidencing the Award, the payment upon exercise of an SAR may be in cash, in shares, in some combination thereof or in any other manner approved by the Committee in its sole discretion. 

SECTION 10. STOCK AWARDS, RESTRICTED STOCK AND STOCK UNITS 
  

	10.1	Grant of Stock Awards, Restricted Stock and Stock Units 

 The Committee may grant Stock Awards,
Restricted Stock and Stock Units on such terms and conditions and subject to such repurchase or forfeiture restrictions, if any, which may be based on continuous employment or service with the Company or a Related Company or the achievement of
performance goals, as the Committee shall determine in its sole discretion, which terms, conditions and restrictions shall be set forth in the instrument evidencing the Award. 
  

	10.2	Vesting of Restricted Stock and Stock Units 

 Upon the satisfaction of any terms, conditions and
restrictions prescribed with respect to Restricted Stock or Stock Units, or upon a Participant’s release from any terms, conditions and restrictions on Restricted Stock or Stock Units, as determined by the Committee, (a) the shares covered
by each Award of Restricted Stock shall become freely transferable by the Participant, and (b) Stock Units shall be paid in shares of Common Stock or, if set forth in the instrument evidencing the Awards, in cash or a combination of cash and
shares of Common Stock. Any fractional shares subject to such Awards shall be paid to the Participant in cash. 

  
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 SECTION 11. PERFORMANCE AWARDS 

 

	11.1	Performance Shares 

 The Committee may grant Awards of Performance Shares, designate the Participants to
whom Performance Shares are to be awarded and determine the number of Performance Shares and the terms and conditions of each such Award. Performance Shares shall consist of a unit valued by reference to a designated number of shares of Common
Stock, the value of which may be paid to the Participant by delivery of shares of Common Stock or, if set forth in the instrument evidencing the Award, of such property as the Committee shall determine, including, without limitation, cash, shares of
Common Stock, other property, or any combination thereof, upon the attainment of performance goals, as established by the Committee, and other terms and conditions specified by the Committee. The amount to be paid under an Award of Performance
Shares may be adjusted on the basis of such further consideration as the Committee shall determine in its sole discretion. 
  

	11.2	Performance Units 

 The Committee may grant Awards of Performance Units, designate the Participants to
whom Performance Units are to be awarded and determine the number of Performance Units and the terms and conditions of each such Award. Performance Units shall consist of a unit valued by reference to a designated amount of property other than
shares of Common Stock, which value may be paid to the Participant by delivery of such property as the Committee shall determine, including, without limitation, cash, shares of Common Stock, other property, or any combination thereof, upon the
attainment of performance goals, as established by the Committee, and other terms and conditions specified by the Committee. The amount to be paid under an Award of Performance Units may be adjusted on the basis of such further consideration as the
Committee shall determine in its sole discretion. 
 SECTION 12. OTHER STOCK OR CASH-BASED AWARDS 

Subject to the terms of the Plan and such other terms and conditions as the Committee deems appropriate, the Committee may grant other incentives payable in
cash or in shares of Common Stock under the Plan. 
 SECTION 13. WITHHOLDING 

 

	(a)	The Company or a Related Company may require the Participant to pay to the Company or a Related Company, as applicable, the amount of (i) any taxes that the Company or a Related Company is required by applicable
federal, state, local or foreign law to withhold with respect to the grant, vesting or exercise of an Award (“tax withholding obligations”) and (ii) any amounts due from the Participant to the Company or any Related
Company (“other obligations”). Notwithstanding any other provision of the Plan to the contrary, the Company shall not be required to issue any shares of Common Stock or otherwise settle an Award under the Plan until such tax
withholding obligations and other obligations are satisfied. 

  

	(b)	 The Committee, its sole discretion, may permit or require a Participant to satisfy all or part of the
Participant’s tax withholding obligations and other obligations by (i) paying cash to the Company or a Related Company, as applicable, (ii) having the Company or a Related Company withhold an amount from any cash amounts otherwise due
or to become due from the Company or a Related Company to the Participant, (iii) having the Company withhold a number of shares of Common 

  
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Stock that would otherwise be issued to the Participant (or become vested, in the case of Restricted Stock) having a Fair Market Value equal to the tax withholding obligations and other
obligations, (iv) surrendering a number of shares of Common Stock the Participant already owns having a value equal to the tax withholding obligations and other obligations, (v) selling shares of Common Stock issued under an Award on the
open market or to the Company, or (vi) taking such other action as may be necessary in the opinion of the Committee to satisfy any applicable tax withholding obligations. The value of the shares so withheld or tendered may not exceed the
employer’s minimum required tax withholding rate; provided, however, that, in the discretion of the Committee and to the extent permitted under applicable financial accounting standards, the value of shares so withheld or tendered may exceed
the employer’s minimum required tax withholding rate but may not be greater than the maximum tax withholding rate, so long as the exercise of such discretion by the Committee would not result in adverse treatment for financial accounting
purposes. 

 SECTION 14. ASSIGNABILITY 

No Award or interest in an Award may be sold, assigned, pledged (as collateral for a loan or as security for the performance of an obligation or for any other
purpose) or transferred by a Participant or made subject to attachment or similar proceedings otherwise than by will or by the applicable laws of descent and distribution, except to the extent the Participant designates one or more beneficiaries on
a Company-approved form who may exercise the Award or receive payment under the Award after the Participant’s death. During a Participant’s lifetime, an Award may be exercised only by the Participant. Notwithstanding the foregoing, and to
the extent permitted by Section 422 of the Code and applicable securities laws, the Committee, in its sole discretion, may permit a Participant to assign or transfer an Award subject to such terms and conditions as the Committee shall specify.

 SECTION 15. ADJUSTMENTS 
  

	15.1	Adjustment of Shares 

  

	(a)	In the event, at any time or from time to time, a stock dividend, stock split, spin-off, combination or exchange of shares, recapitalization, merger, consolidation, statutory
share exchange, distribution to shareholders other than a normal cash dividend, or other change in the Company’s corporate or capital structure, results in (i) the outstanding shares of Common Stock, or any securities exchanged therefor or
received in their place, being exchanged for a different number or kind of securities of the Company or of any other Company or (ii) new, different or additional securities of the Company or of any other company being received by the holders of
shares of Common Stock, then the Committee shall make proportional adjustments in (1) the maximum number and kind of securities available for issuance under the Plan; (2) the maximum number and kind of securities issuable as Incentive
Stock Options as set forth in Section 4.2(d); and (3) the number and kind of securities that are subject to any outstanding Award and the per share price of such securities. The determination by the Committee as to the terms of any of the
foregoing adjustments shall be conclusive and binding. 

  

	(b)	The Committee may also make adjustments as described in Section 15.1(a)(1)-(3) in the event of any distribution of assets or cash to shareholders other than a normal cash dividend. In determining adjustments to be
made under this Section 15.1(b), the Committee may take into account such factors as it deems appropriate, including (i) the restrictions of applicable law and (ii) potential tax and accounting consequences of an adjustment and may
make adjustments that are not uniform or proportionate among outstanding Awards. Any such adjustments to outstanding Awards shall be effected in a manner that precludes the enlargement of rights and benefits under such Awards. 

  
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	(c)	Adjustments, if any, and any determinations or interpretations, including any determination of whether a distribution is other than a normal cash dividend, made by the Committee as to the terms of any of the foregoing
adjustments, shall be conclusive and binding. Notwithstanding the foregoing, the issuance by the Company of shares of stock of any class, or securities convertible into shares of stock of any class, for cash or property, or for labor or services
rendered, either upon direct sale or upon the exercise of rights or warrants to subscribe therefor, or upon conversion of shares or obligations of the Company convertible into such shares or other securities, shall not affect, and no adjustment by
reason thereof shall be made with respect to, outstanding Awards. Also notwithstanding the foregoing, a dissolution or liquidation of the Company or a Change in Control shall not be governed by this Section 15.1 but shall be governed by
Sections 15.2 and 15.3, respectively. 

  

	15.2	Dissolution or Liquidation 

 To the extent not previously exercised or settled, and unless otherwise
determined by the Committee in its sole discretion, Awards shall terminate immediately prior to the dissolution or liquidation of the Company. To the extent a vesting condition, forfeiture provision or repurchase right applicable to an Award has not
been waived by the Committee, the Award shall be forfeited immediately prior to the consummation of the dissolution or liquidation. 
  

	15.3	Change in Control 

 Notwithstanding any other provision of the Plan to the contrary, unless the Committee
shall determine otherwise in the instrument evidencing the Award or in a written employment, services or other agreement between a Participant and the Company or a Related Company, in the event of a Change in Control: 

 

	(a)	If the Change in Control is a Company Transaction in which Awards, other than Performance Shares, Performance Units or other performance-based Awards, could be converted, assumed, substituted for or replaced by the
Successor Company, then, if and to the extent that the Successor Company converts, assumes, substitutes for or replaces an Award, the vesting restrictions and/or forfeiture provisions applicable to such Award shall not be accelerated or lapse, and
all such vesting restrictions and/or forfeiture provisions shall continue with respect to any shares of the Successor Company or other consideration that may be received with respect to such Award. If and to the extent that such Awards are not
converted, assumed, substituted for or replaced by the Successor Company or the Change in Control is not a Company Transaction in which Awards could be converted, assumed, substituted for or replaced, such outstanding Awards, other than Performance
Shares, Performance Units or other performance-based Awards, shall become fully vested and exercisable or payable, and all applicable restrictions or forfeiture provisions shall lapse, immediately prior to the Change in Control and such Awards shall
terminate at the effective time of the Change in Control. 

 For the purposes of this Section 15.3(a), an Award shall be
considered converted, assumed, substituted for or replaced by the Successor Company if following the Change in Control, the Award confers the right to purchase or receive, for each share of Common Stock subject to the Award immediately prior to the
Change in Control, the consideration (whether stock, cash or other securities or property) received in the Change in Control by holders of Common Stock for each share held on the effective date of the transaction (and if holders were offered a
choice of 

  
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consideration, the type of consideration chosen by the holders of a majority of the outstanding shares); provided, however, that if such consideration received in the Change in Control is not
solely common stock of the Successor Company, the Committee may, with the consent of the Successor Company, provide for the consideration to be received pursuant to the Award, for each share of Common Stock subject thereto, to be solely common stock
of the Successor Company substantially equal in fair market value to the per share consideration received by holders of Common Stock in the Change in Control. The determination of such substantial equality of value of consideration shall be made by
the Committee, and its determination shall be conclusive and binding. 
  

	(b)	All Performance Shares, Performance Units or other performance-based Awards earned and outstanding as of the date the Change in Control is determined to have occurred and for which the payout level has been determined
shall be payable in full in accordance with the payout schedule pursuant to the instrument evidencing the Award. Any outstanding Performance Shares, Performance Units or other performance-based Awards (including any applicable performance period)
for which the payout level has not been determined shall be prorated at the target payout level up to and including the date of such Change in Control and shall be payable in accordance with the payout schedule pursuant to the instrument evidencing
the Award. Any existing deferrals or other restrictions not waived by the Committee in its sole discretion shall remain in effect. 

  

	(c)	Notwithstanding the foregoing, the Committee, in its sole discretion, may instead provide in the event of a Change in Control that a Participant’s outstanding Awards shall terminate upon or immediately prior to
such Change in Control and that such Participant shall receive, in exchange therefor, a cash payment equal to the amount (if any) by which (x) the value of the per share consideration received by holders of Common Stock in the Change in
Control, or, in the event the Change in Control is one of the transactions listed under subsection (c) in the definition of Company Transaction or otherwise does not result in direct receipt of consideration by holders of Common Stock, the
value of the deemed per share consideration received, in each case as determined by the Committee in its sole discretion, multiplied by the number of shares of Common Stock subject to such outstanding Awards (to the extent then vested and
exercisable or whether or not then vested and exercisable, as determined by the Committee in its sole discretion) exceeds (y) if applicable, the respective aggregate exercise price or grant price for such Awards. 

 

	(d)	For the avoidance of doubt, nothing in this Section 15.3 requires all outstanding Awards (or portions thereof) to be treated similarly. 

 

	15.4	Further Adjustment of Awards 

 Subject to Sections 15.2 and 15.3, the Committee shall have the
discretion, exercisable at any time before a sale, merger, consolidation, statutory share exchange, reorganization, liquidation, dissolution or change of control of the Company, as defined by the Committee, to take such further action as it
determines to be necessary or advisable with respect to Awards. Such authorized action may include (but shall not be limited to) establishing, amending or waiving the type, terms, conditions or duration of, or restrictions on, Awards so as to
provide for earlier, later, extended or additional time for exercise, lifting restrictions and other modifications, and the Committee may take such actions with respect to all Participants, to certain categories of Participants or only to individual
Participants. The Committee may take such action before or after granting Awards to which the action relates and before or after any public announcement with respect to such sale, merger, consolidation, statutory share exchange, reorganization,
liquidation, dissolution or change of control that is the reason for such action. 

  
 -11- 

	15.5	No Limitations 

 The grant of Awards shall in no way affect the Company’s right to adjust,
reclassify, reorganize or otherwise change its capital or business structure or to merge, consolidate, dissolve, liquidate or sell or transfer all or any part of its business or assets. 

 

	15.6	No Fractional Shares 

 In the event of any adjustment in the number of shares covered by any Award, each
such Award shall cover only the number of full shares resulting from such adjustment, and any fractional shares resulting from such adjustment shall be disregarded. 
  

	15.7	Section 409A 

 Notwithstanding any other provision of the Plan to the contrary, (a) any
adjustments made pursuant to this Section 15 to Awards that are considered “deferred compensation” within the meaning of Section 409A shall be made in compliance with the requirements of Section 409A and (b) any
adjustments made pursuant to this Section 15 to Awards that are not considered “deferred compensation” subject to Section 409A shall be made in such a manner intended to ensure that after such adjustment the Awards either
(i) continue not to be subject to Section 409A or (ii) comply with the requirements of Section 409A. 

SECTION 16. MARKET STANDOFF 
 In the
event of an underwritten public offering by the Company of its equity securities pursuant to an effective registration statement filed under the Securities Act, including the Company’s initial public offering, no person may sell, make any short
sale of, loan, hypothecate, pledge, assign, grant any option for the purchase of, or otherwise dispose of or transfer for value or otherwise agree to engage in any of the foregoing transactions with respect to any shares issued pursuant to an Award
granted under the Plan without the prior written consent of the Company or its underwriters. Such limitations shall be in effect for such period of time as may be requested by the Company or such underwriters; provided, however, that in no
event shall such period exceed (a) 180 days after the effective date of the registration statement for such public offering or (b) such longer period requested by the underwriters as is necessary to comply with regulatory restrictions on
the publication of research reports (including, but not limited to, FINRA Rule 2241, or any amendments or successor rules thereto). The limitations of this Section 16 shall in all events terminate two years after the effective date of the
Company’s initial public offering. 
 SECTION 17. AMENDMENT AND TERMINATION 

 

	17.1	Amendment, Suspension or Termination 

 The Board or the Compensation Committee may amend, suspend or
terminate the Plan or any portion of the Plan at any time and in such respects as it shall deem advisable; provided, however, that shareholder approval shall be required for any amendment to the Plan to the extent required by applicable law,
regulation or stock exchange rule; and provided, further, that the Board shall be required to approve any amendment that requires shareholder approval. Subject to Section 17.3, the Committee may amend the terms of any outstanding Award,
prospectively or retroactively. 
  

	17.2	Term of the Plan 

 Unless sooner terminated as provided herein, the Plan shall automatically terminate on
the tenth anniversary of the earlier of (a) the date the Board adopted the Plan and (b) the date the shareholders approved the Plan. After the Plan is terminated, no future Awards may be granted, but Awards previously granted shall remain
outstanding in accordance with their terms and conditions and the Plan’s terms and conditions. 

  
 -12- 

	17.3	Consent of Participant 

 The amendment, suspension or termination of the Plan or a portion thereof or the
amendment of an outstanding Award shall not, without the Participant’s consent, materially adversely affect any rights under any Award theretofore granted to the Participant under the Plan. Any change or adjustment to an outstanding Incentive
Stock Option shall not, without the consent of the Participant, be made in a manner so as to constitute a “modification” that would cause such Incentive Stock Option to fail to continue to qualify as an Incentive Stock Option.
Notwithstanding the foregoing, any adjustments made pursuant to Section 15 shall not be subject to these restrictions. 
 SECTION 18.
GENERAL 
  

	18.1	No Individual Rights 

 No individual or Participant shall have any claim to be granted any Award under
the Plan, and the Company has no obligation for uniformity of treatment of Participants under the Plan. 
 Furthermore, nothing in the Plan or any Award
granted under the Plan shall be deemed to constitute an employment contract or confer or be deemed to confer on any Participant any right to continue in the employ of, or to continue any other relationship with, the Company or any Related Company or
limit in any way the right of the Company or any Related Company to terminate a Participant’s employment or other relationship at any time, with or without cause. 
  

	18.2	Issuance of Shares 

  

	(a)	Notwithstanding any other provision of the Plan, the Company shall have no obligation to issue or deliver any shares of Common Stock under the Plan or make any other distribution of benefits under the Plan unless, in
the opinion of the Company’s counsel, such issuance, delivery or distribution would comply with all applicable laws (including, without limitation, the requirements of the Securities Act or the laws of any state or foreign jurisdiction) and the
applicable requirements of any securities exchange or similar entity. 

  

	(b)	The Company shall be under no obligation to any Participant to register for offering or resale or to qualify for exemption under the Securities Act, or to register or qualify under the laws of any state or foreign
jurisdiction, any shares of Common Stock, security or interest in a security paid or issued under, or created by, the Plan, or to continue in effect any such registrations or qualifications if made. 

 

	(c)	 As a condition to the exercise of an Option or any other receipt of Common Stock pursuant to an Award under the
Plan, the Company may require (i) the Participant to represent and warrant at the time of any such exercise or receipt that such shares are being purchased or received only for the Participant’s own account and without any present
intention to sell or distribute such shares and (ii) such other action or agreement by the Participant as may from time to time be necessary to comply with federal, state and foreign securities laws. At the option of the Company, a
stop-transfer order against any such shares may be placed on the official stock books and records of the Company, and a legend indicating that such shares may not be pledged, sold or otherwise transferred, unless an opinion of counsel is provided
(concurred in by counsel for the Company) 

  
 -13- 

	 	
stating that such transfer is not in violation of any applicable law or regulation, may be stamped on stock certificates to ensure exemption from registration. The Committee may also require the
Participant to execute and deliver to the Company a purchase agreement or such other agreement as may be in use by the Company at such time that describes certain terms and conditions applicable to the shares. 

 

	(d)	To the extent the Plan or any instrument evidencing an Award provides for issuance of stock certificates to reflect the issuance of shares of Common Stock, the issuance may be effected on a noncertificated basis, to the
extent not prohibited by applicable law or the applicable rules of any stock exchange. 

  

	18.3	Indemnification 

  

	(a)	Each person who is or shall have been a member of the Board, the Compensation Committee, or a committee of the Board or an officer of the Company to whom authority to administer the Plan is delegated in accordance with
Section 3.1, shall be indemnified and held harmless by the Company against and from any loss, cost, liability or expense that may be imposed upon or reasonably incurred by such person in connection with or resulting from any claim, action, suit
or proceeding to which such person may be a party or in which such person may be involved by reason of any action taken or failure to act under the Plan and against and from any and all amounts paid by such person in settlement thereof, with the
Company’s approval, or paid by such person in satisfaction of any judgment in any such claim, action, suit or proceeding against such person, unless such loss, cost, liability or expense is a result of such person’s own willful misconduct
or except as expressly provided by statute; provided, however, that such person shall give the Company an opportunity, at its own expense, to handle and defend the same before such person undertakes to handle and defend it on such person’s own
behalf. 

  

	(b)	The foregoing right of indemnification shall not be exclusive of any other rights of indemnification to which such person may be entitled under the Company’s articles of incorporation or bylaws, as a matter of law,
or otherwise, or of any power that the Company may have to indemnify or hold harmless. 

  

	18.4	No Rights as a Shareholder 

 Unless otherwise provided by the Committee or in the instrument evidencing
the Award or in a written employment, services or other agreement, no Award, other than a Stock Award or Restricted Stock Award, shall entitle the Participant to any cash dividend, voting or other right of a shareholder unless and until the date of
issuance under the Plan of the shares that are the subject of such Award. 
  

	18.5	Compliance with Laws and Regulations 

  

	(a)	In interpreting and applying the provisions of the Plan, any Option granted as an Incentive Stock Option pursuant to the Plan shall, to the extent permitted by law, be construed as an “incentive stock option”
within the meaning of Section 422 of the Code. 

  

	(b)	 The Plan and Awards granted under the Plan are intended to be exempt from the requirements of Section 409A
to the maximum extent possible, whether pursuant to the short-term deferral exception described in Treasury Regulation Section 1.409A-1(b)(4), the exclusion applicable to stock options, stock appreciation
rights and certain other equity-based compensation under Treasury Regulation Section 1.409A-1(b)(5), or otherwise. To the extent Section 409A is applicable to the Plan or any Award granted under the
Plan, it is intended that the Plan and any 

  
 -14- 

	 	
Awards granted under the Plan shall comply with the deferral, payout and other limitations and restrictions imposed under Section 409A. Notwithstanding any other provision of the Plan or any
Award granted under the Plan to the contrary, the Plan and any Award granted under the Plan shall be interpreted, operated and administered in a manner consistent with such intentions. Without limiting the generality of the foregoing, and
notwithstanding any other provision of the Plan or any Award granted under the Plan to the contrary, with respect to any payments and benefits under the Plan or any Award granted under the Plan to which Section 409A applies, all references in
the Plan or any Award granted under the Plan to the termination of the Participant’s employment or service are intended to mean the Participant’s “separation from service,” within the meaning of Section 409A(a)(2)(A)(i). In
addition, if the Participant is a “specified employee,” within the meaning of Section 409A, then to the extent necessary to avoid subjecting the Participant to the imposition of any additional tax under Section 409A, amounts that
would otherwise be payable under the Plan or any Award granted under the Plan during the six-month period immediately following the Participant’s “separation from service,” within the meaning of
Section 409A(a)(2)(A)(i), shall not be paid to the Participant during such period, but shall instead be accumulated and paid to the Participant (or, in the event of the Participant’s death, the Participant’s estate) in a lump sum on
the first business day after the earlier of the date that is six months following the Participant’s separation from service or the Participant’s death. Notwithstanding any other provision of the Plan to the contrary, the Committee, to the
extent it deems necessary or advisable in its sole discretion, reserves the right, but shall not be required, to unilaterally amend or modify the Plan and any Award granted under the Plan so that the Award qualifies for exemption from or complies
with Section 409A; provided, however, that the Committee makes no representations that Awards granted under the Plan shall be exempt from or comply with Section 409A and makes no undertaking to preclude Section 409A from applying to
Awards granted under the Plan. 

  

	(c)	Also notwithstanding any other provision of the Plan to the contrary, the Board or the Compensation Committee shall have broad authority to amend the Plan or any outstanding Award without the consent of the Participant
to the extent the Board or the Compensation Committee deems necessary or advisable to comply with, or take into account, changes in applicable tax laws, securities laws, accounting rules or other applicable laws, rules or regulations.

  

	18.6	Participants in Other Countries or Jurisdictions 

 Without amending the Plan, the Committee may grant
Awards to Eligible Persons who are foreign nationals on such terms and conditions different from those specified in the Plan as may, in the judgment of the Committee, be necessary or desirable to foster and promote achievement of the purposes of the
Plan and shall have the authority to adopt such modifications, procedures, subplans and the like as may be necessary or desirable to comply with provisions of the laws or regulations of other countries or jurisdictions in which the Company or any
Related Company may operate or have employees to ensure the viability of the benefits from Awards granted to Participants employed in such countries or jurisdictions, meet the requirements that permit the Plan to operate in a qualified or tax-efficient manner, comply with applicable foreign laws or regulations and meet the objectives of the Plan. 
  

	18.7	No Trust or Fund 

 The Plan is intended to constitute an “unfunded” plan. Nothing contained
herein shall require the Company to segregate any monies or other property, or shares of Common Stock, or to create any trusts, or to make any special deposits for any immediate or deferred amounts payable to any Participant, and no Participant
shall have any rights that are greater than those of a general unsecured creditor of the Company. 

  
 -15- 

	18.8	Successors 

 All obligations of the Company under the Plan with respect to Awards shall be binding on any
successor to the Company, whether the existence of such successor is the result of a direct or indirect purchase, merger, consolidation, or otherwise, of all or substantially all the business and/or assets of the Company. 

 

	18.9	Severability 

 If any provision of the Plan or any Award is determined to be invalid, illegal or
unenforceable in any jurisdiction, or as to any person, or would disqualify the Plan or any Award under any law deemed applicable by the Committee, such provision shall be construed or deemed amended to conform to applicable laws, or, if it cannot
be so construed or deemed amended without, in the Committee’s determination, materially altering the intent of the Plan or the Award, such provision shall be stricken as to such jurisdiction, person or Award, and the remainder of the Plan and
any such Award shall remain in full force and effect. 
  

	18.10	Choice of Law and Venue 

 The Plan, all Awards granted thereunder and all determinations made and actions
taken pursuant hereto, to the extent not otherwise governed by the laws of the United States, shall be governed by the laws of the State of Washington without giving effect to principles of conflicts of law. Participants irrevocably consent to the
nonexclusive jurisdiction and venue of the state and federal courts located in the State of Washington. 
  

	18.11	Legal Requirements 

 The granting of Awards and the issuance of shares of Common Stock under the Plan are
subject to all applicable laws, rules and regulations and to such approvals by any governmental agencies or national securities exchanges as may be required. 
  

	18.12	Electronic Communication 

 Any document required to be delivered under the Plan, including under
applicable laws, may be delivered in writing or electronically. Signature may also be electronic if permitted by the Company. 
  

	18.13	Recoupment 

 Awards shall be subject to the requirements of (a) Section 954 of the Dodd-Frank
Wall Street Reform and Consumer Protection Act (regarding recovery of erroneously awarded compensation) and any implementing rules and regulations thereunder, (b) similar rules under the laws of any other jurisdiction, (c) any compensation
recovery or clawback policies adopted by the Company to implement any such requirements or (d) any other compensation recovery or clawback policies as may be adopted from time to time by the Company, all to the extent determined by the
Committee in its discretion to be applicable to a Participant. 
 SECTION 19. EFFECTIVE DATE 

The Plan will become effective on the date the Board adopts the Plan (the “Effective Date”); provided, however, that no Awards may be
granted prior to the IPO Date. If the shareholders of the Company do not approve the Plan within 12 months after the Effective Date, any Incentive Stock Options granted under the Plan shall be treated as Nonqualified Stock Options. 

  
 -16- 

 APPENDIX A 

DEFINITIONS 
 As used in the Plan, 

“Acquired Entity” means any entity acquired by the Company or a Related Company or with which the Company or a Related Company merges
or combines. 
 “Award” means any Option, Stock Appreciation Right, Stock Award, Restricted Stock, Stock Unit, Performance Share,
Performance Unit, cash-based award or other incentive payable in cash or in shares of Common Stock as may be designated by the Committee from time to time. 

“Board” means the Board of Directors of the Company. 

“Cause,” unless otherwise defined in the instrument evidencing an Award or in a written employment, services or other agreement
between the Participant and the Company or a Related Company, means dishonesty, fraud, serious or willful misconduct, unauthorized use or disclosure of confidential information or trade secrets, or conduct prohibited by law (except minor
violations), in each case as determined by the Company’s chief human resources officer or other person performing that function or, in the case of directors and executive officers, the Compensation Committee, whose determination shall be
conclusive and binding. 
 “Change in Control,” unless the Committee determines otherwise with respect to an Award at the
time the Award is granted or unless otherwise defined for purposes of an Award in a written employment, services or other agreement between the Participant and the Company or a Related Company, means the occurrence of any of the following events:

  

	(a)	an acquisition by any Entity of beneficial ownership (within the meaning of Rule 13d-3 promulgated under the Exchange Act) of 50% or more of either (1) the number of then
outstanding shares of Common Stock (the “Outstanding Company Common Stock”) or (2) the combined voting power of the then outstanding voting securities of the Company entitled to vote generally in the election of
directors (the “Outstanding Company Voting Securities”); provided, however, that the following acquisitions shall not constitute a Change in Control: (i) any acquisition directly from the Company, other than an
acquisition by virtue of the exercise of a conversion privilege where the security being so converted was not acquired directly from the Company by the party exercising the conversion privilege, (ii) any acquisition by the Company,
(iii) any acquisition by any employee benefit plan (or related trust) sponsored or maintained by the Company or any Related Company, (iv) any additional acquisition by an Entity then considered to own more than 50% of the Outstanding
Company Common Stock or Outstanding Company Voting Securities; or (v) any acquisition by any Entity pursuant to a transaction that meets the conditions of clauses (i), (ii) and (iii) set forth in the definition of Company Transaction;

  

	(b)	 a change in the composition of the Board during any two-year period such
that the individuals who, as of the beginning of such two-year period, constitute the Board (the “Incumbent Board”) cease for any reason to constitute at least a majority of the Board;
provided, however, that for purposes of this definition, any individual who becomes a member of the Board subsequent to the beginning of the two-year period, whose election, or nomination for election by the
Company’s shareholders, was approved by a vote of at least a majority of those individuals who are members 

  

	 	
of the Board and who were also members of the Incumbent Board (or deemed to be such pursuant to this proviso) shall be considered as though such individual were a member of the Incumbent Board;
and provided further, however, that any such individual whose initial assumption of office occurs as a result of or in connection with an actual or threatened election contest with respect to the election or removal of directors or other actual or
threatened solicitation of proxies or consents by or on behalf of an Entity other than the Board shall not be considered a member of the Incumbent Board; or 

  

	(c)	the consummation of a Company Transaction. 

 Where a series of transactions undertaken with a common purpose is
deemed to be a Change in Control, the date of such Change in Control shall be the date on which the last of such transactions is consummated. 

“Code” means the Internal Revenue Code of 1986, as amended from time to time. Any reference to a section of the Code will be deemed to
include a reference to any regulations promulgated thereunder. 
 “Committee” has the meaning set forth in Section 3.1. 

“Common Stock” means the common stock, par value $0.0001 per share, of the Company. 

“Company” means Avalara, Inc., a Washington corporation. 

“Company Transaction,” unless the Committee determines otherwise with respect to an Award at the time the Award is granted or
unless otherwise defined for purposes of an Award in a written employment, services or other agreement between the Participant and the Company or a Related Company, means consummation of: 

 

	(a)	a merger or consolidation of the Company with or into any other company; 

  

	(b)	a statutory share exchange pursuant to which all of the Company’s outstanding shares are acquired or a sale in one transaction or a series of transactions undertaken with a common purpose of all of the Outstanding
Company Voting Securities; or 

  

	(c)	a sale, lease, exchange or other transfer in one transaction or a series of related transactions undertaken with a common purpose of all or substantially all of the Company’s assets, 

excluding, however, in each case, any such transaction pursuant to which 
  

	(i)	the Entities who are the beneficial owners of the Outstanding Company Common Stock and the Outstanding Company Voting Securities immediately prior to such transaction will beneficially own, directly or indirectly, at
least 50% of the outstanding shares of common stock, and the combined voting power of the then outstanding voting securities entitled to vote generally in the election of directors, of the Successor Company in substantially the same proportions as
their ownership, immediately prior to such transaction, of the Outstanding Company Common Stock and the Outstanding Company Voting Securities; 

  

	(ii)	no Entity (other than the Company, any employee benefit plan (or related trust) of the Company, a Related Company or a Successor Company) will beneficially own, directly or indirectly, more than 50% of the outstanding
shares of common stock of the Successor Company or the combined voting power of the outstanding voting securities of the Successor Company entitled to vote generally in the election of directors, unless such ownership resulted solely from ownership
of securities of the Company prior to such transaction; and 

  
 A-2 

	(iii)	individuals who were members of the Incumbent Board will immediately after the consummation of such transaction constitute at least a majority of the members of the board of directors of the Successor Company.

 Where a series of transactions undertaken with a common purpose is deemed to be a Company Transaction, the date of such Company Transaction
shall be the date on which the last of such transactions is consummated. 
 “Compensation Committee” means the Compensation and
Leadership Development Committee of the Board (or a subcommittee thereof of at least two members). 
 “Disability,” unless otherwise
defined by the Committee for purposes of the Plan in the instrument evidencing an Award or in a written employment, services or other agreement between the Participant and the Company or a Related Company, means a mental or physical impairment of
the Participant that is expected to result in death or that has lasted or is expected to last for a continuous period of 12 months or more and that causes the Participant to be unable to perform his or her material duties for the Company or a
Related Company and to be engaged in any substantial gainful activity, in each case as determined by the Company’s chief human resources officer or other person performing that function or, in the case of directors and executive officers, the
Compensation Committee, whose determination shall be conclusive and binding. 
 “Effective Close Date” the date of the closing of an
initial public offering of the Common Stock. 
 “Effective Date” has the meaning set forth in Section 19. 

“Eligible Person” means any person eligible to receive an Award as set forth in Section 5. 

“Entity” means any individual, entity or group (within the meaning of Section 13(d)(3) or Section 14(d)(2) of the Exchange
Act). 
 “Exchange Act” means the Securities Exchange Act of 1934, as amended from time to time. 

“Fair Market Value” means, as of any given date, (a) if the principal market for the Common Stock is a national securities
exchange or an established securities market, the closing sales price per share of Common Stock during regular session trading, or if not trading on that date, such price on the last preceding date on which the Common Stock was traded;
(b) if the principal market for the Common Stock is not a national securities exchange or an established securities market, the average of the highest bid and lowest asked prices for the Common Stock as reported on a national quotation system,
or if not quoted on that date, such price on the last preceding date on which the prices were quoted; or (c) the per share value otherwise determined by the Committee using such reasonable methods or procedures as it may establish. 

“Grant Date” means the later of (a) the date on which the Committee completes the corporate action authorizing the grant
of an Award or such later date specified by the Committee and (b) the date on which all conditions precedent to an Award have been satisfied, provided that conditions to the exercisability or vesting of Awards shall not defer the Grant Date.

 “Incentive Stock Option” means an Option granted with the intention that it qualify as an “incentive stock
option” as that term is defined for purposes of Section 422 of the Code or any successor provision. 

  
 A-3 

 “Incumbent Board” has the meaning set forth in the definition of “Change in
Control.” 
 “IPO Date” means the date of the underwriting agreement between the Company and the underwriter(s) managing the
initial public offering of the Common Stock, pursuant to which the Common Stock is priced for the initial public offering. 
 “Nonqualified Stock
Option” means an Option other than an Incentive Stock Option. 
 “Option” means a right to purchase
Common Stock granted under Section 7. 
 “Option Expiration Date” means the last day of the maximum term of an Option.

 “Outstanding Company Common Stock” has the meaning set forth in the definition of “Change in Control.” 

“Outstanding Company Voting Securities” has the meaning set forth in the definition of “Change in Control.” 

“Parent Company” means a company or other entity which as a result of a Change in Control or Company Transaction owns the Company or
all or substantially all of the Company’s assets either directly or through one or more subsidiaries. 
 “Participant” means
any Eligible Person to whom an Award is granted. 
 “Performance Share” means an Award of units denominated in shares of Common
Stock granted under Section 11.1. 
 “Performance Unit” means an Award of units denominated in cash or property other than
shares of Common Stock granted under Section 11.2. 
 “Plan” means the Avalara, Inc. 2018 Equity Incentive Plan, as amended
from time to time. 
 “Related Company” means any entity that is directly or indirectly controlled by, in control of or under
common control with the Company. 
 “Restricted Stock” means an Award of shares of Common Stock granted under Section 10, the
rights of ownership of which are subject to restrictions prescribed by the Committee. 
 “Restricted Stock Unit” means a
Stock Unit subject to restrictions prescribed by the Committee. 
 “Section 409A” means
Section 409A of the Code, including any regulations and other guidance issued thereunder by the Department of the Treasury and/or the Internal Revenue Service. 

“Securities Act” means the Securities Act of 1933, as amended from time to time. 

“Stock Appreciation Right” or “SAR” means a right granted under Section 9.1 to receive the excess of the
Fair Market Value of a specified number of shares of Common Stock over the grant price. 
 “Stock Award” means an Award of shares of
Common Stock granted under Section 10, the rights of ownership of which are not subject to restrictions prescribed by the Committee. 

  
 A-4 

 “Stock Unit,” including a Restricted Stock Unit, means an Award denominated in units of
Common Stock granted under Section 10. 
 “Substitute Awards” means Awards granted or shares of Common Stock issued by the
Company in substitution or exchange for awards previously granted by an Acquired Entity. 
 “Successor Company” means the
surviving company, the successor company or Parent Company, as applicable, in connection with a Change in Control or Company Transaction. 

“Termination of Service” means a termination of employment or service relationship with the Company or a Related Company for any
reason, whether voluntary or involuntary, including by reason of death or Disability. Any question as to whether and when there has been a Termination of Service for the purposes of an Award and the cause of such Termination of Service shall be
determined by the Company’s chief human resources officer or other person performing that function or, with respect to directors and executive officers, by the Compensation Committee, whose determination shall be conclusive and binding.
Transfer of a Participant’s employment or service relationship between the Company and any Related Company shall not be considered a Termination of Service for purposes of an Award. Unless the Compensation Committee determines otherwise, a
Termination of Service shall be deemed to occur if the Participant’s employment or service relationship is with an entity that has ceased to be a Related Company. A Participant’s change in the capacity in which the Participant renders
service to the Company or a Related Company shall not be considered a Termination of Service, such as a change in status from an employee of the Company or a Related Company to a nonemployee director, consultant, advisor, or independent contractor
of the Company or a Related Company, or a change in status from a nonemployee director, consultant, advisor or independent contractor of the Company or a Related Company to an employee of the Company or a Related Company. 

“Vesting Commencement Date” means the Grant Date or such other date selected by the Committee as the date from which an Award begins
to vest. 

  
 A-5 

 AVALARA, INC. 

2018 EQUITY INCENTIVE PLAN 

GLOBAL STOCK OPTION GRANT NOTICE 

Avalara, Inc. (the “Company”) hereby grants to you a stock option (the “Option”) to purchase
shares of the Company’s Common Stock under the Company’s 2018 Equity Incentive Plan (the “Plan”). The Option is subject to all the terms and conditions set forth in this Global Stock Option Grant Notice (this
“Grant Notice”), the Global Stock Option Agreement, including any special terms and conditions for your country set forth in the appendix thereto (the “Appendix,” and together with the Grant Notice and
the Global Stock Option Agreement, the “Agreement”), and the Plan, all of which are incorporated into this Grant Notice in their entirety. 
  

			
	Participant:	  	  

		
	Grant Date:	  	  

		
	Number of Shares Subject to Option:	  	  

		
	Vesting Commencement Date:	  	  

		
	Exercise Price Per Share:	  	  

		
	Total Exercise Price:	  	  

		
	Option Expiration Date1:	  	  

		
	Type of Option:	  	 ☐ Nonqualified Stock Option
 ☐
Incentive Stock Option2

		
	Vesting and Exercisability Schedule3:	  	[Insert applicable vesting schedule]

 Additional Terms/Acknowledgement: You acknowledge receipt of, and understand and agree to, the Agreement and the Plan.
You further acknowledge that as of the Grant Date, the Agreement and the Plan set forth the entire understanding between you and the Company regarding the Option and supersede all prior oral and written agreements on the subject. 

 

			
	 AVALARA, INC.
  

By:                         
                                         
          

Name:                         
                                         
      

Title:                         
                                         
       
  
	  	 PARTICIPANT
  

 
 [Name of Participant]

	Date:                                     
                                    	  	Date:                                     
                                         
                              

  

	1 	Subject to earlier termination in accordance with the terms of the Plan and the Global Stock Option Agreement. 

	2 	See Sections 3 and 4 of the Global Stock Option Agreement. 

	3 	Subject to continued employment or service. 

 AVALARA, INC. 

2018 EQUITY INCENTIVE PLAN 

GLOBAL STOCK OPTION AGREEMENT 

Pursuant to your Global Stock Option Grant Notice (the “Grant Notice”) and this Global Stock Option Agreement,
including any special terms and conditions for your country as set forth in the appendix hereto (the “Appendix,” and together with the Grant Notice and the Global Stock Option Agreement, the
“Agreement”), Avalara, Inc. (the “Company”) has granted you a stock option (the “Option”) under its 2018 Equity Incentive Plan (the “Plan”) to
purchase the number of shares of the Company’s Common Stock indicated in the Grant Notice (the “Shares”) at the exercise price indicated in the Grant Notice. This Agreement is made pursuant to the provisions of the Plan
and will in all respects be construed in conformity with the express terms and provisions of the Plan. Capitalized terms not defined in this Agreement but defined in the Plan have the same definitions as in the Plan. 

The details of the Option, in addition to those set forth in the Grant Notice, the Appendix, and the Plan, are as follows: 

1. Vesting and Exercisability. Subject to the limitations contained herein, the Option will vest and become exercisable as
provided in your Grant Notice. Upon your Termination of Service for any reason, as further described in Section 7 of this Global Stock Option Agreement, vesting will cease, and the unvested portion of the Option will terminate. 

2. Compliance with Law. Notwithstanding any other provision of this Agreement, you may not exercise the Option unless the Shares
issuable upon exercise are registered under the Securities Act or, if such Shares are not then so registered, the Company has determined that such exercise and issuance would be exempt from the registration requirements of the Securities Act. The
exercise of the Option must also comply with all other applicable laws and regulations governing the Option, including any U.S. and non-U.S. state, federal and local laws, and you may not exercise the Option
if the Company determines that such exercise would not be in material compliance with such laws and regulations. Sales of the Shares are also subject to compliance with other laws and regulations, including, but not limited to, U.S. and non-U.S. securities, exchange control, insider trading and market abuse laws, and with the Company’s insider trading policy. 

You understand that the Company is under no obligation to register or qualify the Shares with the U.S. Securities Exchange Commission or any
state or foreign securities commission or to seek approval or clearance from any governmental authority for the issuance or sale of the Shares. Further, you agree that the Company will have unilateral authority to amend the Plan and the Agreement
without your consent to the extent necessary to comply with securities or other laws applicable to issuance of Shares. 
 3.
Incentive Stock Option Qualification. If so designated in your Grant Notice, all or a portion of the Option is intended to qualify as an Incentive Stock Option under U.S. federal income tax law, but the Company does not represent or guarantee
that the Option qualifies as such. If the Option has been designated as an Incentive Stock Option and the aggregate Fair Market Value (determined as of the grant date) of the shares of Common Stock subject to the portions of the Option and all other
Incentive Stock Options you hold that first become exercisable during any calendar year exceeds $100,000, any excess portion will be treated as a Nonqualified Stock Option, unless the Internal Revenue Service changes the rules and regulations
governing the $100,000 limit for Incentive Stock Options. If you are a U.S. taxpayer, you may be subject to the U.S. alternative minimum tax at the time of exercise of an Incentive Stock Option. 

 4. Notice of Disqualifying Disposition. To the extent the Option has been
designated as an Incentive Stock Option, to obtain certain U.S. tax benefits afforded to Incentive Stock Options, you must hold the Shares issued upon the exercise of the Option for two years after the Grant Date and one year after the date of
exercise. By accepting the Option, provided you are a U.S. taxpayer, you agree to promptly notify the Company if you dispose of any of the Shares within one year from the date you exercise all or part of the Option or within two years from the Grant
Date. 
 5. Method of Exercise. You may exercise the Option by giving written notice to the Company, in form and substance
satisfactory to the Company, which will state your election to exercise the Option and the number of whole Shares for which you are exercising the Option, and by completing such other documents and procedures as may be required by the Company for
exercise of the Option. The notice must be accompanied by full payment of the exercise price for the number of Shares you are purchasing. You may make this payment in any one or combination of the following: 

(a) by cash; 
 (b) by check
acceptable to the Company; 
 (c) if permitted by the Committee and to the extent permitted by applicable law, for Nonqualified Stock Options
only, by having the Company withhold Shares that would otherwise be issued on exercise of the Option that have a Fair Market Value on the date of exercise of the Option equal to the exercise price of the Option; 

(d) if permitted by the Committee and to the extent permitted by applicable law, by using shares of Common Stock you already own; 

(e) if the Common Stock is registered under the Exchange Act and to the extent permitted by applicable law, by instructing a broker to deliver
to the Company the total payment required, all in accordance with the regulations of the Federal Reserve Board; or 
 (f) by any other method
permitted by the Committee, to the extent permitted by applicable law. 
 Please note that the Company is under no obligation to issue or
deliver Shares under the Plan unless, in the opinion of the Company’s counsel, such issuance, delivery or distribution would comply with all applicable laws (including, without limitation, the requirements of the Securities Act or the
applicable laws of any U.S. or non-U.S. local, state or federal jurisdiction) and the applicable requirements of any securities exchange or similar entity. 

6. Market Standoff. You agree that any Shares received upon exercise of the Option will be subject to the market standoff
restrictions on transfer set forth in the Plan. 
 7. Treatment upon Termination of Employment or Service Relationship. The
unvested portion of the Option will terminate automatically and without further notice immediately upon your Termination of Service. You may exercise the vested portion of the Option as follows: 

(a) General Rule. You must exercise the vested portion of the Option on or before the earlier of (i) three
(3) months after your Termination of Service and (ii) the Option Expiration Date; 

  
 -2- 

 (b) Disability. In the event of your Termination of Service due to
Disability, you must exercise the vested portion of the Option on or before the earlier of (i) twelve (12) months after your Termination of Service and (ii) the Option Expiration Date; 

(c) Death. In the event of your Termination of Service due to your death, the vested portion of the Option must be
exercised on or before the earlier of (i) eighteen (18) months after your Termination of Service and (ii) the Option Expiration Date. If you die after your Termination of Service but while the Option is still exercisable, the vested
portion of the Option may be exercised until the earlier of (x) eighteen (18) months after the date of death and (y) the Option Expiration Date; and 

(d) Cause. The vested portion of the Option will automatically expire at the time the Company first notifies you of
your Termination of Service for Cause, unless the Committee determines otherwise. If your employment or service relationship is suspended pending an investigation of whether you will be terminated for Cause, all your rights under the Option likewise
will be suspended during the period of investigation. If any facts that would constitute termination for Cause are discovered after your Termination of Service, any Option you then hold may be immediately terminated by the Committee. 

The Option must be exercised within three (3) months after termination of employment for reasons other than death or disability and
twelve (12) months after termination of employment due to disability to qualify for the beneficial tax treatment afforded Incentive Stock Options. For purposes of the preceding, “disability” has the meaning attributed to that term for
purposes of Section 422 of the Code. 
 For purposes of the Option, Termination of Service will be considered to occur as of the date
you are no longer actively providing services to the Company or, if different, the Related Company that employs you or for which you otherwise provide services (the “Service Recipient”), or any other Related Company
(regardless of the reason for such termination and whether or not later found to be invalid or in breach of employment laws in the jurisdiction where you are employed or otherwise rendering services or the terms of your employment or service
agreement, if any). Unless otherwise determined by the Company, (i) your right to vest in the Option, if any, will cease as of this date, and (ii) your right to exercise the Option after Termination of Service, if any, will be measured
from this date, and such date will not be extended by any notice period (e.g., your period of service would not include any contractual notice period or any period of “garden leave” or similar period mandated under employment laws
in the jurisdiction where you are employed or otherwise rendering services, or the terms of your employment or service agreement, if any). 

It is solely your responsibility to be aware of the date the Option terminates and is no longer exercisable. The Company has no obligation
to notify you of such date. 
 8. Limited Transferability. During your lifetime only, you can exercise the Option. The
Option is not transferable except by will or by the applicable laws of descent and distribution. The Plan provides for exercise of the Option by a beneficiary designated on a Company-approved form (provided the beneficiary designation is valid under
applicable law) or the personal representative of your estate. Notwithstanding the foregoing, and to the extent permitted by the Plan and Section 422 of the Code with respect to Incentive Stock Options, the Committee, in its sole discretion,
may permit you to assign or transfer the Option, subject to such terms and conditions as specified by the Committee. 
 9.
Withholding Taxes. Regardless of any action taken by the Company or the Service Recipient, the ultimate liability for all income tax, social insurance, payroll tax, fringe benefits tax, payment on account or other tax-related items related to you participation in the Plan and legally applicable to you or deemed by the Company or the Service Recipient in its discretion to be an appropriate charge to you even if legally
applicable to the Company or the Service Recipient 

  
 -3- 

 
(“Tax-Related Items”) is and remains your responsibility and may exceed the amount actually withheld, if any, by the
Company or the Service Recipient. You further acknowledge that the Company and/or the Service Recipient (1) make no representations or undertakings regarding the treatment of any Tax-Related Items
in connection with any aspect of the Option, including, but not limited to, the grant, vesting or exercise of the Option, the subsequent sale of Shares acquired pursuant to such exercise and the receipt of any dividends; and (2) do not commit
to and are under no obligation to structure the terms of the grant or any aspect of the Option to reduce or eliminate your liability for Tax-Related Items or achieve any particular tax result. Further, if you
are subject to Tax-Related Items in more than one jurisdiction, the Company and/or the Service Recipient (or former Service Recipient, as applicable) may be required to withhold or account for Tax-Related Items in more than one jurisdiction. 
 You agree to make adequate arrangements satisfactory
to the Company and/or the Service Recipient, as applicable, prior to any relevant taxable or tax withholding event, as applicable, to satisfy all Tax-Related Items. In this regard, you authorize the Company
and/or the Service Recipient, or their respective agents, at their discretion, to satisfy any applicable withholding obligations with regard to all Tax-Related Items by one or a combination of the following:

 (a) withholding from your wages or other cash compensation paid to you by the Company and/or the Service Recipient; 

(b) withholding from proceeds of the sale of Shares acquired upon exercise of the Option either through a voluntary sale or through a mandatory
sale arranged by the Company (on your behalf pursuant to this authorization without further consent); 
 (c) withholding Shares to be issued
upon exercise of the Option; or 
 (d) any other method of withholding determined by the Company and permitted by applicable law. 

The Company may withhold or account for Tax-Related Items by considering applicable minimum statutory
withholding rates or other applicable withholding rates, including maximum applicable rates in your jurisdiction(s), in which case you may receive a refund of any over-withheld amount in cash and will have no entitlement to the equivalent in Common
Stock. If the obligation for Tax-Related Items is satisfied by withholding Shares, for tax purposes, you are deemed to have been issued the full number of Shares for which the Option was exercised,
notwithstanding that a number of the Shares are held back solely for the purpose of paying the Tax-Related Items. 

The Company may refuse to issue or deliver the Shares or the proceeds of the sale of Shares if you fail to comply with your obligations in
connection with the Tax-Related Items. 
 10. Option Not an Employment or Service
Contract. Nothing in the Plan or this Agreement will be deemed to constitute any employment or service contract with the Company, or confer or be deemed to confer any right for you to continue in the employ of, or to continue any other
relationship with, the Service Recipient, or limit in any way the right of the Service Recipient to terminate your employment or other relationship at any time, with or without cause. 

11. Nature of Grant. By accepting the Option, you acknowledge, understand and agree that: 

(a) the Plan is established voluntarily by the Company, it is discretionary in nature and it may be modified, amended, suspended or terminated
by the Company at any time, to the extent permitted by the Plan; 

  
 -4- 

 (b) the grant of the Option is exceptional, voluntary and occasional and does not create any
contractual or other right to receive future grants of stock options, or benefits in lieu of stock options, even if stock options have been granted in the past; 

(c) all decisions with respect to future stock option or other grants, if any, will be at the sole discretion of the Company; 

(d) you are voluntarily participating in the Plan; 

(e) the Option and the Shares subject to the Option, and the income from and value of same, are not intended to replace any pension rights or
compensation; 
 (f) the Option and the Shares subject to the Option, and the income from and value of same, are not part of normal or
expected compensation for purposes of calculating any severance, resignation, termination, redundancy, dismissal, end-of-service payments, bonuses, long-service awards,
holiday pay, holiday top-up, pension or retirement or welfare benefits or similar mandatory payments; 

(g) unless otherwise agreed with the Company, the Option and the Shares subject to the Option, and the income from and value of same, are not
granted as consideration for, or in connection with, the service you may provide as a director of a non-U.S. Related Company; 

(h) the future value of the underlying Shares is unknown, indeterminable and cannot be predicted with certainty; 

(i) if the Shares subject to the Option do not increase in value after the Grant Date, the Option will have no value; 

(j) if you exercise the Option and acquire Shares, the value of such Shares may increase or decrease, even below the exercise price; and 

(k) the following provisions apply only if you are providing services outside of the United States: 

i. the Option and the Shares subject to the Option, and the income from and value of same, are not part of normal or expected compensation for
any purpose; and 
 ii. neither the Company, the Service Recipient nor any other Related Company will be liable for any foreign exchange
rate fluctuation between your local currency and the United States Dollar that may affect the value of the Option or of any amounts due to you pursuant to the exercise of the Option or the subsequent sale of any Shares acquired upon exercise. 

  
 -5- 

 12. Data Privacy Information and Consent. 

(a) Data Collection and Usage. The Company and the Service Recipient may collect, process and use certain personal information
about you, including, but not limited to, your name, home address and telephone number, email address, date of birth, social insurance, passport or other identification number, salary, nationality, job title, any Shares or directorships held in the
Company, details of all stock options or any other entitlement to Shares awarded, canceled, exercised, vested, unvested or outstanding in your favor (“Data”), for the purposes of implementing, administering and managing the Plan. The legal
basis, where required, for the processing of Data is your consent. 
 (b) Stock Plan Administration Service Providers.
The Company transfers Data to E*TRADE Securities LLC and its affiliated companies (“E*TRADE”), an independent service provider based in the United States, which is assisting the Company with the implementation, administration and
management of the Plan. The Company may select a different service provider or additional service providers and share Data with such other provider(s) serving in a similar manner. You may be asked to agree on separate terms and data processing
practices with the service provider, with such agreement being a condition to the ability to participate in the Plan. 
 (c)
International Data Transfers. The Company and its service providers are based in the United States. Your country or jurisdiction may have different data privacy laws and protections than the United States. For example, the European Commission
has issued a limited adequacy finding with respect to the United States that applies only to the extent companies register for the EU-U.S. Privacy Shield program. The Company’s legal basis, where
required, for the transfer of Data is your consent. 
 (d) Data Retention. The Company will hold and use Data only as
long as is necessary to implement, administer and manage your participation in the Plan, or as required to comply with legal or regulatory obligations, including under tax and security laws. 

(e) Voluntariness and Consequences of Consent Denial or Withdrawal. Participation in the Plan is voluntary, and you are providing
the consents herein on a purely voluntary basis. If you do not consent, or if you later seek to revoke your consent, your salary from or employment and career with the Service Recipient will not be affected; the only consequence of refusing or
withdrawing your consent is that the Company would not be able to grant the Option or other equity awards to you or administer or maintain such awards. 

(f) Data Subject Rights. You may have a number of rights under data privacy laws in your jurisdiction. Depending on where you are
based, such rights may include the right to (i) request access or copies of Data the Company processes, (ii) rectification of incorrect Data, (iii) deletion of Data, (iv) restrictions on processing of Data, (v) portability
of Data, (vi) lodge complaints with competent authorities in your jurisdiction, and/or (vii) receive a list with the names and addresses of any potential recipients of Data. To receive clarification regarding these rights or to exercise
these rights, you can contact your local human resources representative. 
 By accepting the Option and indicating consent via
the Company’s acceptance procedure, you are declaring that you agree with the data processing practices described herein and consent to the collection, processing and use of Data by the Company and the transfer of Data to the recipients
mentioned above, including recipients located in countries which do not adduce an adequate level of protection from a European (or other non-U.S.) data protection law perspective, for the purposes described
above. 

  
 -6- 

 Finally, upon request of the Company or the Service Recipient, you agree to provide an
executed data privacy consent form (or any other agreements or consents) that the Company and/or the Service Recipient may deem necessary to obtain from you for the purpose of administering your participation in the Plan in compliance with the data
privacy laws in your country, either now or in the future. You understand and agree that you will not be able to participate in the Plan if you fail to provide any such consent or agreement requested by the Company and/or the Service Recipient.

 13. No Right to Damages. You will have no right to bring a claim or to receive damages if you are required to
exercise the vested portion of the Option within the applicable time period set forth in the Agreement following your Termination of Service or if any portion of the Option is cancelled or expires unexercised. The loss of existing or potential
profit in the Option will not constitute an element of damages in the event of your Termination of Service for any reason, even if the termination is in violation of an obligation of the Company or a Related Company to you. 

14. No Shareholder Rights. Neither you nor any person entitled to exercise your rights under the Option in the event of your
death will have any rights of a shareholder with respect to the Shares subject to the Option unless and until the date of issuance of any Shares issuable upon exercise of the Option. 

15. Notices. Any notice which either party hereto may be required or permitted to give to the other will be in writing and may be
delivered personally, by interoffice mail, by fax, by electronic mail or other electronic means, or via a postal service, postage prepaid, which, with respect to notices to you, will be provided to you at your electronic mail or postal address as
shown on the records of the Company from time to time, or at such other electronic mail or postal address as you, by notice to the Company, may designate in writing from time to time. 

16. No Advice Regarding Grant. The Company is not providing any tax, legal or financial advice, nor is the Company making any
recommendations regarding your participation in the Plan or your acquisition or sale of Shares underlying the Option. You should consult with your own personal tax, legal and financial advisors regarding your participation in the Plan before taking
any action related to the Plan. 
 17. Recovery of Compensation. In accordance with Section 18.13 of the Plan, the Option
is subject to the requirements of (a) Section 954 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (regarding recovery of erroneously awarded compensation) and any implementing rules and regulations thereunder,
(b) similar rules under the laws of any other jurisdiction, (c) any compensation recovery or clawback policies adopted by the Company to implement any such requirements or (d) any other compensation recovery or clawback policies as
may be adopted from time to time by the Company, all to the extent determined by the Committee in its discretion to be applicable to you and/or required by applicable law. 

18. Successors and Assigns. The Company may assign its rights under this Agreement at any time, whether or not such rights are
then exercisable, to any person or entity selected by the Company’s Board of Directors. This Agreement will inure to the benefit of the successors and assigns of the Company and be binding upon you and your heirs, executors, administrators,
successors and assigns, whether or not any such persons will have become a party to this Agreement and agreed in writing to join herein and be bound by the terms and conditions hereof. 

  
 -7- 

 19. Imposition of Other Requirements. The Company reserves the right to impose
other requirements on your participation in the Plan, on the Option and on any Shares acquired under the Plan, to the extent the Company determines it is necessary or advisable for legal or administrative reasons, and to require you to sign any
additional agreements or undertakings that may be necessary to accomplish the foregoing. 
 20. No Waiver. No waiver of any
provision of this Agreement will be valid unless in writing and signed by the person against whom such waiver is sought to be enforced, nor will failure to enforce any right hereunder constitute a continuing waiver of the same or a waiver of any
other right hereunder. 
 21. Section 409A Compliance; No Obligation to Minimize Taxes. Notwithstanding any provision in the
Plan or this Agreement to the contrary, the Committee may, at any time and without your consent, modify the terms of the Option as it determines appropriate to avoid the imposition of interest or penalties under Section 409A of the Code;
provided, however, that the Company makes no representations that the Option will be exempt from or comply with Section 409A of the Code and makes no undertaking to preclude Section 409A of the Code from applying to the Option. Further,
the Company has no duty or obligation to minimize your liability for any tax consequences arising from the Option and will not be liable to you for any such tax consequences arising in connection with the Option. By executing the Grant Notice, you
agree that you will be deemed to have waived any claims against the Company with respect to any such tax consequences. 
 22.
Counterparts. The Grant Notice may be executed in two or more counterparts, each of which will be deemed an original, but which, upon execution, will constitute one and the same instrument. 

23. Electronic Delivery and Acceptance. The Company may, in its sole discretion, decide to deliver any documents related to
current or future participation in the Plan by electronic means. You hereby consent to receive such documents by electronic delivery and agree to participate in the Plan through an online or electronic system established and maintained by the
Company or a third party designated by the Company. 
 24. Appendix for Non-U.S.
Participants. Notwithstanding any provision in this Global Stock Option Agreement, any stock options granted under the Plan will be subject to any special terms and conditions for your country set forth in the Appendix attached hereto. Moreover,
if you relocate to one of the countries included in the Appendix, the special terms and conditions for such country will apply to you, to the extent the Company determines that the application of such terms and conditions is necessary or advisable
for legal or administrative reasons. The Appendix constitutes part of this Global Stock Option Agreement. 
 25. Language. You
acknowledge and represent that you are proficient in the English language or have consulted with an advisor who is sufficiently proficient in English, as to allow you to understand the terms of this Agreement and any other documents related to the
Plan. If you have received this Agreement or any other document related to the Plan translated into a language other than English and if the meaning of the translated version is different from the English version, the English version will control.

 26. Insider Trading/Market Abuse Laws. You may be subject to insider trading restrictions and/or market abuse laws in
applicable jurisdictions, including the United States and, if different, your country, your broker’s country and/or the country where Shares are listed, which may affect your ability to accept or otherwise acquire, or sell, attempt to sell or
otherwise dispose of, Shares or 

  
 -8- 

 
rights to Shares (e.g., the Option) under the Plan or rights linked to the value of Shares (e.g., phantom awards, futures) during such times as you are considered to have
“inside information” regarding the Company (as defined by the laws or regulations in the applicable jurisdiction) or the trade in Shares or the trade in rights to Shares under the Plan. Local insider trading laws and regulations may
prohibit the cancellation or amendment of orders you place before you possessed inside information. Furthermore, you could be prohibited from (1) disclosing the inside information to any third party and (2) “tipping” third parties or
otherwise causing them to buy or sell securities; “third parties” includes fellow employees. Any restrictions under these laws or regulations are separate from and in addition to any restrictions that may be imposed under any applicable
Company insider trading policy. It is your responsibility to comply with any applicable restrictions and you are advised to speak to your personal advisor on this matter. 

27. Foreign Asset/Account Reporting Requirements and Exchange Controls. You acknowledge that your country may have certain
foreign asset and/or foreign account reporting requirements and exchange controls which may affect your ability to acquire or hold Shares purchased under the Plan or cash received from participating in the Plan (including from any dividends paid on
or sales proceeds arising from the sale of Shares acquired under the Plan) in a brokerage or bank account outside your country. You may be required to report such accounts, assets or transactions to the tax or other authorities in your country. You
also may be required to repatriate sale proceeds or other funds received as a result of your participation in the Plan to your country through a designated bank or broker within a certain time after receipt. You acknowledge that it is your
responsibility to be compliant with such regulations, and you are advised to consult your personal legal advisor for any details. 

  
 -9- 

 AVALARA, INC. 

APPENDIX 
 TO 

2018 EQUITY INCENTIVE PLAN 

GLOBAL STOCK OPTION AGREEMENT 

Capitalized terms used but not defined herein shall have the meanings ascribed to them in the Plan and/or the Global Stock Option Agreement to
which this Appendix is attached. 
 Terms and Conditions 

This Appendix includes additional terms and conditions that govern the Option granted to you under the Plan if you reside and/or work in one of
the countries listed below. 
 If you are a citizen or resident of a country other than the one in which you are currently working and/or
residing, transfer to another country after the Grant Date, or are considered a resident of another country for local law purposes, the Company shall, in its discretion, determine the extent to which the special terms and conditions contained herein
apply to you. 
 Notifications 

This Appendix also includes information regarding exchange controls and certain other issues of which you should be aware with respect to your
participation in the Plan. The information is based on the securities, exchange control and other laws in effect in the respective countries as of April 2018. Such laws are often complex and change frequently. As a result, the Company strongly
recommends that you not rely on the information noted herein as the only source of information relating to the consequences of your participation in the Plan because the information may be out of date by the time you exercise the Option or sell the
Shares acquired under the Plan. 
 In addition, the information contained in this Appendix is general in nature and may not apply to your
particular situation, and the Company is not in a position to assure you of any particular result. Accordingly, you are advised to seek appropriate professional advice as to how the applicable laws in your country may apply to your situation. 

Finally, you understand that if you are a citizen or resident of a country other than the one in which you currently reside and/or work,
transfer to another country after the Grant Date, or are considered a resident of another country for local law purposes, the notifications contained herein may not apply to you in the same manner. 

 CANADA 

Terms and Conditions 
 Method of Exercise.
Notwithstanding Sections 5(c) and (d) of the Global Stock Option Agreement and Sections 7.5(c) and (d) of the Plan, you are not permitted to pay the Exercise Price with previously owned Shares or with Shares to be issued upon exercise of
the Option. 
 Termination of Employment. The following provision replaces the corresponding paragraph in Section 7 of the Global Stock Option
Agreement: 
 For purposes of the Option, and except as expressly required by applicable legislation, your Termination of Service (regardless of the reason
for such termination and whether or not later found to be invalid or in breach of employment laws in the jurisdiction where you are employed or providing services, or the terms of your employment or service agreement, if any) will be deemed to have
occurred as of the earliest of: (a) the date your employment or service relationship is terminated; (b) the date that you receive notice of termination of your employment or service relationship; and (c) the date that you are no
longer actively providing services to the Service Recipient, the Company or any other Related Company, regardless of any notice period or period of pay in lieu of such notice required under applicable employment law in the jurisdiction where you are
employed or providing services or the terms of your employment agreement, if any. 
 The following provisions apply to residents of Quebec: 

Data Privacy. The following provision supplements Section 12 of the Global Stock Option Agreement: 

You hereby authorize the Company and the Company’s representatives to discuss with and obtain all relevant information from all personnel, professional
or non-professional, involved in the administration and operation of the Plan. You further authorize the Company, the Service Recipient and any other Related Company, as well as E*TRADE or any other third-party stock plan service provider(s) as designated by the Company to disclose and discuss the Plan with their advisors and to record all relevant information and keep such information in your employee file.

 Language Consent. The parties acknowledge that it is their express wish that this Agreement, as well as all documents, notices and legal
proceedings entered into, given or instituted pursuant hereto or relating directly or indirectly hereto, be drawn up in English. 

Consentement Relatif à la Langue. Les parties reconnaissent avoir expressement souhaité que la convention
«Agreement » ainsi que tous les documents, avis et procédures judiciaries, éxecutés, donnés ou intentés en vertu de, ou lié, directement ou indirectement à la présente
convention, soient rédigés en langue anglaise. 
 Notifications 

Securities Law Notification. Shares acquired under the Plan may not be sold or otherwise disposed of within Canada. You may sell the Shares
acquired under the Plan only through E*TRADE or such other stock plan service provider selected by the Company in the future, provided the sale of Shares takes place outside of Canada through the facilities of a stock exchange on which the Shares
are traded. 

  
 -A2- 

 Foreign Asset/Account Reporting Notification. Specified foreign property, including shares and rights to
receive shares (e.g., stock options, restricted stock units) of a non-Canadian company held by a Canadian resident must generally be reported annually on a Form T1135 (Foreign Income Verification
Statement) if the total cost of the foreign property exceeds C$100,000 at any time during the year. Thus, the Option must be reported (generally at a nil cost) if the C$100,000 cost threshold is exceeded because of other specified foreign property
you hold. When Shares are acquired, their cost generally is the adjusted cost base (“ACB”) of the Shares. The ACB would ordinarily equal the fair market value of the Shares at the time of acquisition, but if you own other
Shares, this ACB may have to be averaged with the ACB of the other Shares. You should consult a personal tax advisor to ensure compliance with applicable reporting obligations. 

INDIA 
 Terms and Conditions 

Method of Payment. This provision supplements Section 5 of the Global Stock Option Agreement: 

Due to legal restrictions in India, you may not exercise the Option using a cashless
sell-to-cover exercise, whereby you direct a broker or transfer agent to sell some (but not all) of the Shares subject to the Option and deliver to the Company the
amount of the sale proceeds to pay the exercise price and any Tax-Related Items. However, payment of the exercise price may be made by any of the other methods of payment set forth in the Global Stock Option
Agreement. The Company reserves the right to provide you with additional methods of payment depending on the development of local law. 

Notifications 
 Exchange Control
Notification. Exchange control laws and regulations in India require that all proceeds resulting from the sale of Shares and any dividends received in relation to the Option or the Shares be repatriated to India and converted into local currency
within 90 days of the sale of Shares and within 180 days from the receipt of dividends, or as prescribed under applicable Indian exchange control laws, as may be amended from time to time. Indian residents must obtain a foreign inward remittance
certificate (“FIRC”) from the bank into which foreign currency is deposited and retain the FIRC as evidence of the repatriation of funds in the event that the Reserve Bank of India or the Service Recipient requests proof of
repatriation. 
 Foreign Asset/Account Reporting Notification. Foreign bank accounts and any foreign financial assets (including Shares held
outside India) must be reported in the annual Indian personal tax return. It is your responsibility to comply with this reporting obligation and you should consult with your personal advisor in this regard. 

  
 -A3- 

 IRELAND 

Notifications 
 Director Reporting
Notification. Directors, shadow directors and secretaries of an Irish Related Company must notify the Irish Related Company in writing upon (i) receiving or disposing of an interest in the Company (e.g., the Option, Shares, etc.),
(ii) becoming aware of the event giving rise to the notification requirement, or (iii) becoming a director or secretary if such an interest exists at the time, in each case if the interest represents more than 1% of the Company. This
notification requirement also applies with respect to the interests of any spouse or children under the age of 18 of the director, shadow director or secretary (whose interests will be attributed to the director, shadow director or secretary). You
should consult your personal legal advisor as to whether or not this notification requirement applies to you. 
 UNITED KINGDOM 

Terms and Conditions 
 Responsibility for
Taxes. The following supplements Section 9 of the Global Stock Option Agreement: 
 Without limitation to Section 9 of the
Global Stock Option Agreement, you agree that you are liable for all Tax-Related Items and hereby covenant to pay all such Tax-Related Items, as and when requested by
the Company or the Service Recipient or by Her Majesty’s Revenue and Customs (“HMRC”) (or any other tax authority or any other relevant authority). You also agree to indemnify and keep indemnified the Company and the
Service Recipient against any Tax-Related Items that they are required to pay or withhold or have paid or will pay to HMRC (or any other tax authority or any other relevant authority) on your behalf. 

Notwithstanding the foregoing, if you are a director or executive officer of the Company (within the meaning Section 13(k) of the Exchange Act), the
terms of the immediately foregoing provision may not apply to you if the indemnification is viewed as a loan. In such case, if the amount of any income tax due is not collected from or paid by you within 90 days of the end of the U.K. tax year in
which an event giving rise to the indemnification described above occurs, the amount of any uncollected income tax may constitute an additional benefit to you on which additional income tax and National Insurance Contributions
(“NICs”) may be payable. You will be responsible for reporting and paying any income tax due on this additional benefit directly to HMRC under the self-assessment regime and for reimbursing the Company or the Service
Recipient (as appropriate) for the value of any employee NICs due on this additional benefit, which the Company or the Service Recipient may recover from you by any of the means referred to in the Plan or Section 9 of the Global Stock Option
Agreement. 
 Joint Election. As a condition of your participation in the Plan, you agree to accept any liability for secondary Class 1 NICs
which may be payable by the Company and/or the Service Recipient in connection with the Option and any event giving rise to Tax-Related Items (the “Service Recipient’s NICs”).
Without limitation to the foregoing, you agree to enter into a joint election with the Company (the “Joint Election”), the form of such Joint Election being formally approved by HMRC, and to execute any other consents or
elections required to accomplish the transfer of the Service Recipient’s NICs to you. You further agree to execute such other joint elections as may be required between you and any successor to the Company and/or the Service Recipient. You
further agree that the Company and/or the Service Recipient may collect the Service Recipient’s NICs from you by any of the means set forth in Section 9 of the Global Stock Option Agreement. 

  
 -A4- 

 If you do not enter into a Joint Election, or if approval of the Joint Election has been withdrawn by HMRC, the
Company, in its sole discretion and without any liability to the Company or the Service Recipient, may choose not to issue or deliver any Shares to you upon exercise of the Option. 

  
 -A5- 

 AVALARA, INC. 

2018 EQUITY INCENTIVE PLAN 

GLOBAL RESTRICTED STOCK UNIT NOTICE 

Avalara, Inc. (the “Company”) hereby grants to you an Award of Restricted Stock Units (the
“RSUs”). The RSUs are subject to all the terms and conditions set forth in this Global Restricted Stock Unit Notice (the “RSU Notice”), the Global Restricted Stock Unit Agreement, including any special
terms and conditions for your country as set forth in the appendix thereto (the “Appendix,” and together with the RSU Notice and the Global Restricted Stock Unit Agreement, the “Agreement”), and the
Avalara, Inc. 2018 Equity Incentive Plan (the “Plan”), all of which are incorporated into this RSU Notice in their entirety. Subject to the terms and conditions of the Agreement, the RSUs will be settled in shares of the
Company’s Common Stock upon vesting, with one share issuable for each vested RSU. 
  

			
	Participant:	  	  

		
	Grant Date:	  	  

		
	Number of RSUs Subject to Award:	  	  

		
	Vesting Commencement Date:	  	  

		
	Vesting Schedule1:	  	[Insert applicable vesting schedule]

 Additional Terms/Acknowledgement: You acknowledge receipt of, and understand and agree to, the Agreement and the Plan.
You further acknowledge that as of the Grant Date, the Agreement and the Plan set forth the entire understanding between you and the Company regarding the RSUs and supersede all prior oral and written agreements on the subject. 

 

									
	AVALARA, INC.	  		  	PARTICIPANT
				
	By:	  	  
	  		  	  

	Name:	  	  
	  		  	[Name of Participant]
	Title:	  	  
	  		  		  	
	Date:	  	  
	  		  	Date:	  	                                      
                                         
 

   

 

	1 	Subject to continued employment or service. 

  

 AVALARA, INC. 

2018 EQUITY INCENTIVE PLAN 

GLOBAL RESTRICTED STOCK UNIT AGREEMENT 

Pursuant to your Global Restricted Stock Unit Notice (the “RSU Notice”) and this Global Restricted Stock Unit
Agreement, including any special terms and conditions for your country as set forth in the appendix hereto (the “Appendix,” and together with the RSU Notice and the Global Restricted Stock Unit Agreement, this
“Agreement”), Avalara, Inc. (the “Company”) has granted to you an Award of Restricted Stock Units (the “RSUs”) under its 2018 Equity Incentive Plan (the
“Plan”) for that number of RSUs indicated in your RSU Notice. This Agreement is made pursuant to the provisions of the Plan and will in all respects be construed in conformity with the express terms and provisions of the
Plan. Capitalized terms not defined in this Agreement but defined in the Plan have the same definitions as in the Plan. 
 The details of
the RSUs, in addition to those set forth in the RSU Notice, the Appendix, and the Plan, are as follows: 
 1. Vesting. Subject
to the terms of this Agreement, the RSUs will vest as set forth in the RSU Notice (the “Vesting Schedule”). As soon as practicable after the RSUs vest (but in any event, no later than the fifteenth day of the third
month following the tax year in which the RSUs vest), the Company will settle the vested RSUs by issuing to you one share of Common Stock (a “Share”) for each vested RSU. 

2. Termination of Service. Upon your Termination of Service for any reason, any RSUs that have not vested in accordance with the
Vesting Schedule will immediately be forfeited to the Company without the payment of any consideration to you. You will have no further rights, and the Company will have no further obligations to you, with respect to such unvested, forfeited RSUs.

 For purposes of the RSUs, Termination of Service will be considered to occur as of the date you are no longer actively providing services
to the Company, or, if different, the Related Company that employs you or for which you otherwise provide services (the “Service Recipient”), or any other Related Company (regardless of the reason for such termination and
whether or not later found to be invalid or in breach of employment laws in the jurisdiction where you are employed or otherwise rendering services or the terms of your employment or service agreement, if any). Unless otherwise determined by the
Company, your right to vest in the RSUs, if any, will cease as of this date and will not be extended by any notice period (e.g., your period of service would not include any contractual notice period or any period of “garden leave”
or similar period mandated under employment laws in the jurisdiction where you are employed or otherwise providing services, or the terms of your employment or service agreement, if any). 

3. Compliance with Law. 

(a) You represent and warrant that you have been furnished with a copy of the Plan and the plan summary for the Plan. 

(b) Notwithstanding any other provision of this Agreement, Shares will not be issued upon RSU vesting unless the Shares issuable are registered
under the Securities Act or, if such Shares are not then so registered, the Company has determined that such issuance would be exempt from the registration requirements of the Securities Act. The RSUs also must comply with all other applicable laws
and regulations governing the RSUs, including any U.S. and non-U.S. state, federal and local laws, and you will not receive Shares if the Company determines that such receipt would not be in material
compliance with such laws and regulations. 

 You understand that the Company is under no obligation to register or qualify the Shares with the
U.S. Securities Exchange Commission or any state or foreign securities commission or to seek approval or clearance from any governmental authority for the issuance or sale of the Shares. Further, you agree that the Company will have unilateral
authority to amend the Plan and the Agreement without your consent to the extent necessary to comply with securities or other laws applicable to issuance of Shares. 

(c) You hereby agree that you will in no event sell or distribute all or any part of the Shares that you may receive pursuant to the settlement
of vested RSUs unless (i) there is an effective registration statement under the Securities Act or (ii) the Company receives an opinion of your legal counsel (concurred in by legal counsel for the Company) stating that such transaction is
exempt from registration or the Company otherwise satisfies itself that such transaction is exempt from registration. You understand that the Company has no obligation to you to maintain any registration of the Shares with the U.S. Securities and
Exchange Commission and has not represented to you that it will so maintain registration of the Shares. Sales of the Shares are also subject to compliance with other laws and regulations, including but not limited to, U.S. and non-U.S. securities, exchange control, insider trading and market abuse laws, and with the Company’s insider trading policy. 

4. Market Standoff. You agree that any Shares received upon settlement of vested RSUs will be subject to the market standoff
restrictions on transfer set forth in the Plan. 
 5. Transfer Restrictions. RSUs may not be sold, transferred, assigned,
encumbered, pledged or otherwise disposed of, whether voluntarily or by operation of law, during your lifetime. 
 6.
Dividends. You will receive no benefit or adjustment to your RSUs with respect to any cash dividend, stock dividend or other distribution, except as provided in the Plan with respect to adjustments made pursuant to Section 15.1 of the
Plan. 
 7. Tax Withholding; No Obligation to Minimize Taxes. 

(a) You are ultimately responsible for all taxes owed in connection with the RSUs (e.g., upon vesting and/or upon receipt of the Shares),
including any U.S. or non-U.S. federal, state or local taxes of any kind required by law, including income tax, social insurance, FICA, payroll tax, fringe benefits tax, payment on account and all other tax
items related to your participation in the Plan and legally applicable to you or deemed by the Company or the Service Recipient in its discretion to be an appropriate charge to you even if legally applicable to the Company or the Service Recipient
(the “Tax-Related Items”), regardless of any action the Company or any Related Company takes with respect to any such Tax-Related Items. 

You agree to make adequate arrangements satisfactory to the Company and/or the Service Recipient, as applicable, prior to any relevant taxable
or tax withholding event, as applicable, to satisfy all Tax-Related Items. The Company has no obligation to deliver Shares pursuant to the RSUs until you have satisfied the
Tax-Related Items in a manner acceptable to the Company. 
 (b) In order to satisfy your obligations
set forth in Section 7(a), you may irrevocably appoint any brokerage firm acceptable to the Company for such purpose (the “Agent”) as your Agent, and authorize the Agent, pursuant to a plan that is intended to satisfy
the affirmative defense conditions of Rule 10b5-1(c) under the Exchange Act, to: 

  
 -2- 

 (i) Sell on the open market at the then prevailing market price(s), on your behalf, as soon as
practicable on or after the settlement date for any vested RSUs, the minimum number of Shares (rounded up to the next whole number) sufficient to generate proceeds to cover the amount of any Tax-Related Items
and all applicable fees and commissions due to, or required to be collected by, the Agent; and 
 (ii) Remit directly to the Company the
cash amount necessary to cover the payment of such Tax-Related Items, as of such date. 
 (c)
Notwithstanding the foregoing, you authorize the Company and/or the Service Recipient, or their respective agents, at their discretion, to satisfy any applicable Tax-Related Items by one or a combination of
the following: 
 (i) withholding from your wages or other cash compensation paid to you by the Company and/or the Service Recipient; 

(ii) withholding from proceeds of the sale of Shares acquired upon settlement of the RSUs either through a voluntary sale or through a
mandatory sale arranged by the Company (on your behalf pursuant to this authorization without further consent); 
 (iii) withholding Shares
to be issued upon settlement of the RSUs; or 
 (iv) any other method of withholding determined by the Company and permitted by applicable
law. 
 (d) The Company may withhold or account for Tax-Related Items by considering applicable
minimum statutory withholding rates or other applicable withholding rates, including maximum applicable rates in your jurisdiction(s), in which case you may receive a refund of any over-withheld amount in cash
and will have no entitlement to the equivalent in Common Stock. If the obligation for Tax-Related Items is satisfied by withholding Shares, for tax purposes, you are deemed to have been issued the full number
of Shares for which the RSUs were settled, notwithstanding that a number of the Shares are held back solely for the purpose of paying the Tax-Related Items. 

(e) Finally, you acknowledge that the Company and/or the Service Recipient (i) make no representations or undertakings regarding the
treatment of any Tax-Related Items in connection with any aspect of the RSUs, including but not limited to, the grant, the vesting, the issuance of Shares upon vesting, the subsequent sale of Shares acquired
pursuant to the RSUs and the receipt of any dividends, and (ii) do not commit to and are under no obligation to structure the terms of the grant or any aspect of the RSUs to reduce or eliminate your liability for
Tax-Related Items or achieve any particular tax result. Further, you acknowledge that if you are subject to tax in more than one jurisdiction, the Company and/or the Service Recipient (or former Service
Recipient, as applicable) may be required to withhold or account for Tax-Related Items in more than one jurisdiction. By executing the RSU Notice, you agree that you will be deemed to have waived any claims
against the Company with respect to any tax consequences related to the RSUs. 
 8. RSUs Not an Employment or Service Contract.
Nothing in the Plan or this Agreement will be deemed to constitute or amend any employment or service contract or confer or be deemed to confer any right for you to continue in the employ of, or to continue any other relationship with, the Company
or any Related Company or limit in any way the right of the Company or any Related Company to terminate your employment or other relationship at any time, with or without cause. 

  
 -3- 

 9. Nature of Grant. By accepting the RSUs, you acknowledge, understand and agree
that: 
 (a) the Plan is established voluntarily by the Company, it is discretionary in nature and it may be modified, amended, suspended or
terminated by the Company at any time, to the extent permitted by the Plan; 
 (b) the grant of RSUs is exceptional, voluntary and occasional
and does not create any contractual or other right to receive future grants of RSUs, or benefits in lieu of RSUs, even if RSUs have been granted in the past; 

(c) all decisions with respect to future RSU or other grants, if any, will be at the sole discretion of the Company; 

(d) you are voluntarily participating in the Plan; 

(e) the RSUs and the Shares underlying the RSUs, and the income from and value of same, are not intended to replace any pension rights or
compensation; 
 (f) the RSUs and the Shares underlying the RSUs, and the income from and value of same, are not part of normal or expected
compensation for purposes of calculating any severance, resignation, termination, redundancy, dismissal, end-of-service payments, bonuses, long-service awards, holiday
pay, holiday top-up, pension or retirement or welfare benefits or similar mandatory payments; 
 (g)
unless otherwise agreed with the Company, the RSUs and the Shares underlying the RSUs, and the income from and value of same, are not granted as consideration for, or in connection with, the service you may provide as a director of a non-U.S. Related Company; 
 (h) the future value of the underlying Shares is unknown, indeterminable and
cannot be predicted with certainty; 
 (i) no claim or entitlement to compensation or damages shall arise from forfeiture of the RSUs
resulting from (a) your Termination of Service or (b) the application Section 14 of the Global Restricted Stock Unit Agreement or any compensation recovery or clawback policies adopted by the Company; and 

(j) the following provisions apply only if you are providing services outside of the United States: 

i. the RSUs and the Shares underlying the RSUs, and the income from and value of same, are not part of normal or expected compensation for any
purpose; and 
 ii. neither the Company, the Service Recipient nor any other Related Company shall be liable for any foreign exchange rate
fluctuation between your local currency and the United States Dollar that may affect the value of the RSUs or of any amounts due to you pursuant to the settlement of the RSUs or the subsequent sale of any Shares acquired upon settlement. 

  
 -4- 

 10. Data Privacy Information and Consent. 

(a) Data Collection and Usage. The Company and the Service Recipient may collect, process and use certain personal information
about you, including, but not limited to, your name, home address and telephone number, email address, date of birth, social insurance, passport or other identification number, salary, nationality, job title, any Shares or directorships held in the
Company, details of all RSUs or any other entitlement to Shares awarded, canceled, exercised, vested, unvested or outstanding in your favor (“Data”), for the purposes of implementing, administering and managing the Plan. The legal basis,
where required, for the processing of Data is your consent. 
 (b) Stock Plan Administration Service Providers. The
Company transfers Data to E*TRADE Securities LLC and its affiliated companies (“E*TRADE”), an independent service provider based in the United States, which is assisting the Company with the implementation, administration and
management of the Plan. The Company may select a different service provider or additional service providers and share Data with such other provider(s) serving in a similar manner. You may be asked to agree on separate terms and data processing
practices with the service provider, with such agreement being a condition to the ability to participate in the Plan. 
 (c)
International Data Transfers. The Company and its service providers are based in the United States. Your country or jurisdiction may have different data privacy laws and protections than the United States. For example, the European Commission
has issued a limited adequacy finding with respect to the United States that applies only to the extent companies register for the EU-U.S. Privacy Shield program. The Company’s legal basis, where
required, for the transfer of Data is your consent. 
 (d) Data Retention. The Company will hold and use Data only as
long as is necessary to implement, administer and manage your participation in the Plan, or as required to comply with legal or regulatory obligations, including under tax and security laws. 

(e) Voluntariness and Consequences of Consent Denial or Withdrawal. Participation in the Plan is voluntary, and you are providing
the consents herein on a purely voluntary basis. If you do not consent, or if you later seek to revoke your consent, your salary from or employment and career with the Service Recipient will not be affected; the only consequence of refusing or
withdrawing your consent is that the Company would not be able to grant the RSUs or other equity awards to you or administer or maintain such awards. 

(f) Data Subject Rights. You may have a number of rights under data privacy laws in your jurisdiction. Depending on where you are
based, such rights may include the right to (i) request access or copies of Data the Company processes, (ii) rectification of incorrect Data, (iii) deletion of Data, (iv) restrictions on processing of Data, (v) portability
of Data, (vi) lodge complaints with competent authorities in your jurisdiction, and/or (vii) receive a list with the names and addresses of any potential recipients of Data. To receive clarification regarding these rights or to exercise
these rights, you can contact your local human resources representative. 
 By accepting the RSUs and indicating consent via
the Company’s acceptance procedure, you are declaring that you agree with the data processing practices described herein and consent to the collection, processing and use of Data by the Company and the transfer of Data to the recipients
mentioned above, including recipients located in countries which do not adduce an adequate level of protection from a European (or other non-U.S.) data protection law perspective, for the purposes described
above. 

  
 -5- 

 Finally, upon request of the Company or the Service Recipient, you agree to provide an
executed data privacy consent form (or any other agreements or consents) that the Company and/or the Service Recipient may deem necessary to obtain from you for the purpose of administering your participation in the Plan in compliance with the data
privacy laws in your country, either now or in the future. You understand and agree that you will not be able to participate in the Plan if you fail to provide any such consent or agreement requested by the Company and/or the Service Recipient.

 11. No Shareholder Rights. Neither you nor any other person in the event of your death prior to settlement of vested
RSUs will have any rights of a shareholder with respect to the RSUs unless and until the date of issuance of any Shares issuable upon settlement of vested RSUs. 

12. Notices. Any notice which either party hereto may be required or permitted to give to the other will be in writing and may be
delivered personally, by interoffice mail, by fax, by electronic mail or other electronic means, or via a postal service, postage prepaid, which, with respect to notices to you, will be provided to you at your electronic mail or postal address as
shown on the records of the Company from time to time, or at such other electronic mail or postal address as you, by notice to the Company, may designate in writing from time to time. 

13. No Advice Regarding Grant. The Company is not providing any tax, legal or financial advice, nor is the Company making any
recommendations regarding your participation in the Plan or your acquisition or sale of Shares underlying the RSUs. You should consult with your own personal tax, legal and financial advisors regarding your participation in the Plan before taking
any action related to the Plan. 
 14. Recovery of Compensation. In accordance with Section 18.13 of the Plan, the RSUs
are subject to the requirements of (a) Section 954 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (regarding recovery of erroneously awarded compensation) and any implementing rules and regulations thereunder,
(b) similar rules under the laws of any other jurisdiction, (c) any compensation recovery or clawback policies adopted by the Company to implement any such requirements or (d) any other compensation recovery or clawback policies as
may be adopted from time to time by the Company, all to the extent determined by the Committee in its discretion to be applicable to you and/or required by applicable law. 

15. Successors and Assigns. The Company may assign its rights under this Agreement at any time, whether or not such rights are
then exercisable, to any person or entity selected by the Company’s Board of Directors. This Agreement will inure to the benefit of the successors and assigns of the Company and be binding upon you and your heirs, executors, administrators,
successors and assigns, whether or not any such person will have become a party to this Agreement and agreed in writing to join herein and be bound by the terms and conditions hereof. 

16. Imposition of Other Requirements. The Company reserves the right to impose other requirements on your participation in the
Plan, on the RSUs and on any Shares acquired under the Plan, to the extent the Company determines it is necessary or advisable for legal or administrative reasons, and to require you to sign any additional agreements or undertakings that may be
necessary to accomplish the foregoing. 
 17. No Waiver. No waiver of any provision of this Agreement will be valid unless in
writing and signed by the person against whom such waiver is sought to be enforced, nor will failure to enforce any right hereunder constitute a continuing waiver of the same or a waiver of any other right hereunder. 

  
 -6- 

 18. Section 409A Compliance. The Company intends that the RSUs will be exempt from,
or comply with, the requirements of Section 409A of the Code; provided, however, that the Company makes no representations that the RSUs will be exempt from or comply with Section 409A of the Code and makes no undertaking to preclude
Section 409A of the Code from applying to the RSUs. 
 19. Counterparts. The RSU Notice may be executed in two or more
counterparts, each of which will be deemed an original, but which, upon execution, will constitute one and the same instrument. 
 20.
Electronic Delivery and Acceptance. The Company may, in its sole discretion, decide to deliver any documents related to current or future participation in the Plan by electronic means. You hereby consent to receive such documents by
electronic delivery and agree to participate in the Plan through an online or electronic system established and maintained by the Company or a third party designated by the Company. 

21. Appendix for Non-U.S. Participants. Notwithstanding any provision in this Global
Restricted Stock Unit Agreement, any RSUs granted under the Plan will be subject to any special terms and conditions for your country set forth in the Appendix attached hereto. Moreover, if you relocate to one of the countries included in the
Appendix, the special terms and conditions for such country will apply to you, to the extent the Company determines that the application of such terms and conditions is necessary or advisable for legal or administrative reasons. The Appendix
constitutes part of this Global Restricted Stock Unit Agreement. 
 22. Language. You acknowledge and represent that you are
proficient in the English language or have consulted with an advisor who is sufficiently proficient in English, as to allow you to understand the terms of this Agreement and any other documents related to the Plan. If you have received this
Agreement or any other document related to the Plan translated into a language other than English and if the meaning of the translated version is different from the English version, the English version will control. 

23. Insider Trading/Market Abuse Laws. You may be subject to insider trading restrictions and/or market abuse laws in applicable
jurisdictions, including the United States and, if different, your country, your broker’s country and/or the country where Shares are listed, which may affect your ability to accept or otherwise acquire, or sell, attempt to sell or otherwise
dispose of, Shares or rights to Shares (e.g., the RSUs) under the Plan or rights linked to the value of Shares (e.g., phantom awards, futures) during such times as you are considered to have “inside information” regarding the
Company (as defined by the laws or regulations in the applicable jurisdiction) or the trade in Shares or the trade in rights to Shares under the Plan. Local insider trading laws and regulations may prohibit the cancellation or amendment of orders
you place before you possessed inside information. Furthermore, you could be prohibited from (1) disclosing the inside information to any third party and (2) “tipping” third parties or otherwise causing them to buy or sell
securities; “third parties” includes fellow employees. Any restrictions under these laws or regulations are separate from and in addition to any restrictions that may be imposed under any applicable Company insider trading policy. It is
your responsibility to comply with any applicable restrictions and you are advised to speak to your personal advisor on this matter. 

  
 -7- 

 24. Foreign Asset/Account Reporting Requirements and Exchange Controls. You
acknowledge that your country may have certain foreign asset and/or foreign account reporting requirements and exchange controls which may affect your ability to acquire or hold Shares purchased under the Plan or cash received from participating in
the Plan (including from any dividends paid on or sales proceeds arising from the sale of Shares acquired under the Plan) in a brokerage or bank account outside your country. You may be required to report such accounts, assets or transactions to the
tax or other authorities in your country. You also may be required to repatriate sale proceeds or other funds received as a result of your participation in the Plan to your country through a designated bank or broker within a certain time after
receipt. You acknowledge that it is your responsibility to comply with such regulations, and you are advised to consult your personal legal advisor for any details. 

  
 -8- 

 AVALARA, INC. 

APPENDIX 
 TO 

2018 EQUITY INCENTIVE PLAN 

GLOBAL RESTRICTED STOCK UNIT AGREEMENT 

Capitalized terms used but not defined herein shall have the meanings ascribed to them in the Plan and/or the Global Restricted Stock Unit
Agreement to which this Appendix is attached. 
 Terms and Conditions 

This Appendix includes additional terms and conditions that govern the RSUs granted to you under the Plan if you reside and/or work in one of
the countries listed below. 
 If you are a citizen or resident of a country other than the one in which you are currently working and/or
residing, transfer to another country after the Grant Date, or are considered a resident of another country for local law purposes, the Company shall, in its discretion, determine the extent to which the special terms and conditions contained herein
apply to you. 
 Notifications 

This Appendix also includes information regarding exchange controls and certain other issues of which you should be aware with respect to your
participation in the Plan. The information is based on the securities, exchange control and other laws in effect in the respective countries as of April 2018. Such laws are often complex and change frequently. As a result, the Company strongly
recommends that you not rely on the information noted herein as the only source of information relating to the consequences of your participation in the Plan because the information may be out of date by the time you exercise the RSUs or sell the
Shares acquired under the Plan. 
 In addition, the information contained in this Appendix is general in nature and may not apply to your
particular situation, and the Company is not in a position to assure you of any particular result. Accordingly, you are advised to seek appropriate professional advice as to how the applicable laws in your country may apply to your situation. 

Finally, you understand that if you are a citizen or resident of a country other than the one in which you currently reside and/or work,
transfer to another country after the Grant Date, or are considered a resident of another country for local law purposes, the notifications contained herein may not apply to you in the same manner. 

 CANADA 

Terms and Conditions 
 Settlement of RSUs.
Notwithstanding any discretion in the Plan, the RSUs shall be settled only in Shares. You shall not be entitled to receive a cash payment upon vesting of the RSUs. 

Termination of Employment. The following provision replaces the corresponding paragraph in Section 2 of the Global Stock Restricted Stock Unit
Agreement: 
 For purposes of the RSUs, and except as expressly required by applicable legislation, your Termination of Service (regardless of the reason
for such termination and whether or not later found to be invalid or in breach of employment laws in the jurisdiction where you are employed or providing services, or the terms of your employment or service agreement, if any) will be deemed to have
occurred as of the earliest of: (a) the date your employment or service relationship is terminated; (b) the date that you receive notice of termination of your employment or service relationship; and (c) the date that you are no
longer actively providing services to the Service Recipient, the Company or any other Related Company, regardless of any notice period or period of pay in lieu of such notice required under applicable employment law in the jurisdiction where you are
employed or providing services or the terms of your employment agreement, if any. 
 The following provisions apply to residents of Quebec: 

Data Privacy. The following provision supplements Section 10 of the Global Restricted Stock Unit Agreement: 

You hereby authorize the Company and the Company’s representatives to discuss with and obtain all relevant information from all personnel, professional
or non-professional, involved in the administration and operation of the Plan. You further authorize the Company, the Service Recipient and any other Related Company, as well as E*TRADE or any other third-party stock plan service provider(s) as designated by the Company to disclose and discuss the Plan with their advisors and to record all relevant information and keep such information in your employee file.

 Language Consent. The parties acknowledge that it is their express wish that this Agreement, as well as all documents, notices and legal
proceedings entered into, given or instituted pursuant hereto or relating directly or indirectly hereto, be drawn up in English. 

Consentement Relatif à la Langue. Les parties reconnaissent avoir expressement souhaité que la convention
«Agreement » ainsi que tous les documents, avis et procédures judiciaries, éxecutés, donnés ou intentés en vertu de, ou lié, directement ou indirectement à la présente
convention, soient rédigés en langue anglaise. 
 Notifications 

Securities Law Notification. Shares acquired under the Plan may not be sold or otherwise disposed of within Canada. You may sell the Shares
acquired under the Plan only through E*TRADE or such other stock plan service provider selected by the Company in the future, provided the sale of Shares takes place outside of Canada through the facilities of a stock exchange on which the Shares
are traded. 

  
 A-2 

 Foreign Asset/Account Reporting Notification. Specified foreign property, including shares and rights to
receive shares (e.g., stock options, restricted stock units) of a non-Canadian company held by a Canadian resident must generally be reported annually on a Form T1135 (Foreign Income Verification
Statement) if the total cost of the foreign property exceeds C$100,000 at any time during the year. Thus, the RSUs must be reported (generally at a nil cost) if the C$100,000 cost threshold is exceeded because of other specified foreign property you
hold. When Shares are acquired, their cost generally is the adjusted cost base (“ACB”) of the Shares. The ACB would ordinarily equal the fair market value of the Shares at the time of acquisition, but if you own other Shares,
this ACB may have to be averaged with the ACB of the other Shares. You should consult a personal tax advisor to ensure compliance with applicable reporting obligations. 

INDIA 
 Notifications 

Exchange Control Notification. Exchange control laws and regulations in India require that all proceeds resulting from the sale of Shares and any
dividends received in relation to the RSUs or the Shares be repatriated to India and converted into local currency within 90 days of the sale of Shares and within 180 days from the receipt of dividends, or as prescribed under applicable Indian
exchange control laws, as may be amended from time to time. Indian residents must obtain a foreign inward remittance certificate (“FIRC”) from the bank into which foreign currency is deposited and retain the FIRC as evidence
of the repatriation of funds in the event that the Reserve Bank of India or the Service Recipient requests proof of repatriation. 
 Foreign
Asset/Account Reporting Notification. Foreign bank accounts and any foreign financial assets (including Shares held outside India) must be reported in the annual Indian personal tax return. It is your responsibility to comply with
this reporting obligation and you should consult with your personal advisor in this regard. 
 IRELAND 

Notifications 
 Director Reporting
Notification. Directors, shadow directors and secretaries of an Irish Related Company must notify the Irish Related Company in writing upon (i) receiving or disposing of an interest in the Company (e.g., RSUs, Shares, etc.), (ii)
becoming aware of the event giving rise to the notification requirement, or (iii) becoming a director or secretary if such an interest exists at the time, in each case if the interest represents more than 1% of the Company. This notification
requirement also applies with respect to the interests of any spouse or children under the age of 18 of the director, shadow director or secretary (whose interests will be attributed to the director, shadow director or secretary). You should consult
your personal legal advisor as to whether or not this notification requirement applies to you. 

  
 A-3 

 UNITED KINGDOM 

Terms and Conditions 
 Responsibility for
Taxes. The following supplements Section 7 of the Global Restricted Stock Unit Agreement: 
 Without limitation to
Section 7 of the Global Restricted Stock Unit Agreement, you agree that you are liable for all Tax-Related Items and hereby covenant to pay all such Tax-Related
Items, as and when requested by the Company or the Service Recipient or by Her Majesty’s Revenue and Customs (“HMRC”) (or any other tax authority or any other relevant authority). You also agree to indemnify and keep
indemnified the Company and the Service Recipient against any Tax-Related Items that they are required to pay or withhold or have paid or will pay to HMRC (or any other tax authority or any other relevant
authority) on your behalf. 
 Notwithstanding the foregoing, if you are a director or executive officer of the Company (within the meaning
Section 13(k) of the Exchange Act), the terms of the immediately foregoing provision may not apply to you if the indemnification is viewed as a loan. In such case, if the amount of any income tax due is not collected from or paid by you within
90 days of the end of the U.K. tax year in which an event giving rise to the indemnification described above occurs, the amount of any uncollected income tax may constitute an additional benefit to you on which additional income tax and National
Insurance Contributions (“NICs”) may be payable. You will be responsible for reporting and paying any income tax due on this additional benefit directly to HMRC under the self-assessment regime and for reimbursing the Company
or the Service Recipient (as appropriate) for the value of any employee NICs due on this additional benefit, which the Company or the Service Recipient may recover from you by any of the means referred to in the Plan or Section 7 of the Global
Restricted Stock Unit Agreement. 
 Joint Election. As a condition of your participation in the Plan, you agree to accept any liability for secondary
Class 1 NICs which may be payable by the Company and/or the Service Recipient in connection with the RSUs and any event giving rise to Tax-Related Items (the “Service Recipient’s
NICs”). Without limitation to the foregoing, you agree to enter into a joint election with the Company (the “Joint Election”), the form of such Joint Election being formally approved by HMRC, and to execute any
other consents or elections required to accomplish the transfer of the Service Recipient’s NICs to you. You further agree to execute such other joint elections as may be required between you and any successor to the Company and/or the Service
Recipient. You further agree that the Company and/or the Service Recipient may collect the Service Recipient’s NICs from you by any of the means set forth in Section 7 of the Global Restricted Stock Unit Agreement. 

If you do not enter into a Joint Election, or if approval of the Joint Election has been withdrawn by HMRC, the Company, in its sole discretion and without
any liability to the Company or the Service Recipient, may choose not to issue or deliver any Shares to you upon vesting of the RSUs. 

  
 A-42017 LEADERSHIP BONUS PLAN

 Exhibit 10.4 

Avalara, Inc. 2017 Leadership Bonus Plan 

This Avalara, Inc. 2017 Leadership Bonus Plan (the “Plan”) is a summary of the leadership bonus plan of Avalara, Inc. (the “Company”)
covering the period from January 1, 2017 through December 31, 2017. The purpose of the Plan is to promote the success of the Company by rewarding leaders (“Leaders”) for outstanding business results, as well as promoting
retention of high performing employees. 
 Performance bonuses are paid to our Leaders and are based on the achievement of performance objectives that are
determined by their managers, as well as the Company’s performance. Each Leader’s performance objectives may change from year to year as the Company continues to evolve and different priorities are established, but remain subject to the
review and approval of the CEO. 
 For 2017, performance bonuses earned under the Plan are based on the attainment of both Company performance components
and individual performance components measured as of the end of calendar year 2017. The Plan is detailed below: 
  

	1.	Company Performance Component = 70% consisting of the following three core Company performance objectives: 

  

	 	•	 	2017 Total Bookings - 23.4% of a Leader’s total bonus opportunity is calculated based on the Company’s attainment of the total bookings target. 

 

	 	•	 	2017 Magic Number - 23.3% of a Leader’s total bonus opportunity is calculated based on the Company’s attainment of the magic number target. 

 

	 	•	 	2017 Adjusted EBITDA - 23.3% of a Leader’s total bonus opportunity is calculated based on the Company’s attainment of the Adjusted EBITDA target. 

 

	2.	Individual Performance Component (MBO’s) = 30%: 

  

	 	•	 	MBO’s - Determined by Leader’s attainment of goals and performance targets as established in their 2017 Individual Goal Setting & Performance Review Plan. 

 

	3.	Accelerators - if an accelerator target is achieved, the acceleration percentage will be added to the Company Performance Component (70%) of the bonus. Below is the list of accelerators: 

 

	 	•	 	10% Accelerator – 2017 total New Bookings at or above $49 million 

  

	 	•	 	10% Accelerator – 2017 average quarterly Net Revenue Retention Rate above 108% 

  

	 	•	 	10% Accelerator – 2017 annual revenue churn below 4% 

  

	4.	Cap: Notwithstanding any provision of the Plan, no total bonus payment will exceed 112% of a Leader’s annual target bonus. 

 

	5.	Payout Schedule: The 2017 bonus will be paid out by March 15, 2018. 

	6.	Eligibility: The Plan applies to eligible Leaders, as determined by the CEO. To qualify for the bonus payment under the Plan, a Leader must: 

 

	 	•	 	Be actively employed with the Company or its subsidiaries for a minimum of three (3) months from January 1, 2017 through December 31, 2017; 

 

	 	•	 	Be actively employed at the time the bonus is paid out (on or before March 15, 2018); and 

  

	 	•	 	Have a final performance rating of “Achieves” or better. 

 The bonus will be based on
2017 eligible wages. 
  

	7.	Terms and Conditions: 

 “Actively employed” means that the employee is a
current employee of the Company and is not on any paid or unpaid leave of absence, with the exception of paid vacation or sick leave. Employees on a paid or unpaid leave, other than vacation or sick leave, at the time the bonus is paid will receive
their bonus upon return to active employment. 
 The Company intends for the benefits provided under this Plan to comply with Code
Section 409A, the state and federal Family Medical Leave Act, the Americans with Disabilities Act, USERRA, and all other applicable state and federal laws, and this Plan will be interpreted to that end. The Company reserves the right to
amend this Plan as necessary to comply with applicable federal and state laws. 
 The CEO, with input from the Board of Directors or the
Compensation and Leadership Development Committee, will approve all performance bonuses made under this Plan and may make discretionary adjustments as they deem appropriate, in the Company’s sole discretion. 

Performance bonuses made under this Plan will be offered in the sole discretion of the Company. The Company reserves the right to change,
modify, or eliminate any provision of this Plan. This Plan is not intended as a contract or a contract of employment. All employment with the Company is “at will,” which means that the Company or employee may terminate the employment
relationship at any time, with or without cause, and with or without notice. 
 Questions regarding the Plan should be directed to the CFO or VP Human
Resources. 

  
 -2-

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