Well your sub is definitely the weak link in your system. I'd upgrade that before the AVR. The sub you have now isn't great and you said it yourself, can sound boomy if you set the crossover around 60-80 Hz. Now, not all of this could be the subwoofers fault, it could be your room too. If you didn't do a proper bass crawl and just plopped in a place that looked good you could be running into some serious room~sub interaction that is causing everything to sound even worse.
My suggestion would be to do a bass crawl first, get the sub optimally placed. If you're still unhappy, come back and maybe do a search and see if there is a good subwoofer in your budget. Once you've replaced the sub with one you can be happy with (if you need it) then in a couple years replace the AVR. I really think replacing the sub would benefit you more than replacing the AVR, but either ways it's going to cost more money, so try the bass crawl first. If you're still unhappy come back and we'll help you spend more money
