To remove the toolbar, you need to download the AVG Toolbar Remover tool. After this, run the download and select 'Accept' to be able to confirm the license agreement. Next, click on 'Continue' as this will initiate the removal process. See http://www.avg.com/ww-en/faq.num-5200 for more details.
there's an easier way. it's a separate program from avg. add/remove programs on control panel from the start menu should do it. I say should because I may have removed it using a very simular add remove program feature through a free program called ccleaner, but it would make sense to work there too.