What is a commercial invoice?
A commercial invoice is a document created for international shipments that contains important information about the export. It includes more details than a regular sales invoice and is used to calculate duties and confirm that the goods are legal. Commercial invoices are also used to create customs declarations.
It is important to obtain a commercial invoice and not a pro forma invoice, which is not accepted by customs.
What's in the commercial invoice?
Commercial invoices should be issued in English. If other languages are used, at least the detailed description of the product should be translated. Including the HS code will significantly speed up customs clearance. The invoice includes the following information:
- Invoice number corresponding to the packing slip number
- Invoice date
- Order number
- Consignee information (recipient): name, address, phone number, tax ID, etc.
- Shipper Information (Sender)
- Party Information Notified to Shipper
- Shipping Information: Freight Forwarder, Date of Export
- Clearly describe the goods (type, package quantity, unit, weight, etc.) according to the packing list and bill of lading
- HS code
- Incoterms on which the sale of goods is based
- The price of each item in a specific currency (usually in U.S. dollars)
- Total sales
- Payment instructions
- Insurance
- Origin of the product (country of origin or manufacture)
- Invoice signature with issuer stamp
When do I need to issue a commercial invoice?
A commercial invoice is required for any goods shipped outside the EU. Used as a customs declaration, provided by the exporter (shipper).
In other words, every time you ship a package from the EU to a country outside the EU, you need to fill out a commercial invoice.
Do you need to keep records of commercial invoices?
Yes, it is very important to keep records of commercial invoices and any customs documents.
If you are VAT registered, you will also need to record your exported goods in your VAT account. This is important as you will need this information at all times when completing your VAT return.
