What is a commercial invoice?

A commercial invoice is a customs document used for international shipments of goods. Customs authorities use it to assess duties, taxes, and admissibility. It includes exporter and importer details, a description of the goods, HS codes, country of origin, declared value, and the agreed Incoterm.

How is a commercial invoice different from a sales invoice?

A sales invoice is primarily a request for payment between buyer and seller. A commercial invoice serves that purpose but its main job is to give customs the information needed to clear goods and calculate import duties, so it adds HS codes, country of origin, declared value, Incoterms, and the reason for export.

What fields are required on a commercial invoice?

Exporter and importer details, an invoice number and date, a detailed description of goods, HS or tariff codes, country of origin, quantity and declared value, the Incoterm, the reason for export, weight and package count, and a signed declaration.

Why do HS codes matter on a commercial invoice?

The Harmonized System code maps each product to a tariff line that determines the duty rate. An incorrect HS code can cause overpayment, underpayment, or a customs hold while officials reclassify the goods.

Commercial invoice template

Updated June 2026

A commercial invoice is not a regular sales invoice — it's a customs document. When you ship goods across an international border, customs authorities in the destination country use it to assess duties, taxes, and admissibility. Get a field wrong and your shipment can be held, fined, or returned. This guide explains exactly what a commercial invoice must contain and why it works differently from the invoice you send a domestic client.

How a commercial invoice differs from a sales invoice

A standard sales invoice is a request for payment between you and a buyer. A commercial invoice serves that purpose too, but its primary job is to give customs officials everything they need to clear your goods and calculate import charges. That means it carries information a domestic invoice never would: the classification of the goods, where they were made, who is legally responsible for shipping costs, and the reason the goods are crossing the border. If you only need to bill a local customer, a normal small business invoice template is the right tool — the commercial invoice is specifically for cross-border physical shipments.

Required fields on a commercial invoice

Requirements vary slightly by country and carrier, but a complete commercial invoice almost always includes:

Exporter (shipper) details — the seller's full legal name, address, and contact, plus any tax or business registration number.
Importer (consignee) details — the buyer or receiving party, with address and, where required, an import tax ID.
Invoice number and date — a unique reference tying the document to the shipment.
Detailed description of goods — what each item actually is, in plain terms. "Samples" or "gifts" alone will get a shipment flagged.
HS / tariff codes — the Harmonized System code for each product, which customs uses to determine the duty rate.
Country of origin — where each item was manufactured, not where it shipped from.
Quantity, unit value, and total declared value — the customs value of the goods, usually in the agreed currency.
Incoterms — the agreed shipping term (such as DAP, DDP, EXW, or FOB) that defines who pays freight, insurance, and duties.
Reason for export — sale, repair, return, sample, or gift. This affects how the shipment is treated.
Weight and number of packages, and a signed declaration that the information is true.

Why HS codes and country of origin matter

1HS codes set the duty rate.

The Harmonized System code maps your product to a specific tariff line. The wrong code can mean overpaying duty, underpaying (which is a compliance risk), or a customs hold while officials reclassify the goods.

2Country of origin affects eligibility.

Trade agreements and preferential tariffs depend on where goods were made. Origin is about manufacture, not the address you shipped from, and misstating it is a serious error.

3Declared value drives taxes.

Import VAT and duty are calculated from the declared value. Undervaluing to save the buyer money is illegal and can trigger seizure or penalties.

Incoterms decide who pays what

Incoterms are standardized trade terms that allocate cost and risk between exporter and importer. Under DDP (Delivered Duty Paid), the seller covers duties and delivers cleared goods; under EXW (Ex Works), the buyer takes on nearly everything from the seller's door. Stating the Incoterm on the invoice prevents the most common cross-border dispute: an unexpected duty bill that neither party expected to pay. Choose the term before you ship, not after.

Need a standard invoice instead?

If you're billing a domestic client rather than shipping goods internationally, PaidPilot builds a clean, professional invoice in under a minute — and chases late payers for you. No signup required.

Create your free invoice →

Treat the commercial invoice as the legal record of your shipment, because that is exactly what customs treats it as. Accurate descriptions, correct HS codes, honest declared values, and a clearly stated Incoterm are what keep goods moving instead of sitting in a customs warehouse.