A commercial invoice form is used when dutiable goods are shipped internationally. It is a requirement of customs officials that a commercial invoice must be filled prior to the goods leaving the country.

In order to abide by customs guidelines, commercial invoice education and training may be required. With this training, staff members can learn what information needs to be provided on the document and the acceptable commercial invoice forms.

1. Find out the customs regulations applied to commercial invoices. As part of your education, you can learn how to create a commercial invoice and how to ensure that the document is in accordance with federal laws.

2. Use a commercial invoice template as your guideline. When training staff on how to use the billing method, you should provide commercial invoice examples.

3. Consider software to help provide training and compliancy help regarding each international commercial invoice.

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Look into commercial invoice regulations

Dutiable goods that are shipped internationally are subject to customs fees and regulations. The use of commercial invoices is a way to ensure that dutiable goods are shipped safely and follow the country's governing tax laws.

I recommend: Read through the export section of the US Customs and Border Protection website in order to determine the regulations that require export commercial invoice creation. For a brief overview of the important points of commercial invoice form rules, check out Export Import Consulting.

Consider a commercial invoice download

When you look at an online commercial invoice, it will make it easier for you and your staff to understand how to fill one out. If you don't use an international commercial invoice template, you may not remember to include all of the required information.

I recommend: The shipping company DHL provides information regarding a commercial invoice for shipping goods. You can download their online commercial invoice in order to learn how to fill out this important document. Ship North America also has free commercial invoice forms available for download that can be used for training purposes.

Get commercial invoice help from software providers

Software programs can not only help you design your own company commercial invoice form, but also give you tips on how to remain compliant. For example, common company mistakes include providing a packing slip instead of a commercial invoice.

I recommend: Unz & Co has a software program that gives you compliancy tips as well as a commercial invoice download that you can use while shipping internationally. Shipping Solutions also has an international shipping software program that you can use to learn how to create commercial invoices. Preview a free version of the commercial invoice forms in PDF format.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Commercial invoice forms ask for numerous details regarding the dutiable goods. Let your staff know during training that they must provide commodity descriptions, country of manufacture, total value price, weight, tax identification number and terms of trade.

A commercial invoice is a document required by U.S. Customs when goods are shipped internationally. Commercial invoices figure out the amount of tariffs to be charged on the shipment.

Although there is no standard format for a commercial invoice, the document must include a few specific pieces of information: the parties involved in the shipping transaction; the goods being transported; the country of manufacture; and the Harmonized System codes for those goods. A commercial invoice must also include a statement certifying that the invoice is true, and a signature.

The invoice should be completed on the shipper's company stationery in English, must contain the shipper's complete address and telephone number and fax numbers, and it must be signed by the shipper or its agent. The shipper must provide an accurate and complete description of the goods.

To avoid problems with the commercial invoice form, you must

1. Create or download a form that has all the information required by U.S. Customs regulations.
2. Find out classification terms—such as Harmonized Systems Codes and Incoterms—that are needed for the form.
3. Fill out the commercial invoice completely and accurately.

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Find information you need for your commercial invoice form

To properly fill in the form and avoid problems with U.S. Customs, you need to have the correct information.

I recommend: You will need to find the Harmonized Systems Code number for the goods you are exporting. Harmonized Systems Codes (HTS) are an internationally standardized system of names and numbers for classifying traded products. Incoterms are standard trade definitions most commonly used in international sales contracts. The other information needed are serial numbers, item numbers, the reason for shipment, what items are made of and the main components of items.

Download or print out an online commercial invoice and fill it out

Many shipping companies offer a template on their websites of a commercial invoice. Download and print it; then fill it out in order to ship goods overseas.

I recommend: DHL offers a free, portable document format (PDF) commercial invoice form on its website, and you can type information in and digitally sign it. The company also provides information on elements of the commercial invoice form and how to fill it out. FedEx also has an online international commercial invoice form you can print out or complete online. Another leading international shipping company, UPS, also provides a downloadable, free commercial invoice template for shipping.

Create a commercial invoice yourself

Don't want to use one of the templates found online? Create a commercial invoice by using special software programs.

I recommend: Invoice by Click is a software program that allows you to create a variety of invoice forms that are very useful for your business, including commercial invoices and international commercial invoices. QuickBooks is small business accounting software that includes the ability to customize invoices of all kinds.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Three copies of the commercial invoice are required for all non-document shipments: the original commercial invoice, one copy attached to the shipment paperwork and one copy attached to the shipment.
• •  You can use business or personal stationery for these invoices if it contains all the required shipment information that is on your invoice.

Commercial invoices, documents used in foreign trade, work as customs declarations for a person or business sending goods over international borders. There is no standard format for a commercial invoice. However, there are several pieces of information that invoices must contain, such as the involved parties, what's being shipped, the manufacturing country and certain codes used for the goods. You'll need to know these commercial invoices key terms in order to fill them out properly.

Action Steps
The best contacts and resources to help you get it done

Commercial invoice

The invoice itself is a document used by customs officials to classify materials, in order for duties and taxes to be assessed correctly. Although not all companies use the same commercial invoice to ship items internationally, there are several sections that each one uses, such as the exporter's and importer's information, the country of manufacture and a description of the items being shipped.

I recommend: FedEx provides a sample commercial invoice with an explanation of what they're used for.

Tariff

The primary use of commercial invoices is to calculate tariffs. A tariff is money that's collected on goods when they're moved across political boundaries. They're usually imposed on imported goods, but can also be imposed on exported goods.

I recommend: MSN Encarta defines what a tariff is and how it works.

Harmonized system codes

Harmonized system codes are internationally standardized codes used for shipping goods that are listed on the commercial invoice. The code consists of six digits, the first four of which are referred to as the heading. The four and six-digit numbers refer to the same goods in every country that uses the harmonized system.

I recommend: The North Carolina Department of Commerce provides an overview of what harmonized system codes are.

Air waybill

The air waybill is the ticket and passport for the item or items you're sending, which ensures that they are delivered. It is usually a number, and provides many pieces of information regarding the shipment for the shipping company, sender and customs.

I recommend: DHL provides a full definition of what an air waybill is and what information it provides.

Declaration

Some commercial invoices require a written declaration. The declaration usually includes a sworn statement from the company or person sending the exported material that indicates the materials are manufactured in the exporting country. The declaration also shows that the amount on the invoice is correct.

I recommend: Export 911 provides a brief definition of a declaration.

Letter of credit (L/C)

Some companies include a letter of credit on their invoices as a means of payment. A letter of credit is a legal document from the buyer's bank stating that the payment for the goods will be issued to the seller. The L/C assures the seller that he or she will be paid for the goods.

I recommend: Expert Law explains what a letter of credit is and discusses the different types. InvestorWords.com provides a narrower definition of letter of credit.