Commercial Invoice
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A commercial invoice is a legal document issued by a seller to a buyer in an international trade transaction. It details the goods being sold, their quantities, values, and the terms of the sale. Customs authorities use it to assess duties and taxes and to verify that the shipment complies with import and export regulations.
In depth
A commercial invoice typically includes the names and addresses of both the buyer and seller, a detailed description of the goods, the harmonized system (HS) code for classification, the quantity and unit price, total value, currency, country of origin, and shipping terms such as FOB or CIF. It is one of the most important documents in international trade and is required for customs clearance in virtually every country.
Accuracy on a commercial invoice is critical. Undervaluing goods to reduce duty payments is considered customs fraud and can result in serious legal consequences, delays, and penalties. For businesses that regularly import or export, maintaining accurate and consistent commercial invoices is part of broader trade compliance practices that protect the business from regulatory risk and keep the supply chain moving without unnecessary delays at the border.