The commercial invoice is the single most important document in an international shipment. Customs uses it to identify the goods, check what can be imported, classify them, and calculate duties. When a shipment is held at customs, an incomplete or unclear invoice is very often the reason.
What is a commercial invoice?
It is the seller's invoice to the buyer for the goods being shipped, prepared in a form that meets customs requirements. It is different from a freight invoice (what you pay the carrier) and from a packing list (what is in each box), although the packing list accompanies it.
What U.S. Customs expects to see
U.S. regulations list the information an invoice must contain. In practice, make sure yours includes:
- Seller and buyer: full names and addresses. If the goods are shipped to someone other than the buyer, include the consignee too.
- Date and invoice number.
- Detailed description of each item: what it is, what it is made of, and what it is used for, in plain English.
- Quantity of each item, with the unit (pieces, sets, kilograms).
- Unit price and total value, and the currency.
- Country of origin of each item: where it was made, not where it was shipped from.
- Terms of sale (Incoterms), such as EXW, FOB, DAP or DDP, which show who pays freight and duties.
- Charges such as packing, freight and insurance, listed separately when they are included in the price.
- Any discounts, rebates or commissions.
Adding the HTS code for each line is not always mandatory for the seller, but it speeds up classification. See HTS codes explained.
Writing good descriptions
Customs officers need to know exactly what the goods are. Compare:
- Weak: "Furniture". Better: "Three-seat sofa, beech wood frame, upholstered in cotton fabric".
- Weak: "Machine parts". Better: "Steel gear wheels for industrial mixers, 30 cm diameter".
- Weak: "Samples". Better: "Ceramic floor tile samples, 30×30 cm, no commercial value".
A precise description lets customs classify the goods without asking questions, and questions mean delays.
Common mistakes
- Undervaluing goods to reduce duties. It is illegal and frequently detected; penalties can far exceed the duty saved.
- Marking goods as "gift" when they were bought. Customs looks at the real transaction.
- Missing country of origin, or giving the shipping country instead.
- Inconsistent documents: quantities or weights that differ between the invoice, the packing list and the bill of lading.
- Missing currency, or a total that does not add up.
Pro forma invoice: when the goods are not sold
If no sale takes place, for example for samples, items sent for repair, exhibition goods or personal belongings, you use a pro forma invoice. It contains the same information, but the value is a fair market value or replacement value, and the invoice states why the goods are being shipped. "No commercial value" does not mean zero value for customs purposes: a realistic value must still be declared.
The packing list
The packing list accompanies the invoice. For each package (pallet, crate, carton), it shows what is inside, the dimensions and the gross and net weight. It helps customs if they decide to inspect, and it helps the delivery team plan handling.
Who prepares it?
The seller or shipper prepares the commercial invoice. When you request a quote from KDX, we check the documents with you before pickup so that the entry can be filed without back-and-forth. Our customs clearance service describes what we handle.
This guide is general information, not legal or customs advice. Rules and rates change; check the current requirements for your shipment.
