When conducting international trade, it’s important to understand the different types of invoices that may be required. Two types of invoices that are commonly used in international trade documentation are export invoices and customs invoices. While both types of invoices provide information about the goods being shipped, they serve different purposes and are used by different parties in the transaction. The key differences between export invoices and customs invoices:

Export Invoice An export invoice is a commercial document that is used by the exporter to bill the buyer for the goods that are being shipped. It includes details about the products, such as the description, quantity, and price, as well as any applicable taxes or fees. The export invoice serves as proof of the transaction and is used to obtain payment from the buyer.

The information that is included in an export invoice may vary depending on the country of origin and the destination country. However, in general, an export invoice should include the following information:

• Date of invoice
• Name and address of the exporter
• Name and address of the buyer
• Description of the goods being shipped, including quantity and price
• Total value of the shipment
• Payment terms and method
• Shipping terms

Customs Invoice A customs invoice, also known as a customs declaration, is a document that is required by customs officials to clear the goods through customs. It provides detailed information about the goods, including their value, origin, and classification. Customs officials use this information to assess the appropriate customs duties and taxes that are due on the goods.

The information that is included in a customs invoice may vary depending on the country of origin and the destination country. However, in general, a customs invoice should include the following information:

• Date of invoice
• Name and address of the exporter
• Name and address of the buyer
• Description of the goods being shipped, including quantity and price
• Country of origin of the goods
• Harmonized System (HS) classification of the goods
• Value of the goods
• Total weight of the goods
• Declaration of the exporter or their agent

Key Differences The key differences between export invoices and customs invoices are as follows:

• Purpose: An export invoice is used to bill the buyer for the goods that are being shipped, while a customs invoice is used to clear the goods through customs and assess the appropriate customs duties and taxes.
• Information: An export invoice provides information about the products, such as the description, quantity, and price, while a customs invoice provides detailed information about the goods, including their value, origin, and classification.
• Parties involved: An export invoice is used by the exporter and the buyer, while a customs invoice is used by customs officials and the exporter.

While both export invoices and customs invoices provide information about the goods being shipped, they serve different purposes and are used by different parties in the transaction. Export invoices are used to bill the buyer for the goods and serve as proof of the transaction, while customs invoices are used to clear the goods through customs and assess the appropriate customs duties and taxes. Understanding the differences between these two types of invoices is important when conducting international trade.