CBP Regulations: Commercial Invoice
Commercial invoice is a primary document that the U.S. Customs and Border Protection (CBP) uses to ascertain classification and valuation of the shipment and the duty payments that importers owed on each shipment that reaches the U.S Port of Entry. Before clearing and releasing the cargo for making an entry into the United States, CBP may require from you a commercial invoice.
A commercial invoice is an official receipt that is prepared in accordance with the Section 141.86 through 141.89 of CBP Regulations. It is signed by the seller, shipper, or customs broker and may be presented to the CBP at the time of cargo release. U.S. Importers and customs brokers, who participate in the Automated Broker Interface may choose to transmit invoice data through EDIFACT or Automated Invoice Interface and eliminate all paperwork, as well use a commercial invoice software.
What should the Commercial Invoice cover?
The Tariff Act requires importers to provide the following information in their commercial invoice:
- Terms of Sale
- Shipment Terms
- Merchandise Details and
- Value of Merchandise
Below are the details that must appear on the commercial invoice:
- Details of the port of entry to which the shipment is destined.
- Time, Place, and Names of the Buyer and Seller; if the shipment is consigned, then the invoice should provide the time and origin of shipment, together with the names of the shipper and receiver.
3. It should also mention the currency and the country of origin.
- Must include the quantities of goods in weights and measures.
- If the goods are meant to be sold, the invoice must contain the purchase price of each item.
- A comprehensive and detailed description of the goods being shipped, including the name, grade or quality of each item and the marks, symbols and numbers under which those items are sold by the manufacturer or seller for trade in the U.S.
- If the goods are shipped for consignment, the price of each item must be mentioned in the currency in which the transactions are made.
- All charges on the consignment should be mentioned together with the name, amount, commission, freight, insurance, commission, containers, cases coverings, and the cost of packing. If this information is not provided, then all the charges, costs, and additional expenses that are incurred in bringing the merchandise must be mentioned.
- It should also mention all rebates, bounties and drawbacks and should be separately itemized and released upon the exportation of the merchandise.
- If the goods are to be sold while they are in transit, the original invoice showing this transaction, together with the resale invoice showing the price paid for each item will be filed as part of withdrawal documentation.
The commercial invoice and all other attachments must be in the English language, or must be accompanied by an accurately translated document in English. The invoice must provide in adequate details about the goods in each individual package.
If you commercial invoice contains all information mentioned above, your shipment will be allowed entry into the U.S. You can use commercial invoice software to fill all the documentation required. The use of free shipping software can help with all the import and export requirements. Logistic management software is a very beneficial tool for all your shipments. To get HTS Code and HTS code lookup.