Sales invoice template for selling goods

When to use a sales invoice

Use a sales invoice whenever you supply products and the customer pays afterward: wholesale orders, trade accounts, goods shipped to an online buyer on credit, or stock delivered to a store. If the customer paid at the counter, a receipt is enough. If you mainly bill labor, a service invoice reads better.

The service invoice template is built around a job and a visit. This one is built around items, so the columns put the product code and quantity first.

Sales invoice format: the fields that matter for goods

A good sales invoice lets the buyer’s receiving team check the boxes against the paper. Beyond the usual invoice number, dates, seller and buyer, product sales need item level detail and delivery information that a service bill can skip. These are the fields to keep.

• Item code or SKU, the same one printed on your packing slip.
• Description with size, material or color.
• Unit of sale, such as each, case of 12 or kilogram, so quantities are not misread.
• Quantity, unit price and line total.
• Buyer’s purchase order number, if they gave one.
• Ship to address and delivery date, when different from the billing details.
• Shipping, discounts and tax, each shown on its own line.
• Payment terms, for example net 30, with the exact due date.

GST/HST details on a sales invoice in Canada

The Canada Revenue Agency asks GST/HST registrants to show the rate that applies, and either the tax as a separate amount or a clear statement that the total includes it. Where HST applies, show the total HST rate, not the federal and provincial parts. Business customers need extra details to claim input tax credits.

Your GST/HST account number is your 9 digit business number followed by RT and a 4 digit reference, such as 812345670 RT0001. Small suppliers with $30,000 or less of worldwide taxable supplies in a calendar quarter and over the last four quarters do not have to register. Rates differ by province: Alberta 5% GST, Ontario 13% HST and Nova Scotia 14% HST, for example.

Sales invoice example: a kitchen supply order in Calgary

Here is a made up sales invoice from a Calgary restaurant supplier to a cafe in the same city. The order is over $500, so the buyer’s name, a description and the payment terms all appear, and GST is charged at 5% for Alberta. All prices are examples only.

The notes quote the cafe’s purchase order and the packing slip number, and confirm nothing is on backorder, so the invoice matches the delivery line for line.

Sales invoice mistakes that delay payment

Payment holdups on product orders usually start in the buyer’s receiving area, where someone matches the delivery, the purchase order and your invoice. If any of the three disagree, the invoice sits in a queue. These are the mismatches to look out for.

1. Cases on one document, units on another. Three cases of 12 is 36 pans, not 3.
2. Billing the full order for a part shipment. Invoice what shipped, and send a second invoice for the backorder.
3. No purchase order number. Some buyers cannot approve an invoice without it.
4. No GST/HST number on a sale of $100 or more. The buyer cannot claim the input tax credit.
5. HST split into federal and provincial parts. Show the single total rate.
6. Codes that differ from the packing slip. Use one product list for both.

Download the sales invoice template

Download the Word, Excel or PDF version here. The Excel file suits long product lists because it multiplies each quantity by its price. To work online instead, open the kitchen supply sample in the invoice generator; its Canada preset picks GST or HST from the province you choose.

For orders that leave the country, add the customs fields from the commercial invoice template. Our checklist of what to include on an invoice covers the basics, and the full template library has other layouts.