How to Invoice International Clients: Currency, Payments, Tax and What to Include

By The Invoice Makers team · Updated November 1, 2026 · 9 min read

To invoice an international client, send a normal invoice with a few extra details: state the currency clearly (for example "USD" rather than just "$"), include full legal names and addresses for both sides, add tax IDs such as your client's VAT number, explain any tax treatment (such as "Reverse charge" for business clients in the UK or EU), and give complete international payment details like IBAN and SWIFT/BIC. Agree on currency, payment method and who pays transfer fees before you start the work.

Key takeaways

• Pick one currency, agree on it in writing and write the three-letter currency code on the invoice.
• Whoever is billed in a currency other than their own carries the exchange rate risk.
• Transfer fees can come out of your payment, so say who covers them.
• Cross-border business services are often outside your local sales tax or VAT, but the invoice may need specific wording and the client's tax ID.
• Non-US freelancers billing US clients are usually asked for Form W-8BEN, not a W-9.

What is different about invoicing abroad?

The basics of a good invoice do not change; our guide on how to write an invoice covers them. What changes is that you now deal with two currencies, two tax systems, banks that route money through other banks, and sometimes a language barrier. Each is a place where a payment can shrink or stall.

Choosing which currency to invoice in

You have three realistic options. Each shifts the exchange rate risk to someone.

Whatever you choose, write the currency code next to every amount and the total, for example "Total due: EUR 2,400.00." The dollar sign alone is used by the US, Canada, Australia, New Zealand, Singapore and others, so "$2,400" is ambiguous.

Exchange rates and who bears the risk

Exchange rates move every day. If you quote EUR 2,400 for a project that takes two months, the amount you end up with in your own currency can rise or fall noticeably by the time you are paid. Some ways to manage it:

• Invoice in your own currency if the client agrees. Your income is fixed; the client absorbs the swing.
• Build a small buffer into foreign-currency quotes to cover rate moves and conversion costs.
• Use shorter payment terms so there is less time for rates to move. Net 15 is a safer bet than Net 60; see what Net 30 means for how terms work.
• Hold the foreign currency in a multi-currency account and convert when it suits you, if your provider allows it.

If you show a converted amount for reference, state the rate, its source and the date: "Approx. GBP 2,050 at 1 EUR = 0.854 GBP (source and date)." Make it clear which figure is the amount due.

Payment methods and fees

Fees and exchange margins change often and vary by country and account type, so compare current pricing on each provider's site.

For wires, banks use charge codes that decide who pays fees: OUR (the sender pays all fees), SHA (shared: each side pays their own bank) and BEN (the beneficiary, which is you, pays everything). If you want to receive the full amount, ask for OUR and say so on the invoice: "All bank and transfer charges are the responsibility of the payer." Some clients will push back; agree on it up front or price it in.

VAT and GST on cross-border services

Sales tax on services across borders is usually decided by "place of supply" rules. In the UK, HMRC's place of supply guidance states that for business-to-business (B2B) services, the general rule is that the supply is made where the customer belongs. For business-to-consumer (B2C) services, the general rule is where the supplier belongs. Many services have special rules, so this is a starting point, not the full answer.

The reverse charge, explained simply

When the B2B general rule puts the supply in the customer's country, the customer usually accounts for the VAT themselves under the "reverse charge." According to HMRC, under the reverse charge it is the customer who must account for any VAT due, as if they had supplied the services themselves. The EU works the same way: the EU's Your Europe portal explains that when you sell services to a business in another EU country, you usually do not charge VAT, and the customer pays VAT at their own country's rate using the reverse charge.

In practice, for a VAT-registered supplier billing a VAT-registered business abroad, that usually means:

• Charge no VAT on the invoice (VAT amount 0).
• Include the customer's VAT number and keep evidence that they are a business. HMRC says a VAT number is the best evidence for EU customers.
• Add a note such as "Reverse charge: VAT to be accounted for by the recipient." Within the EU, invoices under the reverse charge are required to carry the words "Reverse charge."

Selling to consumers abroad, or selling digital services, often works differently and can require registering for VAT in the customer's country. Other countries have their own GST rules; for country-specific layouts, see our UK VAT invoice template, Canada GST/HST invoice template, Australia tax invoice template, India GST invoice template and UAE VAT invoice template.

The US has no national VAT, and state sales tax generally does not apply to services exported abroad, though your client may have to self-assess tax in its own country. For domestic orders, use the sales tax calculator.

Details your international invoice should include

Use clear, consistent numbering so a client's accounts team in another time zone can find your invoice; how to number invoices has simple systems. If a client needs a document before paying a deposit or arranging funds, send a proforma invoice.

Language and formatting

English is widely accepted for business invoices, but some countries require or strongly prefer invoices in the local language for tax purposes, and a client's finance team may need one. If so, a bilingual invoice (both languages side by side) is a practical solution. Some tax authorities also require the VAT amount in local currency even on a foreign-currency invoice. Keep descriptions specific: "Website redesign, 5 pages, October 2026," not "Services."

Payment terms for overseas clients

Distance makes chasing harder, so be clear up front. Give an actual due date, not just a term; the payment due date calculator works it out. Consider a deposit of 25% to 50% for new clients, and spell out any late fee in your contract. The late fee calculator shows what a rate adds up to. If you do end up chasing, how to ask for payment has reminder templates that work across borders.

Withholding tax

Some countries require businesses to withhold part of a payment to a foreign supplier and pay it to their tax authority. If that applies, you receive less than the invoice total. A tax treaty between the two countries may reduce or remove the withholding, often only if you give the client proof of your tax residency. If tax is withheld, ask for a withholding certificate or receipt, because you may be able to claim a credit against tax at home. Ask about it before you sign.

W-8BEN: non-US freelancers billing US clients

If you live outside the US and invoice a US company, expect to be asked for Form W-8BEN (or W-8BEN-E if you invoice through a company). It certifies that you are a foreign person for US tax withholding and reporting. A few points from the IRS instructions:

• You give the form to the client or payer that requests it; you do not send it to the IRS.
• It generally stays valid until the end of the third calendar year after you sign it, unless your circumstances change.
• Pay for work you perform entirely outside the US is generally not US-source income, so US tax is not usually withheld, but the client still needs the form for its records.

US citizens and residents use Form W-9 instead. If you are a US freelancer billing a foreign client, that client may ask for proof of US tax residency to apply a treaty rate.

Send your first international invoice

Agree on currency, payment method and fees before the work starts, and the invoice becomes the easy part. Our free invoice generator lets you choose the currency, add tax IDs and notes such as "Reverse charge," include your international bank details and download a PDF in minutes. For more on structuring your billing as a freelancer, read the freelance invoice guide.