Invoicing guide
How to invoice in the United States
What a valid invoice needs in the United States, how sales tax (state and local) works, and what is changing. Checked 22 September 2026.
Rules in the United States changed recently and published guidance is not fully settled. Treat this as a starting point and confirm with Streamlined Sales Tax Governing Board (state rules vary) or an adviser.
| Tax | Sales tax (state and local) |
|---|---|
| Rate | No national rate. 45 states and DC charge sales tax, at state rates up to 7.25% plus local taxes. Many services are not taxed. |
| Registration | Economic nexus usually starts at $100,000 of sales into a state per year, though some states set higher limits. |
| Currency | USD |
| E-invoicing | No federal mandate. B2B e-invoicing is voluntary. |
| Tax authority | Streamlined Sales Tax Governing Board (state rules vary) |
What a valid invoice must include
- Your business name and address
- Invoice number and date
- Description and price of each item
- Sales tax shown separately where you charge it
- Customer's exemption or resale certificate details if you do not charge tax
Good to know
US clients paying foreign contractors often ask for a W-8BEN (individuals) or W-8BEN-E (companies). Freelancers in the US may need to provide a W-9 instead.
Invoicing the United States clients from abroad
If you are not based in the United States, the rules of your own country usually decide what goes on the invoice. Business-to-business services supplied across borders are often outside the scope of local tax or fall under reverse charge. Invoice in USD if your client prefers it, so they pay the exact amount.
How Pigee Invoice helps
- Invoices in USD and 50+ other currencies
- Tax treatment suggested from your country and your client's, including reverse charge
- Sequential, month-based invoice numbers such as INV-OCT-001
- A pay page with card payment and your bank details
This guide is general information, not tax advice. Tax rules change; check with Streamlined Sales Tax Governing Board (state rules vary) before relying on it.
Questions people ask
What is the sales tax (state and local) rate in the United States?
No national rate. 45 states and DC charge sales tax, at state rates up to 7.25% plus local taxes. Many services are not taxed..
When do I have to register for sales tax (state and local) in the United States?
Economic nexus usually starts at $100,000 of sales into a state per year, though some states set higher limits.
Is e-invoicing mandatory in the United States?
No federal mandate. B2B e-invoicing is voluntary.
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