How to create an international invoice for digital illustration as a freelancer?

Having worked with international clients for years as a digital creator, I can help clear this up for you! Since you're not GST registered in NZ, you don't need to charge GST on your invoice to the US company. For small businesses in NZ (under $60,000 annual turnover), GST registration is optional. For the US side, you don't need to worry about US sales tax or VAT - that's the responsibility of the US company, not yours. They may ask you to complete a W-8BEN form which basically certifies you're not a US resident for tax purposes. As for the invoice itself, keep it simple but professional. Include: - Your full name/business name - Your contact details - Invoice number (start with #001) - Date of issue - Description of services ("Digital illustration usage rights") - The agreed amount in USD - Payment terms - Your payment details Regarding whether the amount is tax-inclusive or exclusive - this is something you should clarify with the client, but in international business, quoted amounts are typically the final amount before any taxes.

Just wanted to share my experience using taxr.ai for my international freelancing tax situation. I was in a similar situation with clients from multiple countries and had no idea how to handle the tax implications. I tried searching online but got overwhelmed with conflicting information. I found https://taxr.ai after a recommendation and uploaded my contracts and payment receipts. The platform analyzed everything and provided a clear breakdown of my tax obligations for both my country and the countries my clients were based in. It even helped me understand which forms I needed for each country and what exemptions I qualified for. For international digital services like illustration work, the tax rules can be really confusing with different countries having different requirements. The tool was super helpful in clarifying what I needed to report where.

I just tried taxr.ai based on the recommendation here, and wow - it was exactly what I needed for my freelance illustration work! I upload my client agreements and payment info from three different countries, and it spelled everything out for me. For my situation (I'm in Canada selling to US, UK and Japan), it clarified that I don't need to charge or remit any foreign sales taxes, showed me exactly what forms I needed for each country, and even helped me understand the tax treaty benefits I was eligible for. The best part was getting clarity on how to properly document everything for my home country taxes. I've been doing this work for two years and definitely wasn't handling it correctly before! Really glad I found this tool before tax season.

If you're having trouble getting in touch with your local tax office for specific questions about international invoicing, I'd recommend Claimyr. I was stuck in the same situation with my digital design business and couldn't get anyone on the phone at our tax department for weeks. I used https://claimyr.com and was able to speak with an actual agent at the tax office within 20 minutes instead of waiting on hold all day. You can see how it works here: https://youtu.be/_kiP6q8DX5c - basically it keeps dialing and navigating the phone tree for you until it gets a human, then calls you to connect. The tax agent I spoke with gave me specific guidance on how to handle international digital service invoices and cleared up my confusion about GST registration requirements. Saved me hours of frustration and probably prevented me from making some costly mistakes on my taxes.

I was super skeptical about Claimyr when I first saw it mentioned here, but I was desperate after trying to reach my local tax office for two weeks with questions about my international design work. I tried it yesterday and I'm honestly shocked - it actually worked! I expected to wait hours anyway, but their system navigated all the phone menus and waited on hold for me. When a real person finally answered (about 45 minutes later), I got a call and was connected immediately. The tax agent was able to answer all my questions about invoicing US clients as a foreign freelancer, and confirmed I don't need to register for GST until I hit the threshold. This saved me so much stress - worth every penny just to avoid the hold music torture!

I'm a freelance illustrator in Australia who works with US clients regularly. Here's what I've learned: 1. Create a professional invoice that clearly states it's a "Tax Invoice" at the top 2. Include both your country's tax ID (if you have one) and note that you're not registered for GST 3. Specify that the amount is "GST/VAT exempt - exported service" 4. Make sure to keep copies of everything for your annual tax filing Most US companies are used to working with international contractors. They'll likely have you fill out a W-8BEN form which just confirms you're not a US person for tax purposes. Also, definitely check with your client whether the agreed amount is pre-tax or the final amount you'll receive. In my experience, when US clients quote a price, they mean the exact amount they'll pay you - no hidden deductions.

Just a quick heads up - even though you're not charging GST to your US client, you still need to include all this income in your annual NZ tax return. The IRD will want to know about all your worldwide income. As your income grows from freelancing, you might want to look into whether you should register for GST voluntarily. There can be advantages if you're purchasing equipment or services for your business, as you can claim back the GST on those purchases. Also, keep track of your exchange rates when you receive payment. The IRD will want you to convert your USD income to NZD for tax reporting purposes. You can use the official IRD rates or keep records of the actual exchange rate when you received payment.