Sample Charges Invoice: Billing for Product Samples

A buyer asks for three samples of your custom printed tote bags before placing an order for 2,000. Do you send them free, charge for them, or charge and refund later? A sample charges invoice is the document you use when you decide to bill for samples: it lists the sample items, any sample or setup fee, shipping, tax, and the terms under which the fee will be credited against a future order.

This guide covers when charging for samples makes sense, what the invoice should contain, a worked example with the credit applied later, and the tax and customs points that trip up exporters.

Free samples vs paid samples

Approach	Best for	Risk
Free samples	Low-cost stock items, established buyers	Costs add up from requests with no intent to buy
Paid samples, no credit	Retail buyers, one-off requests	Can put off serious B2B buyers
Paid samples, credited on order	Custom or costly samples, new B2B buyers	Needs tracking so the credit is applied correctly
Buyer pays shipping only	Cheap items with high courier costs	Courier costs can still be disputed

The paid-then-credited model is the most common for manufacturers and wholesalers, because it covers your cost if the buyer walks away and costs a serious buyer nothing in the end.

What a sample charges invoice should include

• Your business details, tax number and invoice number. Many businesses use a prefix such as SMP- to keep sample invoices easy to find.
• Buyer details and their reference or inquiry number
• Each sample item: description, size, color, material, quantity, unit price
• Setup, tooling, artwork or mold charges, listed separately
• Shipping and courier charges, with service level
• Tax at the correct rate
• Payment terms (samples are usually paid in advance)
• Sample fee credit terms: what qualifies, the minimum order, the time limit
• Expected dispatch date and lead time

For courier lines, our guide to shipping and handling charges on an invoice covers how to show them and whether to add tax.

Worked example: sample invoice and later credit

Step 1: the sample charges invoice

Description	Qty	Unit price	Amount
Custom printed cotton tote bag sample, 38 x 42 cm, 2-color print, client artwork v2	3	$15.00	$45.00
Screen setup and sample print run	1	$90.00	$90.00
Express courier, 2 to 3 business days	1	$38.00	$38.00
Total due before dispatch			$173.00

Invoice SMP-0112. Note: "Sample and setup charges of $135.00 will be credited against a confirmed order of 1,000 units or more placed within 90 days of this invoice. Courier charges are not credited."

The math: 3 x $15 = $45; plus $90 setup = $135 creditable; plus $38 courier = $173. Sales tax is not shown because this example is a B2B sale for resale in a state that exempts it with a resale certificate; your situation may differ.

Step 2: the bulk order invoice with the credit

Description	Qty	Unit price	Amount
Custom printed cotton tote bag, as approved sample SMP-0112	2,000	$3.20	$6,400.00
Credit for sample charges, invoice SMP-0112	1	-$135.00	-$135.00
Total			$6,265.00

Showing the credit as its own line keeps your unit price intact, which matters for future reorders. It works like any other discount line; see how to show a discount on an invoice for formatting options.

How to price samples

Sample prices are rarely the same as unit prices on a bulk order, because a sample carries the setup cost of a whole production run. A simple method is to add up the real cost and decide how much of it you want the buyer to carry:

• Materials for 3 samples: 3 x $4.00 = $12.00
• Screen setup and printing time: 1.5 hours x $40.00 = $60.00
• Packing and admin: $8.00
• Total cost: $80.00

Charging $135 (as in the example above) covers the cost with a margin for staff time spent on quoting and follow-up. Some suppliers charge at cost and others charge a round fixed sample fee per design. Either works if it is written down and applied consistently.

Sample policy wording you can adapt

Put your sample policy on your website, your quotations and the sample invoice so buyers see the same terms everywhere. Example wording:

"Stock samples are free for trade customers, up to 2 items per product, with courier charges paid by the buyer. Custom samples are charged at the price quoted and are payable in advance. Custom sample and setup charges are credited in full against a bulk order of the approved design of at least 1,000 units placed within 90 days. Courier, duty and import taxes are not refundable. Approved samples are kept on file as the quality reference for the bulk order."

The last sentence matters. When the bulk goods arrive, the approved sample is what both sides compare them with, so record its reference number on the bulk invoice too.

Recording samples in your books

Paid samples are sales and belong in your sales income like any other invoice. When you later apply the credit on the bulk order, the credit line reduces the income on that bulk invoice. Free samples are a marketing cost: the cost of the goods given away is usually recorded as an advertising or promotion expense rather than as a sale. Keeping a simple sample log with date, buyer, items, value and outcome also tells you which buyers actually order after sampling.

Proforma or invoice for samples?

Because samples are usually paid before dispatch, some suppliers send a proforma invoice first and issue the final invoice once payment arrives. That works, but remember a proforma is not a demand for payment in the accounting sense and does not go in your sales ledger. The difference is explained in proforma invoice vs quotation. If you are VAT- or GST-registered and paid in advance, the tax point rules may require a proper tax invoice when payment is received.

VAT and GST on samples

When you charge for a sample, it is an ordinary sale, so normal VAT, GST or sales tax rules apply. The trickier case is free samples. In the UK, HMRC's guidance says samples given free to individuals for marketing purposes are not liable to VAT, but output tax becomes due if the samples are discontinued items or the quantity is more than is needed to assess the product (HMRC manual VATSC03350). Other countries have their own rules, and in some, free samples can affect your input tax claims. This is general information, not tax advice.

Customs paperwork for international samples

• Paid samples: send a commercial invoice showing the real price paid. Our commercial invoice template lists the fields customs needs.
• Free samples: use a free-of-charge or no commercial value invoice, but state a realistic value for customs purposes and mark the goods as samples.
• Always include: HS code, country of origin, quantity, weight and a clear description. "Sample" alone is not a description.
• Agree who pays duty and taxes at the destination before sending.

Some countries allow commercial samples of negligible value to enter free of duty if they are marked or made unusable for sale. Rules differ, so check the destination country's customs guidance. For more on paperwork at the border, see our guide to the customs invoice.

Step by step: creating a sample charges invoice

1. Confirm the sample spec in writing: design version, size, color, material and quantity.
2. Price each element: sample units, setup or tooling, and courier.
3. Use a recognizable invoice number or prefix so the credit can be traced later.
4. Describe each item precisely, including the artwork or design version approved.
5. Add tax at the right rate for the buyer's location.
6. Write the credit terms in the notes: minimum order, time limit, and which charges are creditable.
7. Request payment before dispatch and send the tracking number once shipped.
8. Diary the credit expiry date, so you can remind the buyer before it lapses; that reminder is often what converts the sample into an order.

Common mistakes with sample invoices

• No credit terms in writing, so buyers expect a refund on any order size.
• Forgetting to apply the credit on the bulk order, which annoys a new customer.
• Declaring paid samples as no commercial value to avoid duty.
• Vague descriptions that do not identify the approved sample, leading to disputes about what the bulk order should match.
• Shipping before payment to unknown buyers.

Ready to bill for your next samples? Our free invoice generator lets you add sample items, setup fees, courier costs and your credit terms in the notes, then save the invoice as a PDF, all without creating an account.