EDIFACT INVOIC: The Invoice, Explained in Depth

INVOIC is the UN/EDIFACT Invoice message - the international equivalent of the X12 810. The supplier uses it to bill the buyer for goods or services, normally referencing an earlier ORDERS message. It is one of the most widely exchanged EDIFACT messages in international trade.

Where INVOIC fits

Like its X12 counterpart, the INVOIC sits near the end of the trading cycle: ORDERS to place the order, ORDRSP to acknowledge it, DESADV to advise the despatch, then INVOIC to bill. The buyer's accounts-payable system reconciles the INVOIC against the original order and the goods received, the EDIFACT equivalent of the three-way match. A clean reference chain between these messages is what allows that reconciliation to happen automatically.

The key segments of an INVOIC

BGM - Beginning of Message

BGM+380+INV-3391+9 means a commercial invoice (document code 380), number INV-3391, function 9 (original). Other document codes distinguish credit notes (381) and other invoice types, so the BGM code is worth checking carefully.

RFF - Reference

This is the link back to the order. RFF+ON:PO-55012 references order number PO-55012 (qualifier ON = order number). Without a correct RFF, the invoice cannot be matched to its purchase order.

NAD - Name and Address

Identifies the parties: NAD+SU supplier, NAD+BY buyer, NAD+IV invoicee (the party to be billed, which is not always the buyer). As in ORDERS, parties are often identified by GLN.

LIN, QTY, MOA, PRI - the line-item group

Each invoice line is built from several segments. LIN+1++5410738377056:EN identifies the product, QTY+47:100 gives the invoiced quantity (qualifier 47 = invoiced quantity), MOA+203:1250.00 gives the line amount (qualifier 203 = line item amount), and PRI+AAA:12.50 gives the unit price.

MOA - Monetary Amount

MOA appears at both line and summary level, distinguished by qualifier. MOA+77 is commonly the invoice total amount payable, MOA+79 the total line-items amount, and MOA+124 the tax amount. Reading the qualifier is essential, because the same segment carries very different figures.

TAX - Duty/Tax/Fee Details

Describes VAT or other taxes applied, including the rate and category. In international and especially European trade, correct VAT handling in the TAX and related MOA segments is critical.

A complete worked example

UNH+1+INVOIC:D:96A:UN'
BGM+380+INV-3391+9'
DTM+137:20240225:102'
RFF+ON:PO-55012'
NAD+SU+4012345000094::9'
NAD+BY+5412345000013::9'
LIN+1++5410738377056:EN'
QTY+47:100'
MOA+203:1250.00'
PRI+AAA:12.50'
UNS+S'
MOA+77:1250.00'
UNT+12+1'

In plain English: the supplier is billing the buyer on invoice INV-3391 dated 2024-02-25, against order PO-55012, for 100 units at 12.50 each, with a total payable of 1,250.00.

Common pitfalls when reading an INVOIC

• Reading MOA without the qualifier. The same MOA segment carries line amounts, totals, and tax depending on the qualifier. Always read the leading code.
• Missing the RFF link. If the RFF order reference is wrong or absent, automated matching fails.
• Credit note vs invoice. A BGM document code of 381 is a credit note, not an invoice. Treating one as the other reverses the accounting.

Frequently asked questions