The short cut
To write an auction invoice, list every lot with its number and hammer price, show the buyer's premium as its own line with the percentage printed, state the base you taxed, and give the consignor a separate signed settlement statement showing gross, each deduction, unsold lots and the net owed.
Two documents, two readers
The buyer's invoice says what the winning bidder owes. The consignor's settlement statement says what the seller is owed after the house has taken its share. They share lot numbers and hammer prices and almost nothing else. A buyer should never see the commission you take from the consignor, and a consignor should never have to work out your buyer's premium to understand the check.
The North Carolina Auctioneers Licensing Board brochure describes the seller side plainly: at or before final settlement, a statement listing the goods sold, the selling prices and the net proceeds due, signed by the licensee and the recipient. Most states that license auctioneers ask for something similar, so build the statement to that shape even where nobody requires it.
What goes on the buyer's invoice
Start with who and when: the sale name or number, the sale date and the bidder number. A phone or online bidder is easier to find by number than by name. Then one line per lot with the lot number, the catalog description and the hammer price. Copy the catalog wording. If the catalog said "oak partners desk" and the invoice says "antique oak desk", you have just handed someone an argument about the word antique.
After the lots, the buyer's premium goes on its own line with the percentage written out, in the same words as the printed sale terms. Then any platform or card fee you pass on, sales tax with its base stated, and shipping if you arranged it. Close with the payment deadline and a time of day, the accepted methods, the collection window and what happens to goods left past it. Uncollected lots sit on your floor, so this sentence matters more here than in almost any other trade.
Auction invoice example, filled in
A buyer takes three lots at a general sale. The premium is 20% and the house charges sales tax on hammer plus premium. Both percentages are samples to replace with your own sale terms.
INVOICE
Bill to
Marcus Hale
Bidder number 227
14 Pine Row, Oakridge
Sale
Estate and Collections Sale 41
Collection by appointment
| Description | Qty | Rate | Amount |
|---|---|---|---|
| Lot 112, oak partners desk Hammer price | 1 | $850 | $850 |
| Lot 118, pair of brass candlesticks Hammer price | 1 | $240 | $240 |
| Lot 131, Persian rug, 8 x 10 Hammer price | 1 | $1,300 | $1,300 |
| Buyer's premium, 20% of hammer As printed in the sale terms | 1 | $478 | $478 |
| Subtotal | $2,868 |
| Sales tax at 8% on hammer plus premium | $229.44 |
| Total due | $3,097.44 |
Collection. Lots not collected by 28 November move to paid storage at the rate in the sale terms.
Hammer prices total $2,390. The 20% premium is $478, so the taxable amount is $2,868, tax at 8% is $229.44 and the total is $3,097.44. The tax line names its base, which is the sentence that saves a phone call.
Is the buyer's premium taxable?
In the states that have written it down, mostly yes, but the details differ, and the details are what end up on your invoice.
| State | What the source says about the premium |
|---|---|
| New York | Part of the sales price and taxable; the house's own selling costs are not deductible (New York advisory opinion TSB-A-24(48)S) |
| California | Gross receipts to the auctioneer and taxable; the auctioneer is treated as the retailer (CDTFA annotation 115.0010) |
| Nebraska | Taxable; taxable and non-taxable sales on one invoice must be separately stated; vehicles, trailers, boats and similar items excepted from collection (Nebraska information guide 6-361) |
| Missouri | Part of the sales price; on titled property the auctioneer does not collect, the buyer pays when titling (Missouri letter ruling 8285) |
| Texas | The rule says tax is due from the purchaser on the sales price of taxable items sold at auction and the auctioneer collects it, but does not mention premiums (34 TAC 3.311). Texas letter ruling 9003L0996A11 (30 March 1990) treated a buyer's fee as part of the taxable sales price when the item sold is taxable, as summarized in a ruling summary and cited in a Colorado letter GIL-11-003 (2011). We found no current Comptroller page on premiums, so confirm with the Comptroller |
Five states, with the Texas answer resting on a 1990 letter ruling read through secondary copies. Ask your own state revenue department before you set your tax line.
California's annotation gives the arithmetic in one line: at a 6% rate, the tax on a $100 sale carrying a premium is $6.60, because the premium is in the base. Nebraska's rule about separately stating taxable and non-taxable sales is the one to copy everywhere. If one invoice carries a taxable lot and a titled vehicle, put them on separate lines with the tax base shown, or risk the whole invoice being treated as taxable.
Dealers buying for resale should hand you a resale or exemption certificate before the sale, not after. Record the certificate number on the invoice and show the tax line at zero with the reason. An invoice with no tax and no reason invites an auditor to supply one.
The consignor settlement statement
The consignor wants three things: what sold, what it sold for, and what they are getting. Everything in between is a deduction, and each should be traceable to the consignment contract. List unsold lots too, so the consignor can tick the statement against their own list.
| Consignor settlement, Sale 41, same three lots | Amount |
|---|---|
| Lot 112, oak partners desk, sold | $850 |
| Lot 118, pair of brass candlesticks, sold | $240 |
| Lot 131, Persian rug, sold | $1,300 |
| Lot 140, mahogany sideboard, unsold, reserve not met | Returned |
| Gross hammer total | $2,390 |
| Commission, 15% of hammer | -$358.50 |
| Photography and cataloging, flat | -$60 |
| Insurance while in the saleroom | -$25 |
| Net proceeds to consignor | $1,946.50 |
The buyer's premium of $478 appears nowhere on this statement. It belongs to the house, not the consignor.
Commission of 15% on $2,390 is $358.50; less $60 for photography and $25 for insurance, the consignor nets $1,946.50. Decide once whether you show a single seller fee or separate lines, and say which in the contract. If a deduction is a percentage, say whether it comes off before or after flat charges so the numbers can only be read one way.
How fast the consignor must be paid
Several states set the clock, and the statement should show the dates that prove you met it: sale date, date funds cleared and payment date.
| State | Consignor payment rule | Source |
|---|---|---|
| Texas | Proceeds into the trust or escrow account within 72 hours; consignor paid within 15 banking days unless a statute or contract says otherwise; itemized expenses kept | 16 TAC 67.70 |
| Ohio | Paid at settlement, immediately or within 15 days after the auction unless the contract says otherwise, with an itemized account | OAC 901:8-2-06 |
| Louisiana | Within 30 days of receiving the funds or 60 days from the sale, whichever is less | La. R.S. 37:3125 |
| North Carolina | Signed settlement statement; proceeds paid within 30 days of receipt in nearly all cases | North Carolina Auctioneers Licensing Board brochure |
Texas and Ohio let a statute or written contract set a different period; the Louisiana rule as written does not mention one. Whatever your state says, put the period in the consignment agreement, print it on the statement, and check with your licensing board before you rely on a contract term to stretch it.
The disputes this invoice has to survive
Condition. Complaints arrive after the buyer gets home. One line on the invoice settles most of them: goods sold as described in the catalog and otherwise as is, with the preview dates named. The invoice is not where the terms are made, but it is where the buyer is reminded of them in writing on the day they pay.
Late payment. Print the deadline with a time of day and what happens when it passes: a late fee, re-offering the lot, or both, as the sale terms allow. Chase before the deadline, not after, and keep the late fee calculator for the buyer who goes quiet.
The premium itself. Bidders who skimmed the terms question it at the counter. If the percentage on the invoice matches the catalog word for word, the conversation is short.
Invoice the sale while the bidders are still in the room
Open the generator, type each lot and the premium line, and print or send. Free, and the figures stay in your browser.
Auction invoice questions
What is the difference between an auction invoice and a settlement statement?
The invoice goes to the winning bidder and lists lots, hammer prices, the buyer's premium, tax and the total owed. The settlement statement goes to the consignor and lists what sold, the selling prices, seller-side deductions and the net proceeds due.
Does the buyer's premium go on the invoice as a separate line?
Yes, with the percentage, in the same words as the sale terms. Folding it into the lot prices makes the hammer price on the invoice disagree with the one the bidder remembers.
Is the buyer's premium subject to sales tax?
In the states that have addressed it, often yes. New York, California, Nebraska and Missouri sources treat it as part of the sales price, with exceptions such as titled vehicles. Check your own state.
How long do I have to pay a consignor?
It depends on the state and the contract. Texas sets 15 banking days, Ohio 15 days, Louisiana the lesser of 30 days from receiving funds or 60 days from the sale.
Should the commission appear on the buyer's invoice?
No. Buyer-side charges go on the buyer's invoice and seller-side deductions go on the consignor's statement.
How do I show unsold lots?
On the consignor's statement, marked unsold or reserve not met, with any return or storage charge the contract allows. They never appear on a buyer's invoice.
Free auction invoice and settlement template
The generator has no dedicated auction preset yet. Open it with Other / general business selected and type the lot lines over the sample ones. For a sale run from a spreadsheet, download the blank invoice as Word, Excel or PDF; the Excel copy takes a pasted lot list. A receipt covers the bidder who pays in full at the counter.
Related guides for sellers
Tools for auction houses
For the sale night and the settlement after it.
- Sales Tax CalculatorTax on a hammer-plus-premium total before you print it.
- Percentage CalculatorPremium and commission percentages on any hammer total.
- Receipt MakerA paid receipt for the bidder who settles at the counter.
- Payment links and QR codesLet online bidders pay the invoice by card.
- Remittance adviceWhat to send with a consignor payment.
- Chasing an overdue invoiceFor the bidder who wins and then goes quiet.
What this is. A guide and template from InvoiceTools. It is not legal, tax or medical advice. Rules on deposits, sales tax, late fees and record keeping differ by state and by contract, so check the ones you rely on for your own state before they go on a real document.
Last reviewed by InvoiceTools, Houston, Texas, on 4 November 2026.