I usually think of an invoice and a nota fiscal like speaking Portuguese versus English. Both make sense, but if you use the wrong one in the wrong place, no one will understand you. As a Brazilian freelancer working with clients abroad, I’ve learned that knowing when to “speak invoice” and when to “speak nota fiscal” is the difference between getting paid on time and dealing with unnecessary headaches.

The two documents may look alike, but they serve very different purposes in domestic and international transactions. Mixing them up can cause delays, confusion, and even tax issues. Understanding the difference is key to faster payments, stronger client relationships, and peace of mind.

Understanding the basics

Invoice

An invoice is an internationally recognised document that formalises a service you provide to a client abroad. It shows who you and your client are, what service you provided, the amount, the agreed currency, and payment terms. For your client, it acts as proof of the service and helps with their local tax or accounting requirements.

Learn how to simplify and automate your invoices for free with Grey.

Nota fiscal

A nota fiscal is Brazil’s official tax document for services. You need one whenever you provide a service in Brazil, even to a client abroad. For freelancers, this usually means issuing an NFS-e, which keeps everything legal and helps you stay on top of taxes without stress.

Also read: Working with international clients: A freelancer’s guide to getting paid

Why both are important and when you need each

In international operations, these two documents are complementary, not interchangeable. The nota fiscal records the transaction for Brazilian tax purposes, proving that the services legally “left” the country. The invoice, on the other hand, is your commercial instrument for the client abroad. It’s what they expect to receive in order to process payment and comply with their own local requirements.

Example – Direct service export

A Brazilian marketing consultant delivers a project to a UK client.

• They issue a nota fiscal de exportação de serviços to register the transaction in Brazil, generally with exemptions from ISS or ICMS.
• They also send the client an invoice in GBP or USD, detailing the work and payment terms.

Key differences explained

While both documents relate to the same transaction, their nature, scope, and format differ significantly:

• Nature and purpose: The invoice is a commercial document for the international client; the nota fiscal is a legal tax record for Brazilian authorities.
• Scope of use: The invoice is used internationally; the nota fiscal applies within Brazil, including in export operations.
• Format and content: The invoice is flexible in layout and language (often English), while the nota fiscal follows a strict electronic format set by Brazilian law and is always in Portuguese.
• Currency: The invoice can be issued in any currency agreed with the client; the nota fiscal must always be in Brazilian reais (BRL).
• Legal validity: The invoice has no standing for Brazilian tax purposes; the nota fiscal is legally mandatory for fiscal compliance.

You may also like: How to price your freelance services in dollars as a Brazilian

Legal and fiscal compliance for Brazilian service providers

Electronic invoicing (NFS-e)

Electronic issuance is mandatory for most services in Brazil. The nota fiscal must be digitally signed, transmitted to, and authorised by the relevant SEFAZ before it has legal validity.

Invoice requirements

Your invoice for international services should clearly describe the service provided, state the agreed currency and payment terms, and include your international bank details (with SWIFT/BIC). Adding references to contracts or project names helps prevent misunderstandings.

Tax obligations

Correctly issuing both documents ensures compliance with Brazilian tax rules and can unlock benefits such as tax exemptions on exports. It also helps avoid costly disputes with tax authorities.

Practical tips for issuing both documents

1. Use integrated tools – Choose invoicing platforms that can issue compliant notas fiscais and generate commercial invoices in multiple languages and currencies.
2. Maintain consistency – Keep descriptions, quantities, and values aligned across both documents, using the exchange rate on the day of issuance.
3. Retain records – Keep nota fiscal records for at least five years as required by law.
4. Adapt to the client – Check the client’s invoice preferences for format, language, and tax details.
5. Highlight exemptions – State applicable export tax exemptions clearly in both documents.

Also read: How freelancers in Brazil can receive payments from the US, UK & EU clients

Two documents, one transaction, zero risks

For Brazilians working with international clients, the invoice and the nota fiscal are two sides of the same coin. One speaks the language of global commerce, the other satisfies Brazilian tax authorities. Issue both correctly, keep them consistent, and you’ll protect your business, speed up payments, and strengthen your professional reputation abroad.

By using Grey’s invoicing tool, you can create professional, multi-currency invoices that align perfectly with your nota fiscal, embed your international bank details, and get paid faster.

Open your free Grey account today to start issuing invoices, receiving payments in USD, EUR, and GBP, and simplifying your international payments from start to finish.