Free Auto Repair Invoice Template

Auto repair invoices — sometimes called repair orders — must clearly separate labor from parts and fluids, because these attract different tax treatment in many jurisdictions and because clients (and insurers) want to see exactly what work was performed and what was fitted. A detailed repair invoice also serves as a service record that adds value to the vehicle. Shops billing insurance companies must follow the insurer's approved labor rates and parts sourcing requirements, which should be noted on the invoice.

Prefill by industry

Accent Color

Your Business

Business Name

Address

Tax / VAT / ABN Number (optional)

Bill To (Client)

Client Name

Client Address

Invoice Details

Invoice #

Country / Currency

Invoice Date

Due Date

Tax Rate — Sales Tax

Line Items

Item 1

Qty

Rate ($)

Unit

$285.00

Item 2

Qty

Rate ($)

Unit

$480.00

Item 3

Qty

Rate ($)

Unit

$65.00

Item 4

Qty

Rate ($)

Unit

$120.00

Item 5

Qty

Rate ($)

Unit

$50.00

Notes / Terms

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INVOICE

INV-0001

Your Business Name

Your Address

Bill To

Client Name

Client Address

Invoice Date

06/02/2026

Due Date

07/02/2026

Currency

USD

Terms

Due on collection of vehicle

Description	Qty	Rate	Amount
Labor (per hour, at shop rate) per hours	3	$95.00	$285.00
Parts & Components (OEM / aftermarket) per actual cost	1	$480.00	$480.00
Consumables (oil, filters, coolant) per actual cost	1	$65.00	$65.00
Diagnostic / Fault Code Reading per flat fee	1	$120.00	$120.00
Vehicle Inspection Fee (MOT in the UK) per flat fee	1	$50.00	$50.00

Subtotal$1,000.00

Sales Tax (varies by state)—

Total USD$1,000.00

Payment

ACH transfers and checks are common payment methods.

Thank you for your business · InvoiceYard.com

5 items · Subtotal $1,000.00

Total: $1,000.00

Payment Terms

Due on collection of vehicle

Country-Specific Versions

🇺🇸 United States (USD) →🇬🇧 United Kingdom (GBP) →🇨🇦 Canada (CAD) →🇦🇺 Australia (AUD) →

About Auto Repair Invoicing

Frequently Asked Questions

Should labor and parts be listed separately on an auto repair invoice?

Always. Labor and parts are taxed differently in many US states (labor is often tax-exempt while parts are subject to sales tax). Even where tax treatment is identical, clients and insurers expect to see the breakdown. A combined 'repair charge' is a red flag for insurance assessors and makes disputes harder to resolve.

How should auto repair shops handle warranty-covered work on invoices?

If work is covered by manufacturer warranty, show the full labor and parts costs on the invoice and then apply a 100% warranty credit so the client sees the value of the coverage. This protects you when reclaiming from the manufacturer and gives the client a clear record of what was done.

What should auto repair shops do when the final cost exceeds the estimate?

Most jurisdictions require shops to obtain authorisation from the customer before exceeding an agreed estimate by more than a set percentage (commonly 10%). Document any authorisation in writing or via text/email. On the invoice, reference the original estimate number and clearly note that the additional work was authorised on a specific date.

Do auto repair shops charge sales tax on parts and labor?

In the US, most states tax auto parts but not labor, though some (e.g. Hawaii, New Mexico) tax both. Always check your specific state's rules. In the UK, both labor and parts are subject to 20% VAT for VAT-registered businesses. In Australia, both are subject to 10% GST.