A proforma invoice format to confirm prices and terms before you supply, with a filled sample, the difference from a quotation and tax invoice, and free templates in Word and Excel.
What a proforma invoice is
A proforma invoice is a preliminary bill sent before the supply. It tells the buyer exactly what they will be charged if they confirm: items, prices, taxes, delivery and payment terms. Importers use it to open a letter of credit or get an import licence; domestic buyers use it to raise an advance payment or get internal approval.
It is not a tax invoice. It does not create a sale in your books and you do not report it in GST returns. When the goods or services are supplied, you issue the real tax invoice.
Proforma invoice vs quotation vs tax invoice
| Quotation | Proforma invoice | Tax invoice | |
|---|---|---|---|
| When | Before the buyer decides | After the buyer agrees, before supply | At or after supply |
| Purpose | Offer prices | Confirm terms, collect advance | Demand payment, record the sale |
| Binding | Offer until validity date | Commitment on agreed terms | Legal record of the sale |
| In GST returns | No | No | Yes |
Proforma invoice format sample
PROFORMA INVOICE
14, Sunrise Complex, CG Road, Ahmedabad 380009
GSTIN: 24ABCDE1234F1Z5 | State: Gujarat (24)
Date: 14 Oct 2026
Valid until: 29 Oct 2026
Place of supply: Gujarat (24)
Bill to: Neelkanth Builders LLP
402, Shivalik Plaza, Ambawadi, Ahmedabad 380015
GSTIN: 24AAKFN5678Q1Z2 | State: Gujarat (24)
| # | Description | HSN/SAC | Qty | Rate | Taxable value | GST | Amount |
|---|---|---|---|---|---|---|---|
| 1 | Solar inverter 5 kVA, model SI-5K | 8504 | 2 Nos | 48,500.00 | 97,000.00 | 5% | 1,01,850.00 |
| 2 | Lithium battery 100 Ah | 8507 | 4 Nos | 21,800.00 | 87,200.00 | 18% | 1,02,896.00 |
| 3 | Installation | 995461 | 1 Job | 6,000.00 | 6,000.00 | 18% | 7,080.00 |
| Amount | |
|---|---|
| Taxable value | ₹1,90,200.00 |
| CGST @ 2.5% | ₹2,425.00 |
| SGST @ 2.5% | ₹2,425.00 |
| CGST @ 9% | ₹8,388.00 |
| SGST @ 9% | ₹8,388.00 |
| Total | ₹2,11,826.00 |
Amount in words: Rupees Two Lakh Eleven Thousand Eight Hundred Twenty Six Only
Terms: 50% advance with order, balance before dispatch. Delivery within 10 working days of advance. This is not a tax invoice.
For Aarav Electricals
Authorised Signatory
Proforma invoice format in Word and Excel
What to write on a proforma invoice
- Head it clearly. Write PROFORMA INVOICE at the top so nobody books it as a sale.
- Use a separate number series. For example PI-2026-001, not your invoice series.
- Give a validity date. Prices and stock can change.
- State terms. Advance amount, delivery time, freight, warranty and how the final invoice will be raised.
- Add bank details. So the buyer can pay the advance. Then issue a receipt for the advance.
For an advance received before supply, GST rules expect a receipt voucher (Rule 50). The receipt maker can produce one.
Frequently asked questions
Is GST charged on a proforma invoice?
A proforma invoice can show the GST that will be charged, but it is not a tax invoice and no tax is reported on it. Tax arises on the tax invoice.
Can a proforma invoice be used for payment?
Yes, buyers often pay an advance against it. Issue a receipt voucher for the advance and the tax invoice on supply.
Does a proforma invoice need a signature?
It is good practice to sign it, especially for imports and bank use, but it is a commercial document, not a tax document.
Should the proforma number match the invoice number?
No. Keep proforma invoices in their own series and mention the proforma number on the final invoice as a reference.
Checked and updated 14 Oct 2026. Independent template site; not tax or legal advice.