Proforma invoice format: commit to a price, not to tax
A proforma tells the buyer exactly what the final bill will look like — before any goods move, any tax is due, or any credit can be claimed.
Make a proforma invoice freeA proforma invoice is a commitment in advance. It shows the buyer the items, quantities, prices and the tax they will eventually pay, so they can approve a purchase, release an advance, open a letter of credit or complete import paperwork. It is not a demand for payment of tax and it never enters your GST returns.
Because GST law does not define it, a proforma has no mandatory field list — which is precisely why so many go wrong. The two things that matter are that it looks complete enough to be acted on, and that it can never be mistaken for a tax invoice.
What this format must carry
Every field below, with whether it is mandatory and what it is for.
| Field | Required | Notes |
|---|---|---|
| The words "Proforma Invoice" | Print it prominently. This is the one label that keeps the document out of your buyer's credit claim and your own returns. | |
| Proforma number and date | Use a separate series such as PI/2627/0031. Never take a number from your live tax invoice series. | |
| Seller details with GSTIN | Your name, address and GSTIN, so the buyer can set you up as a vendor from this document itself. | |
| Buyer details and shipping address | Bill-to and ship-to, since these often differ and decide the place of supply on the final invoice. | |
| Item description, HSN, quantity, rate | Same detail as the eventual invoice. If the HSN changes later, so does the rate — and so does the price you quoted. | |
| Estimated GST breakup | Show CGST/SGST or IGST as expected on the final bill, clearly labelled as indicative. It is information, not a tax charge. | |
| Validity period | Prices and rates move. Say how long the proforma holds — 7, 15 or 30 days is normal. | |
| Payment and delivery terms | Advance percentage, balance on delivery, lead time, freight and packing. This is what the buyer is actually approving. | |
| Bank details for advance | Account, IFSC and UPI ID if you expect part payment before dispatch. Remember an advance received needs a receipt voucher. | |
| Signature or authorised stamp | Not legally required, but it makes the document usable for approvals and for import or LC paperwork. |
Guidance only. GST rules and rates change by notification — confirm the requirements for your business on the CBIC portal or with your CA.
When a proforma is the right document
Use one when the buyer needs a formal figure before committing: a corporate purchase approval, an advance payment against a made-to-order item, a bank arranging a letter of credit, or customs paperwork on an import. It answers "what exactly will this cost me, all in" without triggering anything on your side.
A quotation and a proforma overlap heavily. In practice a quotation opens the negotiation and a proforma closes it — same numbers, but the proforma is what the buyer sends to their accounts team to release money.
What a proforma cannot do
It creates no GST liability for you and no input tax credit for the buyer. It is not evidence of supply, it does not go into GSTR-1, and goods must never move on a proforma alone — that needs a tax invoice or a delivery challan, with an e-way bill if the consignment value crosses ₹50,000.
If you receive money against a proforma, the advance itself has consequences. A receipt voucher is issued for the advance received, and the tax invoice is raised when the supply actually happens.
Getting the handover right
The final invoice should mirror the proforma line for line. Where quantities or rates change, reissue the proforma rather than quietly billing something different — buyers reconcile the two, and a mismatch stalls payment.
Keep the numbering separate and the series short. Many disputes we hear about start with a proforma numbered in the invoice series, which then either creates a gap or gets counted twice. RetailDek's free quotation generator produces a clean proforma you can convert into an invoice once the order is confirmed.
Skip the template — generate it
Filling a blank Excel sheet every time is where numbering gaps and missing fields creep in. Our free tool builds this document with the fields already in the right places, and you can download it as a PDF — no sign-up, nothing leaves your browser.
Make a proforma invoice freeProforma Invoice Format — FAQs
It is a legitimate commercial document, but it has no standing under GST. It creates no tax liability for the seller and no input tax credit for the buyer. Only a tax invoice does that, and it must be issued when the supply actually takes place.
Make it the output, not the chore
Save your items and parties once, and every document comes out numbered, GST-correct and ready to print — with the stock and reports updating behind it.
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