Proforma Invoice Template
A proforma invoice quotes the exact amount before the sale is final. Use it to secure payment up front without issuing a tax invoice too early.
What's included
- Request payment before a supply without issuing a tax invoice
- Make clear a proforma is not yet a tax invoice
- Convert a proforma into a tax invoice at the right moment
- Use proformas for pre-payment and new accounts
- Avoid the GST-credit confusion proformas can cause
6 min read
Why this template matters
Sometimes you need the customer to pay before you supply — a new account with no credit history, a custom order, or simply a business that bills pro-forma as standard. A proforma invoice does exactly that: it states the precise amount payable so the customer can pay, but it is explicitly not a tax invoice and does not yet entitle them to a GST credit.
The distinction matters. Issue a real tax invoice too early and you may create a GST liability before the supply is even made. A proforma lets you collect the money up front and then issue the proper tax invoice at the right point, keeping both your timing and the customer's GST credits correct.
The template
PROFORMA INVOICE [Your trading name] ABN: [11 22 333 444] To: [Customer name] Proforma number: PF-0031 Date: 14 March 2026 Valid until: 28 March 2026 ------------------------------------------------------------ Description Qty Unit price Amount ------------------------------------------------------------ [Goods or service] 5 200.00 1,000.00 ------------------------------------------------------------ Subtotal (ex GST) 1,000.00 GST (10%) 100.00 TOTAL PAYABLE (inc GST) 1,100.00 ------------------------------------------------------------ THIS IS A PROFORMA INVOICE — NOT A TAX INVOICE. A valid tax invoice will be issued once payment is received and the goods/services are supplied. Pay by EFT: BSB 000-000 Acc 00000000 Ref: PF-0031
How to use it
Label it unmistakably as a proforma invoice and include the line that it is not a tax invoice and that a tax invoice will follow on payment. Number proformas in their own series (PF- prefix) so they never get mixed up with your real invoices. A 'valid until' date keeps the quoted figure from binding you indefinitely.
The key step is the conversion: once the customer pays and you make the supply, issue a proper tax invoice for the same amount so they can claim their GST credit. The proforma gets the money in; the tax invoice closes the loop. Skip the conversion and the customer is left without a compliant document.
Proforma versus quote versus tax invoice
It helps to keep three documents straight. A quote is an offer of price and scope that the customer accepts. A proforma is a request for pre-payment of a specific amount, used after agreement but before supply. A tax invoice is the compliant document issued on or after supply that supports a GST credit. They are stages, not substitutes.
Because a proforma sits in the middle, do not let it be the last document in the chain. Treat it as a temporary instrument: useful for getting paid up front, but always followed by the real tax invoice. This is general business information — if you are unsure when your GST liability is triggered, confirm with the ATO or your accountant.
Tips
- Label it 'proforma' and state plainly it is not a tax invoice.
- Number proformas in their own series so they never mix with invoices.
- Always issue a real tax invoice once paid so the customer gets a GST credit.
- Use proformas for pre-payment, custom orders and new accounts.
FAQ
Can a customer claim GST from a proforma?
No. A proforma is not a tax invoice and does not support a GST credit. You must issue a valid tax invoice once payment is received and the supply is made.
When should I use a proforma instead of an invoice?
When you want payment before supplying — new accounts with no credit history, custom orders, or pre-payment terms. It states the amount payable without triggering a tax invoice too early.
Does issuing a proforma create a GST liability?
A proforma itself is not a tax invoice, but GST timing depends on your circumstances. Confirm when your GST liability arises with the ATO or your accountant.
Templates are a head start — not legal advice
Customise to your business and have important documents reviewed. Need to recover a debt? We can help.