This guide is in English for now. The tool itself works in your language.
Purchase Order › Purchase order format
Purchase order format: what to put on it
A purchase order (PO) is the buyer's written order to a supplier. Once the supplier accepts it, it is the agreement both sides go back to when there is a question about price, quantity or delivery. A clear PO saves arguments later.
The parts of a purchase order
- The heading "Purchase Order". It shows this is an order from you, not a bill.
- PO number and date. Use your own series, for example PO/26-27/001. The supplier should write this number on their challan and tax invoice, so you can match them.
- Buyer: your business name, address, state, GSTIN, phone and email.
- Vendor (order to): the supplier's name, address, state and GSTIN.
- Deliver to: only when goods must go somewhere other than your address, such as a site or godown. Give a contact name and phone there.
- Delivery by: the last date you will accept the goods.
- Vendor's quotation reference, if the order follows their quotation, so the rates can be checked against it.
- Items: description, HSN code, quantity and unit, rate, discount and value. Be exact: size, grade, brand, colour.
- GST: the rate on each line and CGST + SGST or IGST in the totals, so both sides agree on the full amount.
- Total and amount in words.
- Terms: payment period, freight, packing, insurance, inspection, and what happens if goods are late, short or damaged. See terms and conditions for a PO.
- Signature of the person allowed to place orders.
A sample
A garment unit in Ludhiana, Punjab orders packing material from a supplier in Delhi.
| Item | HSN | Qty | Rate | Value | GST |
|---|---|---|---|---|---|
| Printed courier bag, 12 × 16 in | 3923 | 1,000 Nos | ₹18 | ₹18,000 | 18% |
| BOPP packing tape, 2 in × 65 m | 3919 | 50 Nos | ₹65 | ₹3,250 | 18% |
Value ₹21,250. The supplier is in another state, so IGST 18% = ₹3,825. Total ₹25,075. Delivery by 15 Nov 2026. Terms: "Rates include freight to Ludhiana. Payment 30 days from receipt of goods and tax invoice. Quote our PO number on the invoice."
The GST rates and HSN codes here are only an example. Always use the rate the supplier will charge; ask them or your accountant when unsure.
Small things that matter
- Write the same rates as the vendor's quotation, and its number, so nobody can bill a higher rate later.
- One PO per order. If quantities change, send a revised PO with a new number and write which one it replaces.
- Keep the unit clear: "Nos", "Kg" or "Box of 50" can make a big difference to the bill.
- Do not leave the delivery date empty. A late supply is hard to refuse when no date was agreed.