Free Purchase Order Template
– 20 Designs to Download
Download professionally designed purchase order templates in Word (.docx), Excel (.xlsx), and PDF. GST-ready, fully editable, with HSN codes and vendor details. Built for Indian businesses.
20 Free Purchase Order Templates
Every template includes buyer & vendor details, PO number, delivery date, HSN/SAC codes, GST breakup (CGST+SGST/IGST), payment terms, and authorized signatory. Open in Microsoft Word, Google Docs, Excel, or LibreOffice.
Purchase Order Meaning & Format Explained
A purchase order (PO) is a legally binding commercial document issued by a buyer to a supplier, authorizing the purchase of specific goods or services at agreed terms. It is the foundational document in any procurement workflow.
Unlike a verbal agreement or informal email, a purchase order format creates a traceable paper trail, supports GST input tax credit (ITC) claims, and enables accurate three-way matching (PO → Goods Receipt → Invoice) in your accounts payable process.
In India, businesses with GST registration must issue tax-compliant purchase orders that include the buyer’s GSTIN, vendor GSTIN, HSN/SAC codes, and correct CGST+SGST or IGST amounts. Our templates are built to meet these requirements out of the box.
- Creates a legally binding agreement with vendors
- Enables GST input tax credit (ITC) claims
- Prevents rogue or unauthorized spending
- Supports three-way matching in accounts payable
- Provides an audit trail for compliance and budgeting
- Reduces price and quantity disputes with suppliers
4 Types of Purchase Orders — With Examples
Choosing the right purchase order type streamlines your procurement process. Our template library covers all four types with dedicated designs for each.
Standard Purchase Order (SPO)
The most common type. Used for a one-time, well-defined purchase where item, quantity, price, and delivery date are all known upfront. Once fulfilled, the PO is closed.
Blanket Purchase Order (BPO)
Used for recurring purchases from the same vendor over a set time period at pre-negotiated prices. Individual releases are made against the blanket PO as needed.
Contract Purchase Order (CPO)
Establishes the terms and conditions for future purchases with a vendor — without specifying exact quantities or delivery dates at the time of issue. Specific orders are raised later.
Planned Purchase Order (PPO)
Like a blanket PO but with tentative delivery schedules included. The buyer commits to purchasing certain quantities but can finalize delivery dates closer to the production schedule.
What’s Inside Every Purchase Order Template
Every PO template from InvoPilot is pre-structured with all fields required by Indian businesses — GST-ready, legally sound, and customizable.
GST Breakup (CGST+SGST/IGST)
Separate rows for CGST, SGST, and IGST so buyers can claim input tax credit correctly.
HSN / SAC Code Column
Dedicated HSN code field per line item — required for GST-compliant purchase orders above ₹5 lakh.
Delivery Terms & Address
Delivery date, shipping method, Incoterms, and a separate delivery address field for warehouses or branches.
Payment Terms Section
Net 30/45/60, advance payment, LC — clearly stated so there are no disputes at invoice time.
Auto-Calc Formulas (Excel)
Excel templates calculate subtotal, GST, discount, freight, and grand total automatically as you type.
PO Number & Vendor Code
Sequential PO numbering and vendor code fields for easy procurement tracking and reconciliation.
Terms & Conditions
Pre-written T&C covering delivery timelines, quality, price changes, cancellation, and dispute resolution.
Authorized Signatory & Stamp
Signature block for authorized purchase manager with department and designation — makes PO legally valid.
How to Use a Purchase Order Template
Create a professional, GST-compliant PO and send it to your vendor in under 5 minutes.
Download Template
Choose a design — Word, Excel, or PDF. Click download. No login, instant access, no watermarks.
Fill Buyer & Vendor Info
Open in Word or Excel. Replace placeholder text with your company GSTIN, vendor details, PO number, and delivery date.
Add Items & GST
List each product/service with HSN code, quantity, price, and GST %. Excel auto-calculates totals.
Save PDF & Send
Export as PDF, email to vendor, or print. Done. For recurring POs, just save the template with your header pre-filled.
Purchase Order vs Invoice vs Proforma Invoice
Three documents that are frequently confused — here’s exactly when each is used in a procurement cycle.
| Feature | Purchase Order | Tax Invoice | Proforma Invoice |
|---|---|---|---|
| Created by | Buyer | Seller | Seller |
| Issued when | Before transaction (to authorize) | After delivery (to request payment) | Before delivery (as estimate) |
| Legally binding | Yes (when accepted) | Yes | No |
| Triggers GST ITC | Not alone | Yes | No |
| Triggers payment | No | Yes | Sometimes |
| Contains delivery date | Yes | Rarely | Estimated |
| HSN / SAC codes | Yes | Mandatory | Yes |
| Used for customs | No | Yes | Yes |
Purchase Order Terms & Conditions — Standard Clauses
Standard purchase order terms and conditions protect the buyer legally and set clear expectations for the vendor. Every professional PO format should include these key clauses — all our Word templates come with pre-written T&C that you can customise.
- Delivery: Vendor must deliver by the date specified. Delay incurs penalty of X% per week.
- Quality: Goods must conform to specifications. Buyer may reject non-conforming goods within 7 days.
- Price: Prices are fixed. No price revision accepted after PO issue date.
- Payment: Payment within Net 30 days of invoice receipt, subject to PO–GRN–Invoice matching.
- Cancellation: Buyer may cancel with 48-hour notice if vendor fails to deliver on time.
- Jurisdiction: Disputes subject to courts of [Buyer’s City], India.
🔄 What is 3-Way Matching?
Three-way matching is the process of verifying that the Purchase Order, Goods Receipt Note (GRN), and the vendor’s Tax Invoice all agree on quantities, descriptions, and prices before a payment is approved. It is the most critical fraud and error prevention step in accounts payable.
⚖️ Is a Purchase Order Legally Binding in India?
Yes. Under the Indian Contract Act, 1872, a purchase order constitutes an offer. Once the vendor accepts it — in writing or by commencing performance — it becomes a binding contract. A signed PO with clear terms is fully enforceable in Indian courts and provides strong protection for both parties.
How to Create a Purchase Order in Tally Prime
Tally Prime has built-in purchase order management. Here’s a step-by-step guide — use our Word/Excel templates to draft POs offline, then record them in Tally for tracking.
Enable Purchase Orders in Tally
Go to F11: Features → Inventory Features → Enable Use Purchase Orders → Accept (Ctrl+A).
Open Purchase Order Voucher
Go to Gateway of Tally → Transactions → Inventory Vouchers → Purchase Order (F4).
Fill PO Details
Enter Order Number, Date, select Supplier (Party Name), add items with quantities and rates. Tally calculates GST automatically based on HSN codes.
Accept & Track PO
Press Ctrl+A to save. Track PO status under Reports → Purchase Order Book. Outstanding POs show pending quantity and value.
Convert PO to Receipt Note
When goods arrive, create a Receipt Note against the PO. This auto-links and reduces PO outstanding quantity for precise tracking.
Book Purchase Invoice
Finally, enter the vendor’s GST invoice against the Receipt Note for full 3-way matching in Tally Prime — PO → GRN → Invoice.
📌 Tally Prime vs Word/Excel PO Templates
Tally Prime is ideal for businesses already using Tally for accounting. However, many small businesses, startups, and procurement teams prefer Word or Excel purchase order templates for their simplicity, portability, and the ability to email a professionally formatted PDF to vendors without requiring Tally on both ends. Our templates are the best starting point.
GST in Purchase Order Format — Complete Guide
For GST-registered Indian businesses, every purchase order must include specific GST fields. Here’s what your PO format must show.
| PO Scenario | GST Type | PO Must Show |
|---|---|---|
| Intra-State Purchase (Same State) | CGST + SGST | CGST 9% + SGST 9% |
| Inter-State Purchase (Different State) | IGST | IGST 18% |
| Import (from outside India) | IGST + Customs | IGST + BCD + SWS |
| Export PO (to foreign vendor) | Zero Rated | Export / Bond / LUT |
| Composition Vendor | No GST charge | Bill of Supply (no GST) |
| Services (AMC, consulting) | SAC Code + GST | SAC Code + 18% GST |
| Exempt Goods (food, books) | Nil rated | HSN Code, 0% GST |
*GST rates as applicable. Verify with a tax professional for your specific goods/services.
Purchase Order Management Best Practices
Purchase order management is the end-to-end process of creating, approving, tracking, and closing POs. Proper PO management prevents rogue spending, ensures on-time delivery, and simplifies GST reconciliation.
- Use unique, sequential PO numbers for every order
- Always include HSN/SAC codes per line item
- Set clear delivery dates and include penalty clauses
- Maintain digital copies of all POs for 6+ years (GST requirement)
- Match every vendor invoice to a PO before payment
- Reconcile open POs monthly to catch delivery shortfalls
The Purchase Order Process from Start to Finish
Understanding the full PO lifecycle helps businesses reduce procurement costs and eliminate payment errors.
Purchase Requisition
Department raises internal request to buy
PO Approval
Management reviews and authorizes
PO Sent to Vendor
Vendor receives and accepts PO
Goods Received (GRN)
Delivery note and quality check
Invoice Matched
PO + GRN + Invoice (3-way match)
Payment Released
Per agreed payment terms
Frequently Asked Questions About Purchase Orders
Everything you need to know about purchase order format, templates, and Indian procurement.
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