Proforma invoice in Nigeria: VAT at 7.5%, Form M and free template

What to put on a Nigerian proforma

Add “This proforma invoice is not a VAT invoice”: the VAT invoice follows when you deliver.

VAT at 7.5% under the Nigeria Tax Act 2025

The standard VAT rate has been 7.5% since February 2020. The Nigeria Tax Act 2025, in force since 1 January 2026, kept that rate; the Nigeria Revenue Service (NRS) now administers it in place of the FIRS. Some goods and services are exempt or zero-rated, so check the treatment of what you sell before you quote.

On a proforma, VAT is shown for information only: the buyer sees the total they will pay, and VAT becomes due on the actual supply.

Importing: the proforma behind Form M

Before importing physical goods, the importer completes Form M through an Authorised Dealer Bank for approval by the Central Bank of Nigeria, after which the Nigeria Customs Service registers it. The documents listed by the Customs Service for this step are the proforma invoice, an insurance certificate and any regulatory certificates the goods require (for example from NAFDAC or SON).

Because the bank and the regulators work from it, the supplier’s proforma should give:

• the supplier’s full name, physical address, phone and email;
• a precise description of each item: generic name, brand, model or reference, specification, quantity and packing;
• unit prices, total and currency;
• the delivery terms, with an Incoterms® rule and named place agreed with the importer’s bank;
• a validity date and the supplier’s signature.

The Form M number must then appear on the bill of lading or air waybill, or the bank will not pay. After shipment, the commercial invoice, packing list and certificate of origin support the Pre-Arrival Assessment Report (PAAR).

Exporting: Form NXP

For exports, the exporter completes Form NXP. The Customs Service lists the documents for it: the proforma invoice, the sales contract where applicable, the exporter’s name and address, the NEPC registration number, and certificates for regulated goods. Your export proforma should therefore match the contract exactly. See the export documents checklist.

Naira or dollars?

Domestic proformas are in naira. A foreign supplier’s proforma for a Form M is usually in the currency of payment, most often US dollars, euros, pounds or Chinese yuan. Keep one currency per document.

Making it with InvoiceProforma

• Choose NGN (₦) for local sales, or USD, EUR, GBP or CNY for export offers.
• Add your RC number and TIN to your company profile; they print on every PDF.
• Set the document’s tax rate to 7.5%, or 0% for an exempt or zero-rated supply, and say why in the note.
• Put your bank name and account number in your footer once.
• Send the PDF by WhatsApp or email, then turn it into an invoice in one click when the order is confirmed.

The Nigeria Revenue Service is introducing electronic invoicing under the new tax laws. InvoiceProforma produces PDF documents and is not connected to the NRS system; check whether your VAT invoices must go through it.