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Key takeaways
- A purchase invoice is a supplier's invoice as recorded by the buyer.
- The buyer checks it against the purchase order and receipt, records it as a payable and claims any tax credit.
- It is the same piece of paper as the supplier's sales invoice.
- Keep the original for audit, for the period the law requires.
Free PDF and Excel: Purchase invoice check list and match sheet. Get it below
What a purchase invoice is
A purchase invoice is the document a buyer receives from a supplier asking for payment for goods or services, recorded in the buyer's books as a liability.
Both parties hold the same invoice. The supplier records it as a sale. The buyer records it as a purchase. This page is about the buyer's job. For the issuer's view, see invoice example and invoice versus bill.
A buyer receives an invoice for 80 units. The purchase order says 80. The goods receipt says 76 received. The buyer records the invoice but holds payment for 4 units and asks the supplier for a credit note.
What the buyer does with it
- Receive it and log the date.
- Check the supplier, the tax registration and the invoice number.
- Match it to the purchase order and the goods receipt. See the invoice approval guide.
- Check prices, quantities and tax.
- Code it to the right account and cost centre.
- Approve it according to the delegation limits.
- Schedule payment by the due date.
- Record any tax credit claimed, subject to the tax rules.
Free PDF and Excel
Purchase invoice check list and match sheet
A match sheet for comparing an invoice with the order and receipt before you approve payment.
- Match sheet
- Fraud check list
- Coding guide
- Excel match register
What to look for
| Check | Why |
|---|---|
| Duplicate invoice number | Avoids paying twice |
| Bank details differ from the master | A common fraud route |
| Tax registration valid | Needed to claim credit |
| Prices match the order | Avoids overpayment |
| Quantity matches receipt | Avoids paying for what did not arrive |
- Original invoice is stored.
- Three-way match is done.
- Tax details are valid.
- Coding and approval are recorded.
- Payment date is in the schedule.
Last checked: 19 October 2026. General practice. Tax credit rules differ by country.
Frequently asked questions
What is a purchase invoice?
The supplier's invoice as recorded by the buyer in its purchase ledger.
What is the difference between a purchase invoice and a sales invoice?
Nothing in the document itself. The names depend on whether you are the buyer or the seller.
How long should purchase invoices be kept?
As long as local tax and company law require. Check the rules for your country.
What is a three-way match?
Comparing the invoice, purchase order and goods receipt before payment.
Can I claim tax on a purchase invoice?
Often, if it is valid and meets the rules. Ask your tax adviser.