How to write a
official quotation
in Sri Lanka.
A practical handbook for Sri Lankan trade contractors, freelancers, and businesses. Learn how to structure a clear commercial quotation, review applicable LKR taxes, protect margins against price changes, and set payment milestones.
Reviewed 21 September 2026. Tax fields should be checked against current Sri Lanka Inland Revenue Department publications. This is practical business information, not legal or tax advice.
The 6 pillars of a clear Sri Lankan quotation
Under Sri Lankan commercial practice, an official quotation forms the legal basis of a binding agreement once accepted or signed by the client. Every professional quotation must satisfy six core components.
Registered Business Details
Your registered trade name, physical Colombo or provincial operating address, Business Registration Number (BRN), official corporate email, and direct WhatsApp contact line.
Client & Site Record
Legal company or individual client name, key procurement contact, billing address, and exact physical site installation or delivery destination.
Sequential Quote ID & Date
A structured, sequential reference number (e.g. QT-2026-0842) alongside the exact date of issue to prevent confusion during client accounting audits.
Validity Window (14–30 Days)
An explicit validity expiration date. This crucial clause protects your commercial margins against sudden domestic raw material inflation and supplier price updates.
Itemized Bill of Quantities
Granular breakdown of equipment, materials, and skilled labour with standard domestic measurement units (sq.ft, meter, pcs, days) and unit rates in LKR.
Bank Details & Milestones
Domestic clearing coordinates (Commercial Bank, Sampath Bank, HNB, BOC) with branch code and phased payment milestones (e.g. 50% mobilization deposit).
How to draft and dispatch in 3 straightforward steps
The standard operating workflow used by top tier Sri Lankan commercial contractors and professional service firms.
Estimate Scope & Contingency
Compile raw material procurement quotes from local hardware importers or Pettah suppliers. Factor in technician transport, tool allowances, and a 10–15% contingency margin for on-site unforeseen work.
Apply Statutory IRD Tax Sequence
Confirm separately whether VAT and SSCL apply to your registration and transaction. Do not add either levy by default; check current IRD guidance or ask a qualified tax adviser.
Dispatch Vector PDF with Bank Terms
Define your mobilization advance schedule (e.g. 50% upfront). Generate a crystal-clear vector A4 PDF containing your domestic bank account coordinates and share directly with the client on WhatsApp.
Calculating VAT & SSCL accurately under Sri Lankan tax law
The Inland Revenue Department enforces strict guidelines on commercial document disclosures. Ensure your quotations follow statutory formulas.
The statutory compound calculation formula
Under the Inland Revenue Act and Social Security Contribution Levy (SSCL) Act, VAT is applied on the taxable supply including SSCL. For a quotation with a subtotal of LKR 100,000.00:
Rules for businesses below the VAT registration threshold
If you are not registered or otherwise entitled to charge VAT, do not add VAT. SSCL is a separate levy with separate scope and registration rules.
Issuing an official document with unauthorized VAT is a legal offence under Sri Lankan law. Label your final quotation figure as Net Payable Amount or Total Estimated Cost. QuoteMaker.lk lets you toggle VAT/SSCL on or off with a single click.
Recommended milestone schedules by trade sector
Protect your business from delayed client disbursements by aligning your quotation with established Sri Lankan commercial trade standards.
| Trade / Industry | Advance Deposit | Progress Milestone | Final Handover / Retention |
|---|---|---|---|
| MEP, CCTV & Solar PV | 50% upon contract signing (covers hardware procurement) | 40% upon physical delivery of equipment to client premises | 10% upon testing, commissioning, and client sign-off |
| Civil Construction & Renovation | 20%–30% mobilization advance | Bi-weekly or monthly certified stage progress claims | 5% retention held for 6 months Defects Liability Period (DLP) |
| Software & Digital Agencies | 40% project kickoff retainer | 35% upon milestone sprint review and staging demo | 25% prior to production source-code deployment |
| Event Management & Catering | 50% initial date reservation | 40% 7 days prior to event logistics setup | 10% upon event conclusion |
Generate your official Sri Lankan quotation in 60 seconds
Calculate statutory 18% VAT & 2.5% SSCL automatically, select from 12+ pre-loaded industry scopes, add domestic bank transfer coordinates, and download a print-ready vector PDF.
Open Quotation Generator