Proforma invoice versus tax invoice
A proforma invoice is a commitment to supply at stated prices — it is not a demand for payment and does not create a tax point. In Bahrain it is normally used to open a letter of credit, clear customs, release budget approval or collect an advance. The final tax invoice is issued once the goods or services are delivered.
- The document is labelled "Proforma Invoice"
- Validity period after which prices may change
- Incoterms and delivery point
- Total in BHD, plus any foreign-currency equivalent
- Bank details for the advance payment