Summary: The GST Invoice Management System (IMS), introduced on October 14, 2024, allows recipient taxpayers to accept, reject, or hold invoices filed by their suppliers. This system addresses mismatches between invoices and returns, a common issue when claiming input tax credits. On November 13, 2024, an advisory confirmed that the Supplier View feature has been added to IMS, enabling suppliers to see actions taken by recipients on their invoices filed through GSTR-1, 1A, or IFF. This helps prevent errors by showing whether recipients have accepted, rejected, or left invoices pending. However, invoices related to ineligible ITC or Reverse Charge Mechanism (RCM) supplies cannot be acted upon by recipients in IMS and are listed as “No Action Taken” in the Supplier View. Additionally, recipients can modify their actions until filing their GSTR-3B, and if changes occur after GSTR-2B generation, they must recompute it to reflect the new actions. Read: Advisory on GST Invoice Management System (IMS) Phase 1
IMS in GST
Invoice Management System (IMS)
The Invoice Management System, or IMS, is a new feature within the GST portal that will allow recipient taxpayers to accept, reject, or keep invoices filed by their supplier taxpayers pending. Mismatches between invoices filed by suppliers and returns submitted by recipients are a significant issue taxpayers face when claiming input tax credits.
Key features of 13th Nov 24 notification:
- Invoice Management System (IMS) has been made available on the GST Portal from 14th October, 2024
- In which recipient taxpayer can accept, reject or keep the invoices pending which are saved/filed by their suppliers in their respective GSTR-1/1A/IFF.
- This is to further inform you that the first GSTR-2B on the basis of such actions taken in IMS by the recipient taxpayers will be generated on 14th November, 2024 for October-2024 period.
- To further facilitate the taxpayers, the Supplier View of IMS has also been made available where the action taken by their recipients on the records/invoices reported in GSTR-1/1A/IFF, will be visible to the suppliers in ‘Supplier View’ functionality.
- This will help a supplier taxpayer to see the action taken on their reported outwards supplies and will help to avoid any wrong action taken by the recipient taxpayer.
- The below mentioned records/invoices are not available in IMS for taking any kind of actions by the recipient but are visible in supplier view with the status as ‘No Action Taken’:
1. Documents where ITC is not eligible either due to POS rule or Section 16(4) of the CGST Act,
2. Records attracting RCM Supplies
- Further, this is to be reiterated again that any action taken on records can be changed by the recipient taxpayer till the filing of GSTR-3B of the return period. In case the taxpayer changes any action after the generation of GSTR-2B, they need to click the GSTR-2B recompute button to recompute their GSTR-2B based on the new actions taken.
Author Bio
