Update from GST portal
Advisory regarding IMS during initial phase of its
implementation
Nov 12th, 2024
Invoice Management System (IMS) is an optional facility
introduced from October 2024 on GST Portal, on which the invoices/records
saved/furnished by the supplier in GSTR-1/1A/IFF, can be accepted, rejected or
kept pending by recipients .Based on the action taken by the recipient on the
IMS, system will generate the GSTR 2B of the recipient on 14th of subsequent
month.
The Taxpayer can accept/reject/keep pending the
invoice/record on IMS after due verification from his accounts. The ITC for the
rejected record will not be available to the recipient in the GSTR 2B .
Further, the liability and input tax credit is being auto -populated in GSTR 3B
of the taxpayer on the portal based on his liability declared in GSTR 1/1A and
input tax credit made available in his GSTR 2B. However, the taxpayer can
presently edit the said auto-populated details in GSTR 3B before filing the same.
IMS, being a new functionality introduced on the portal,
there may be cases where in the initial phase of implementation of IMS, the
recipient may make error/mistake while taking action (like
acceptance/rejection/keeping pending) on the IMS in respect of an
invoice/record. As GSTR-2B of the recipient will be generated on the portal
based on the actions taken by the recipient on the IMS, any mistake in the
action taken by the recipient on the IMS could result in incorrect details of
available/eligible input tax credit to the recipient being shown in his
GSTR-2B, which will also be auto-populated in his GSTR-3B on the portal. In
such cases, the recipient can change the action on the IMS in respect of an
invoice/record ( e.g. from rejected to accepted or vice versa) and can
recompute his GSTR-2B at any time till the filing of GSTR-3B for the
corresponding tax period, so that correct ITC is auto-populated in his GSTR-3B.
Despite this, there may still be some cases, where the
recipient is not able to correct the action taken on the IMS, resulting in
wrong auto-population of ITC in GSTR-3B of the recipient or wrong
auto-population of liability in GSTR-3B of the corresponding supplier.
Therefore, during this initial phase of implementation of IMS, the taxpayers
are advised that in such cases, where due to any inadvertent mistake in the
action taken on the IMS, if incorrect details of ITC/ liability are
auto-populated in GSTR-3B on the portal, the taxpayer may before filing their
GSTR-3B return, edit such wrongly populated ITC/liability in their GSTR-3B, to
correctly avail ITC or pay correct tax liability based on the factual position
as per the documents/records available with him.
