New Features of the Invoice Management System in India
As of October 1, 2024, the Goods and Services Tax Network (GSTN) is set to roll out a new Invoice Management System on the GST portal, introducing valuable features to enhance the management of GST invoices for taxpayers across India. The primary goal of this system is to improve accuracy, transparency, and efficiency while reducing invoice mismatches and ensuring compliance without overburdening taxpayers.
New Invoice Accept or Reject Features
One of the standout features of the IMS is the ability for taxpayers to accept, reject, or hold invoices for later review. This functionality is designed to simplify the Input Tax Credit (ITC) claims process, benefiting both regular taxpayers and those enrolled in the Quarterly Return Monthly Payment scheme. With this system, correcting invoice errors between suppliers and buyers becomes much easier, leading to more explicit ITC claims.
When a taxpayer accepts an invoice, it will automatically be reflected in their GSTR-2B and GSTR-3B forms. Conversely, rejected invoices will be categorized under the "ITC Rejected" section of the GSTR-2B, but they will not auto-populate in FORM GSTR-3B. This separation helps taxpayers maintain better control over their claims.
The IMS also features automatic acceptance of invoices if no action is taken by the taxpayer, streamlining the process even further. Additionally, it allows users to correct invoices and credit notes, ensuring that businesses can maintain accurate records and avoid discrepancies.
While these updates promise to make GST compliance more efficient, it's crucial for businesses to carefully review their invoices to ensure correct ITC claims. With these new features, the IMS is set to revolutionize the way taxpayers manage their invoices, making compliance a more straightforward task.
Comarch e-Invoicing adheres to invoicing regulations in India and actively monitors any potential changes, ensuring ongoing compliance.
There’s more you should know about e-invoicing in India – learn more about the new and upcoming regulations.
