Invoice Management System explained: accept, reject or keep pending

What IMS does

IMS has been available since October 2024. Every B2B invoice, debit note and credit note a supplier reports in GSTR-1, GSTR-1A or IFF lands in your IMS dashboard. Instead of passively receiving whatever suppliers upload, you can now record your position on each record before the ITC statement is finalised.

The three actions

• Accept: the record goes into GSTR-2B and ITC is shown as available
• Reject: the record is excluded from GSTR-2B; use it for invoices you did not receive, wrong amounts or wrong GSTIN
• Pending: the record is held back from the current GSTR-2B and carried forward, so you can decide later within the permitted time
• No action: treated as deemed accepted when GSTR-2B is generated on the 14th

Credit notes

Credit notes need care, because accepting one reduces your ITC. From the October 2025 tax period, a credit note can be kept pending for only one return period, after which it must be accepted or rejected. When accepting, you can enter the amount of ITC actually to be reversed, so the reversal is limited to the credit you had claimed. Rejecting a supplier's credit note means the supplier cannot keep the corresponding reduction in liability.

IMS and GSTR-2B timing

GSTR-2B continues to be generated on the 14th of each month. You can still act in IMS after that date and recompute GSTR-2B, but only until you file GSTR-3B for the period. After filing, the actions for that period are frozen. A supplier can fix a rejected record through GSTR-1A or a later GSTR-1, after which it reappears in your IMS.

Practical approach

Do not reject an invoice just because payment is due or the goods are in transit; reject only where the record is wrong or the supply did not happen. Keep pending for genuine timing issues, and communicate with suppliers in writing. Keep a monthly log of rejected and pending records, because officers comparing your ITC with suppliers' data will expect an explanation. A professional can review IMS each month as part of the GSTR-3B process.

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This guide explains the law in general terms as of October 2026. Time limits and requirements can depend on the facts of your case and on the notice you received.