IMS how to compliance

Supplier's Non-Compliance If a supplier fails to file their GSTR-1 before the cutoff date, the corresponding purchase invoice will reflect as "NOT FILE" in the IMS.

Acceptance of IMS When you accept the IMS, either explicitly or deemed acceptance (by default), you're confirming the accuracy of the ITC claimed.

 Treatment of "NOT FILE" Invoices Invoices marked as "NOT FILE" in the IMS will not be automatically carried forward to the next month's GSTR-3B.

 Action Required To claim ITC on these invoices, you'll need to:

1. _Wait for the supplier to file their GSTR-1_: Encourage the supplier to file their GSTR-1, which will update the IMS.

2. _Claim ITC in the next month's GSTR-3B_: Once the supplier files their GSTR-1, you can claim the ITC in the next month's GSTR-3B.

 3. _Keep a record of the "NOT FILE" invoices_: Maintain a record of these invoices to ensure you claim the ITC accurately.

Important Considerations 1. _Verification of supplier's compliance_: Verify that the supplier has filed their GSTR-1 before claiming ITC.

 2. _ITC claim limitations_: Be aware of the ITC claim limitations, such as the 5% or 10% limit on ITC claims, depending on the supplier's compliance.

IMS in GST means you need to actively accept, reject, or pend supplier invoices before they flow into your GSTR-2B. If you take no action before the GSTR-3B filing cutoff, the system treats each invoice as accepted automatically, so inaction can result in incorrect ITC claims if a supplier uploaded a wrong invoice. For each entry in your IMS dashboard, check the GSTIN, tax amount, and whether the supplier filed their GSTR-1 (invoices from non-filers show as NOT FILE and stay out of that month's GSTR-2B). The practical accept-reject workflow and what to do with pending invoices is covered in this [IMS GST workflow guide for Indian SMEs](https://taxgarden.in/blog/ims-gst-workflow-changes-indian-smes-2026).