New Changes in GST Invoice Management System (IMS) from October 2025 Tax Period that You Must Know [Read FAQs]

The IMS is an important component of the GST compliance ecosystem, facilitating corroboration between supplier and recipient invoices reflected in GSTR-1 and GSTR-2B.

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Until now, certain records such as amended credit notes or debit notes lacked the flexibility of marking them as “pending,” leading to mismatches or inadvertent acceptance. The upcoming revision addresses this limitation while expanding user control over ITC reversal declarations.

According to the FAQs released by GSTN, taxpayers will now be able to mark certain documents as pending, including credit notes (CNs), upward or downward amendments of CNs, invoices, debit notes (DNs), and E-commerce Operator (ECO) documents—provided the original record has been accepted and GSTR-3B filed.

A major enhancement allows recipient taxpayers to declare the exact amount of ITC to be reduced in cases where ITC was already reversed or not availed. This ensures that ITC reversals match actual transactions instead of triggering automatic full reversals. At the time of record acceptance, recipients will be prompted with: “Whether ITC needs to be reduced for the selected record(s)?”with options for full, partial, or no reversal.

Further, taxpayers can now add remarks while taking ‘Reject’ or ‘Pending’ actions, enhancing traceability and audit readiness. Remarks will be mandatory in cases of partial or no ITC reversal.

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The changes will apply prospectively from the October 2025 tax period. For example, a credit note dated October 15, 2025, reported in GSTR-1 filed in November 2025, will appear in IMS with the new pending option. However, documents from prior periods (e.g., September 2025) will not have access to these features.

Monthly taxpayers can keep records pending for one tax period (one month), while quarterly taxpayers under the QRMP scheme can do so for one quarter. After this period, if no action is taken, the system will treat such records as deemed accepted.

To read the Full FAQs answered by GSTN, click the blue button below.

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