GSTN Advisory 624 for IMS Changes (New Changes in Invoice Management System) Explained
On 23rd September 2025, GSTN issued Advisory No. 624 announcing new updates in the Invoice Management System (IMS)(GSTN Advisory 624 for IMS Changes). These changes aim to simplify compliance, reduce ITC reversal errors, and improve buyer-supplier communication. Effective from the October 2025 tax period, taxpayers will see new facilities for pending actions, ITC declaration, and saving remarks. (Source: GSTN Advisory 624)
This blog explains the advisory step by step. Each section shows the official GSTN update followed by a clear explanation, so CAs, GST practitioners, and finance professionals can implement them easily with TaxPower GST software.
🔎 Table of Contents
1. Pending Action for Specified Records in IMS
Advisory:
Taxpayers can now keep specific records pending for one tax period only:
- Monthly taxpayers → 1 month
- Quarterly taxpayers → 1 quarter
Eligible records:
- Credit Notes or upward amendment of Credit Note
- Downward amendment of CN (if original CN rejected)
- Downward amendment of Invoice/Debit Note (if invoice accepted & GSTR-3B filed)
- ECO Document downward amendment (if accepted & GSTR-3B filed)
Explanation:
This feature helps taxpayers defer decisions on disputed or doubtful records. Instead of accepting or rejecting, you can cycle.
This prevents premature ITC reversal and reduces mismatches in GSTR-2B.
Pro Tip: In TaxPower GST software, these pending entries are auto-flagged and tracked until resolved, ensuring nothing slips through reconciliation. TaxPower GST is fully prepared for GSTN Advisory 624 for IMS Changes
How Pending Action Works in IMS – GSTN Advisory 624 (Oct 2025)
Step-by-step infographic explaining Pending Action in IMS under GSTN Advisory 624 (effective October 2025). Shows supplier upload, buyer review, accept/reject/pending, one return cycle limit, and final action before GSTR-3B filing. Powered by TaxPower GST.
2. Declaring ITC Reduction Amount
Advisory:
If ITC was not availed, no reversal is needed.
If ITC was partially availed, only that portion must be reversed. (Partial ITC reversal in GST)
IMS now provides a facility to declare the exact ITC availed and reverse accordingly.
Explanation:
Earlier, taxpayers faced confusion in partial ITC cases. Now, you can declare exact reversal amounts, aligning with your books of accounts.
This prevents both excess and short reversals.
Action Tip: With TaxPower GST’s reconciliation module, you can match supplier data with your books and you can easily calculate ITC reversal .
3. Option to Save Remarks
Advisory:
A new facility allows taxpayers to save remarks while rejecting or keeping records pending.
These remarks will appear in GSTR-2B and in the supplier’s Outward Supplies dashboard.
Explanation:
This update improves buyer-supplier communication.
Example: If a buyer rejects an invoice due to incorrect GSTIN, the remark helps the supplier correct it quickly.
Result: fewer disputes, faster corrections, and smoother compliance.
4. Important Dates
Advisory:
- New IMS features effective from October 2025 tax period.
- Due date for pending action = based on the date when supplier communicates the document.
Explanation:
You must act within the same return period. Missing deadlines may push records into GSTR-3B automatically, causing unwanted ITC reversals.
5. Prospective Application for GSTN Advisory 624 for IMS Changes
Advisory:
IMS changes apply prospectively only to records filed by suppliers after rollout.
Explanation:
Old invoices or amendments filed before October 2025 remain under old rules.
This ensures clarity and prevents disputes on past transactions.
📊 Compliance Impact & Practical Tips for GSTN Advisory 624 for IMS Changes
- Reduced burden: Pending option avoids hasty ITC decisions.
- Accuracy: Exact ITC reversal prevents errors.
- Transparency: Remarks improve buyer-supplier dialogue.
- Timeliness: Pending allowed only for one period → act quickly.
- Automation: TaxPower GST ensures robust and accurate reconciliation.
✅ How TaxPower GST Helps
TaxPower GST is already updated for GSTN Advisory 624 for IMS Changes:- Auto-tracks pending CN/DN records
- Computes exact ITC reversal values
- Smart reconciliation detects mismatches
- Remark management for pending/rejected records
👉 Try a 30-day free trial today and simplify your compliance.
📌 FAQs on GSTN Advisory 624 for IMS Changes
What is the new change in Invoice Management System (IMS)?
Taxpayers can keep certain records pending, declare exact ITC reversal, and save remarks while rejecting/pending invoices.
From when are these IMS changes effective?
They are effective from the October 2025 tax period.
Can old records before October 2025 be kept pending?
No. These changes apply prospectively only to records filed after rollout.
What benefit does saving remarks provide?
Remarks help suppliers understand rejection/pending reasons, enabling faster corrections and fewer disputes.
How does TaxPower GST help with IMS changes?
It automates reconciliation, ITC computation, pending action tracking, and integrates IMS changes for seamless compliance.
Disclaimer:
This blog is provided for general informational purposes only and does not constitute legal, financial, or professional advice. While every effort has been made to ensure the accuracy of the content, readers are advised to independently verify all relevant provisions of the Indirect Taxes Acts, Rules, Notifications, GST Council decisions, CBIC circulars/advisories, GSTN guidelines, E-Way Bill and e-Invoice rules, and applicable judicial pronouncements before making any compliance, business, or financial decision.
Neither the author nor the publisher accepts any liability for loss or damage of any kind arising directly or indirectly from reliance on the information provided herein.
All content, unless otherwise noted, is the intellectual property of the publisher and may not be reproduced, distributed, or adapted without prior written permission.
Last Updated: September 27, 2025
