Good news for GST traders

There is good news for GST traders from the government. According to CNBC Awaaz, it will now be easier for traders to take input tax credit and file GST returns. The government has recently launched a new facility called invoice management system.

Through this system, now businessmen will not only decide their ITC refund themselves but will also be able to file correct GST returns. This new system will reduce the number of notices issued due to invoice mismatch. Along with this, fake billing can also be stopped due to increased compliance.

The invoice management system has been implemented by the government on the GST portal from October 1. Therefore, from next month, all GST traders will have to manage the billing of their sellers i.e. inward supply and adjust the input tax credit i.e. ITC claim through this system. They will have the right to accept, reject or put the bills from the sellers in pending.

The GSTR 2B that will be generated on November 14 next month will be based on the invoice management system. Whatever action the GST businessman takes through IMS, his pre-filled final return GSTR 3B will be generated on that basis. Tax experts say that the new system will not only increase tax compliance but will also reduce the GST notices received by businessmen due to ITC mismatch.

It is also important for GST businessmen to understand and use the invoice management system because from January next year, manual correction or change in GSTR 3B will be banned. In these circumstances, the advice of tax experts is to keep an eye on GSTR 2B which gets auto-populated on the 14th of every month and take timely action on it through the invoice management system so that GST can become a good and simple tax not only for the government but also for you.