# Invoice Management System (IMS): Reconciliation

IMS reconciliation with purchase register and taking appropriate action on invoices is important for correct generation
of GSTR-2B and ITC claim in GSTR-3B. Please follow the steps below to reconcile & take appropriate actions in IMS.

> **Warning:** Make sure you have opened the company in Octa GST before you follow the steps below.

## Import Purchase Register

- Click on the **Purchase** menu in the left.
- Click on **Import** button.
- Select the appropriate format and import the purchase register from Excel or CSV file(s).

Before importing the purchase register, Octa GST will validate the input data. If it finds any error in input data, you
will see a preview of errors with an option to generate the error report. Please fix the errors and retry to import the
data. Please note that purchase register will be imported only if there are no errors in the input data.

## Pull IMS

- Click on the **IMS** menu in the left.
- Click on **Fetch** button, select the state and continue.
- Octa GST will pull the IMS data in the background.

> **Tip:** Depending on the number of records in IMS, it may take from one seconds to few minutes. You can check the status of
> pulling IMS data by clicking the **Robot** button on the top.

## Match & Reconcile

Click on the **Reco IMS** menu in the left and click on **Match & Reconcile** button on the top to start the automatic
invoice matching process. Octa GST will match & link the invoices in purchase register and IMS based on various matching
logics.

### Dashboard

IMS reconciliation dashboard will show the number of records and total ITC based on the actions taken on the IMS
documents. In the initial stage, all documents would be in _No Action_ status.

Click on **View Reconciliation** button to view the supplier-wise summary.

### Supplier Summary

This will show the summary of actions taken for each supplier along with ITC value for each action. If you want to check
the summary of a specific supplier, you can find the suppliers by using the **Supplier** filter.

Double click on any row to view the invoices reported by that supplier, or click on **All Documents** button to view all
records in IMS.

### Invoice Reconciliation

This page shows the invoice level reconciliation along with status of matching which can be one of the following:

- **Match**: Invoice in IMS is matching with purchase register.
- **Almost Match**: Invoice in IMS is matching with purchase register but there are some minor differences (e.g. few
  paisa difference in tax amount, some difference in invoice number etc.).
- **Mismatch**: Invoice in IMS does not match with purchase register.
- **Missing**: Invoice is missing in purchase register (may be not yet booked).

> **Tip:** Since IMS keeps populating the new invoices as e-invoices are generated by the suppliers, you may find a lot of
> un-filed invoices of current month. These invoices are normally not useful for reconciliation. You can click on
> **Filed Invoices Only** button on the top to view only those invoices for which supplier has filed the return.

Based on the reconciliation status, you can take the appropriate action on the invoices. The recommended action for each
status is mentioned below:

| Reconciliation Status | Recommended Action | Remarks                                                                                                                                                                          |
| --------------------- | ------------------ | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |
| Match / Almost Match  | Accept             | Accept the invoices, credit/debit notes since they match with purchase register                                                                                                  |
| Mismatch              | Accept / Pending   | Depending on your preference, you can accept the invoice if you want to take partial ITC as available in IMS. Or you can keep it pending and wait for the amendment by supplier. |
| Missing               | Pending            | Keep the invoice pending in IMS and so that once it is booked in purchase register, you can accept and claim the ITC.                                                            |

> **Warning:** Use the **Reject** action only if you are sure that such invoice doesn't belong to recipient.

To take action on a single invoice, simply select that row and click on any of the action buttons on the top. To take
action on multiple invoices at once:

- Apply appropriate filter for target invoices
- Select all rows by clicking the **check-box** in the table header
- Click on the action button and the same action will be applied on all selected invoices

Don't worry if you have taken a wrong action by mistake. You can take action multiple times. Any action you take on IMS
invoices, will be saved in Octa GST only. These actions will be pushed to Govt Portal only when it is explicitly
requested by you.

## Pushing IMS Actions

Once the reconciliation is complete and you have taken appropriate actions on all invoices in IMS, you will need to push
these actions to Govt Portal. You can do this using one the following 2 methods:

### Automatic (Using OTP)

If you have connected Octa GST to Govt Portal using OTP authentication, you can use automatic mode:

- Open **Reco IMS** page
- Click on **Push Actions** button
- All actions will be pushed to Govt Portal in the background. You can check the status in **Robot** section.

### Manual (Govt Portal)

You can also directly use the Govt Portal to apply these actions in IMS.

**Export the actions to be updated**

- Open **Reco IMS** page
- Click on **Reconciliation Report** button to generate the IMS reco report.
- Once the report is ready, download the report from **Robot** section
- Open the **IMS** worksheet
- Apply a filter on **IMS Status on Portal** column and select **To be updated**
- These actions need to be updated on Govt Portal

**Apply the actions in Govt Portal**

- Login to [Govt Portal](https://services.gst.gov.in/services/login)
- Open **Services** → **Returns** → **Invoice Management System (IMS) Dashboard**
- Click on **View** button on **Inward Supplies**
- Open the relevant section and apply the action as per the reconciliation report generated in the previous step

> **Tip:** In case of **No Action**, invoices are deemed accepted in IMS. So if you are taking actions manually, you can skip the
> **Accept** action and leave them in **No Action** status. Since most rows are likely to have **Accept** action, this
> will save a lot of manual effort.

## Re-generate GSTR-2B

Based on the actions taken in IMS, GSTR-2B data will change. So don't forget to re-generate GSTR-2B once the actions are
applied on invoices in IMS.

### Automatic (OTP)

If you are using OTP mode, you can simply open **GSTR-2B** and click on **Fetch** button to download the latest GSTR-2B.
Octa GST will automatically re-generate GSTR-2B if required.

### JSON Files

If you are importing GSTR-2B JSON files, you will need to re-generate GSTR-2B on Govt Portal:

- Login to [Govt Portal](https://services.gst.gov.in/services/login)
- Open **Services** → **Returns** → **Invoice Management System (IMS) Dashboard**
- Click on **View** button on **Inward Supplies**
- Click on **Compute GSTR-2B** button