# ITC Claim: Onboarding

## Introduction

> **Warning:** This article is only applicable for the new customers who would like to track their ITC claims using Octa GST.

**Thanks** for choosing Octa GST to manage your GST compliance!

Till now, you might be tracking the ITC on your purchase invoices manually in Excel or you might be using a software for
the same. In any case, you must have claimed the ITC on some of your invoices of previous few months and some invoices
might still be pending because they haven't been reconciled with GSTR-2B yet. Since you are just getting started, Octa
GST doesn't know which one of your purchase invoices are still pending for ITC claim. This article explains how you can
update the initial ITC information in Octa GST, so that it can report the correct ITC claims, re-claims, and reversals
in the upcoming GSTR-3B return.

> **Tip:** If you are new to Octa GST, please read the [Overview](/octa/docs/itc-claim/overview) first. This will help you
> understand how ITC Claim tracking works in Octa GST.

## Step-1: Import Purchase Register

You will need to import your purchase register of last few months. How far you need to go back? Well, it depends on the
last period which has been claimed fully as per your records. For example:

| Book Period                                              | Invoice count on which ITC claim is pending |
| -------------------------------------------------------- | ------------------------------------------- |
| Nov-2023                                                 | 0                                           |
| Dec-2023                                                 | 1                                           |
| Jan-2024                                                 | 3                                           |
| Feb-2024                                                 | 25                                          |
| Mar-2024                                                 | 53                                          |
| Apr-2024                                                 | 112                                         |
| May-2024 (Current month for which GSTR-3B filing is due) | 634 (all invoices would be pending)         |

In the above example, you must import your purchase register starting with **Dec-2023** period. Off course, this is only
the minimum you must import. If you prefer to import more period, you can definitely do so. Many users prefer to import
last 12 months or previous financial year, which is a reasonable approach.

To import your purchase register:

- Open **Purchase** page
- Click **Import**
- Select the Excel file you wish to import
- Continue the on-screen instructions
- If Octa GST shows errors during import, fix those errors & try the same process again

> **Tip:** Use can use _Purchase_ → _Import_ → _Template_ button to download a blank template.

## Step-2: Fetch GSTR-2B

This step is simple, you simply need to fetch the GSTR-2B from Govt GST System.

- Open **GSTR-2B** page
- Click on **Fetch** button
- Select the GSTIN and period

It is recommended to fetch at least last 18 months of GSTR-2B so that Octa GST can correctly link the purchase invoices
with GSTR-2B.

## Step-3: Reconcile

Use the steps below to match the purchase invoices with GSTR-2B:

- Open **Reco-2B** page
- Select the GSTIN
- Select the period (last 18 months)
- Click on **Match & Reconcile**

## Step-4: Generate Pending ITC Report

Use the steps below to generate the report of all pending invoices.

> **Tip:** This report will export all invoices which is expected because ITC claim is still `Pending` in Octa GST for all
> invoices.

- Open **ITC Claim → Pending** page
- Click on **Import Claims** button
- Click on **Export** button
- Select the GSTIN
- Select the period (exclude the period for which GSTR-3B filing is due)
- Download the report from Robot page

## Step-5: Import ITC Claims

Fill the following columns in the report generated in the previous step:

- Claim Period: In which period you claimed the ITC?
- ITC Action: Which action you took in that period. Most common is Claim but you can also specify other actions such as
  Re-Claim & Reversals.
- Claim Description: A short note on why ITC action was taken. This is optional and you can leave it blank.
- ITC: The amount of ITC you claimed on that invoice.
- Claim Status: `Complete` if the ITC is fully claimed on that invoice, otherwise `Pending`
- Link Doc ID: This is optional and you can leave it empty.

Once the required data has been filled, use the steps below to import the same:

- Open **ITC Claim → Pending** page
- Click on **Import Claims** button
- Click on **Import** button
- Select the target file
- Follow on-screen instructions

Once the ITC claim data is successfully imported, only those invoices will be shown on ITC Claim → Pending page, whose
ITC hasn't been claimed yet.

## Summary

Importing the initial ITC claim information is important because it helps Octa GST report the ITC correctly in upcoming
GSTR-3B returns. It is a one time exercise only. Once you start using Octa GST for ITC claim tracking, it will automatically
keep track of ITC actions and pending invoices.