Accept, Reject, Keep ITC Pending: IMS Action Status in TallyPrime

When you receive purchase invoices from your suppliers, TallyPrime helps you reconcile these with the GST portal using IMS (Invoice Matching System).

But that’s not all—you can also accept, reject, or keep the invoice ITC as pending by setting the IMS Action Status.

This feature helps you manage your Input Tax Credit (ITC) with complete control and ensures compliance during GST return filing.

In this blog post, we’ll explain what IMS Action Status is, how to set it in TallyPrime, and walk through examples in simple language.

Table of Contents

1. What Is IMS Action Status in TallyPrime?

IMS Action Status in TallyPrime allows you to classify inward invoices downloaded from the GST portal into three actions:

Accept – You agree with the invoice and will claim ITC
Reject – You don’t agree with the invoice and won’t claim ITC
Pending – You’re unsure or waiting for correction, so ITC is on hold for now

2. Why Use IMS Action Status in TallyPrime?

Keep control over which invoices are considered for ITC
Flag errors or duplicates in supplier uploads
Make informed decisions while filing GSTR-3B
Stay compliant and reduce notices from the GST department

3. How to Set IMS Action Status in TallyPrime

Step 1: Go to IMS Inward Invoices Report

Open Gateway of Tally > Exchange > GST Portal Sync
Click on Inward Supplies (From Portal)

Step 2: Choose the Return Period

Select the month for which you want to view invoices (e.g., May 2025)

Step 3: Select a Voucher

Pick an invoice from the list that you want to act on

Step 4: Set IMS Action

Press Alt + A (or use the Actions menu)
Choose one of the following:
- Accept – to include it in ITC claim
- Reject – to exclude it from return
- Pending – to keep it on hold

TallyPrime will update the status and reflect it in your GSTR-3B computation.

4. Example 1 – Accepting an Invoice –IMS Action Status in TallyPrime

You receive an invoice from ABC Traders:

Invoice No: 2023/45
GSTIN matches your books
Invoice value: ₹1,00,000 + GST ₹18,000

You’ve recorded this purchase in TallyPrime, and it matches exactly with the portal data.

→ In the IMS Inward Report, mark the invoice as Accepted
→ It will now be considered for ITC in your GSTR-3B return

5. Example 2 – Rejecting a Wrong Invoice – IMS Action Status in TallyPrime

You find an invoice from XYZ Pvt Ltd:

You didn’t make any purchase from them
But their invoice appears in your GST portal inward list

→ In the report, mark this invoice as Rejected
→ TallyPrime will exclude it from ITC and avoid return mismatches

6. Example 3 – Keeping an Invoice Pending – IMS Action Status in TallyPrime

You find an invoice that:

Belongs to you
But has a wrong invoice number or amount

You want to wait till the supplier corrects it.

→ In this case, mark the invoice as Pending
→ You won’t claim ITC on it for now
→ Later, when corrected, you can change the status to Accepted

7. How to Track IMS Action Status Later in TallyPrime

TallyPrime helps you filter invoices based on IMS action:

Go to the Inward Supplies (From Portal) report
Use filters to view only Accepted, Rejected, or Pending invoices
Helps you review and manage GST filing smoothly

8. Benefits of IMS Action Status in TallyPrime

Better visibility on ITC claims
Prevents wrong ITC from being claimed
Helps in following up with suppliers for corrections
Simplifies GSTR-3B preparation
Reduces risk of mismatches and notices

9. Conclusion

Setting IMS Action Status in TallyPrime gives you full control over which invoices are considered for ITC.

With simple options to Accept, Reject, or Keep Pending, you can maintain a clear and accurate GST record.

This small step can make a big difference in filing accurate returns and avoiding penalties.

Start reviewing your inward invoices today—and manage your GST compliance like a pro with TallyPrime.