Your supplier's mistake costs you the credit
Input tax credit depends on the invoice your vendor issued being valid. Check incoming invoices before they reach your books — not during reconciliation, when the money has already gone out.
Credit denied on a defective invoice
Input tax credit requires a valid tax invoice. If the supplier's document carries an invalid GSTIN, the wrong tax head or tax that does not reconcile, the credit you claimed against it is exposed on scrutiny — and the mistake was never yours.
Mismatches you find too late
A supplier who files the wrong tax head leaves your credit sitting under a head you cannot use. You discover it during reconciliation, weeks after you paid the invoice and long after you had any leverage.
A bad GSTIN on file, repeated monthly
A GSTIN captured wrongly at onboarding, or one that has since been cancelled, quietly breaks every invoice from that vendor until someone notices. Validating at the point of entry costs nothing and stops the repeat.
What gets checked
The same 16 statutory checks we run on outgoing invoices, applied to the ones you receive. Upload a CSV of vendor invoices — from your ERP, your purchase register, or a GSTR-2B export — and get back a list of which ones are defective and why.
- ✓ Supplier GSTIN format and state code
- ✓ Tax head against place of supply
- ✓ HSN present and correctly sized
- ✓ Tax recomputed line by line
- ✓ Invoice number within the 16-character limit
- ✓ Invoice date and period sanity
- ✓ Reverse charge flagged correctly
- ✓ Totals reconciled against line items
Check a batch of vendor invoices
Up to 100 invoices per upload, free. You get a worst-first list of which invoices are defective before you claim credit against them.
On the other side of the same relationship
If you are the one waiting to be paid, section 16 of the MSMED Act 2006 provides for compound interest at three times the RBI Bank Rate on payments delayed beyond the period allowed. Work out what a late payment has accrued — free, and no sign-up.
General information about Indian GST, not tax advice. Input tax credit conditions are set out in Section 16 of the CGST Act and change by notification — confirm the current position with your CA before relying on it.