Indeed so. Evidently the claim of moral merit was being made by those in Matthew 7:21-23, they saying, “Look at our works!” in essence. Their acts, their works were not evidence of faith, fruitages of the spirit.
Perhaps, but what is often missed in this oft quoted text, the context of which is fruit testifying as to who is a true believer by evidential faith, is that the works being invoked in their defense are not revelatory of character, but of spiritual gifts, but charisms, being instruments to convey grace, do not constitute character, which is what determines how and out of which motive gifts will be used.
“A good tree cannot bring forth evil fruit, neither can a corrupt tree bring forth good fruit. Every tree that bringeth not forth good fruit is hewn down, and cast into the fire. Wherefore by their fruits ye shall know them. Not every one that saith unto me, Lord, Lord, shall enter into the kingdom of heaven; but he that doeth the will of my Father which is in heaven.
Many will say to me in that day, Lord, Lord, have we not prophesied in thy name? and in thy name have cast out devils? and in thy name done many wonderful works? And then will I profess unto them, I never knew you: depart from me, ye that work iniquity. “ (Matthew 7:18-23)
Thus the Corinthians, who came behind in no gift, (1Cor. 1:7) were yet were carnal in their strife, and thinking of men above what was written. (1Cor. 4:6)
And as a result they misused the gifts were which given for the edification of the body, but which this does not impugn gifts, though some equate it with their carnality, but it evidences that the heart determines how an instrument meant to be for grace will be used.