Archive · 23 Jul 2025
K'taka Traders Protest GST Notices, Call for Strike Over UPI Data
Some traders in Karnataka are getting notices from the government because they might not have registered for a tax called GST.
The government is looking at how much money they're receiving through online payment systems like UPI.
If a trader gets more than a certain amount, they need to register and pay taxes.
The traders are worried and plan to strike because they feel the notices are confusing.
The government says the notices are not final and traders can explain why they shouldn't have to pay taxes.
Karnataka traders are calling for a strike on July 25 in response to GST notices.
The notices, based on UPI transaction data, are sent to potential GST defaulters.
Tax officials clarify the notices are not final demands, and traders can respond.
Traders are encouraged to register if their turnover exceeds the threshold.
Concerns exist over a lack of clarity and the inclusion of exempt goods in the notices.
- Who
- Karnataka traders and the Commercial Taxes Department.
- What
- Traders in Karnataka are protesting GST notices based on UPI transactions.
- When
- July 25, traders have called for a strike.
- Where
- Karnataka, India.
- Why
- Traders are protesting because of confusion and lack of clarity around GST notices issued based on UPI transactions.
Traders' Concerns
Tax Department's Stance
Clarity
Traders' Concerns
Traders express confusion over how UPI transactions are treated under GST.
Tax Department's Stance
The Commercial Taxes Department is legally within its powers to use UPI data.
Awareness
Traders' Concerns
Traders are unaware that their UPI inflows, a mix of business and personal transactions, would be treated as undeclared turnover.
Tax Department's Stance
The department is not aware whether the turnover is entirely exempted, partially taxable, or fully taxable.
Education and Warning
Traders' Concerns
Lack of prior warning, context, and education has created confusion.
Tax Department's Stance
The department made extensive efforts to educate traders before GST rollout.
- Issue
- GST notices based on UPI data
- Number of Notices
- Nearly 6,000
- Trigger
- UPI transaction data
- Strike Date
- July 25
- Threshold for Goods
- Rs 40 lakh
- Threshold for Services
- Rs 20 lakh