GST notices based on UPI data: Tax department

BENGALURU: Following reports of notices issued to small traders by the Commercial Tax Department, the state government clarified on Friday that the action was based on data collected from Unified Payments Interface (UPI) service providers to ensure compliance with Goods and Services Tax (GST) laws.

Under the GST Act, in force since July 1, 2017, suppliers with an annual turnover exceeding Rs 40 lakh (for goods) or Rs 20 lakh (for services) are required to register for GST. This turnover includes both taxable and exempt goods and services, although tax is applicable only on taxable items.