Bengaluru, July 22 (IANS) Union Minister for Food, Public Distribution and Consumer Affairs Pralhad Joshi has clarified that the GST notices issued to small-scale traders in Karnataka are the doing of the state government, and not from the Central government.

Responding to Deputy Chief Minister D.K. Shivakumar’s claim that the state has no role in issuing tax notices, Joshi called the statement “utterly ridiculous.”

“It is Karnataka’s commercial tax officials who issued the GST dues notices to small traders. And yet, the state government is now misleading the public by pretending it has no involvement. This is nothing but an attempt to shirk responsibility,” Joshi said.

“If the GST notices had been issued by the central government, then traders in several other states would have received them. But that hasn’t happened anywhere else. Why are these notices being sent only in Karnataka?” Joshi questioned.

Joshi also accused the Karnataka government of burdening the public through price hikes and now harassing small traders dealing in essential commodities such as fruits, milk, and vegetables by issuing tax notices.

He clarified that under GST, there are two components – CGST (Central GST) under the central government and SGST (State GST) under state governments. The notices to small traders in Karnataka were issued by the state’s Commercial Tax Department.

“The central government has no involvement in this,” Joshi affirmed.

He also explained that in the GST Council, decisions are collectively made, and the Central government holds only one-third of the voting power. The remaining two-thirds rest with the states, making their decisions final in most cases.

By issuing GST notices to small traders, Joshi alleged, the Karnataka government is actively attempting to damage the growth of digital and UPI transactions in the state.

“UPI transactions have become a model for the entire world. But now, the Karnataka government is trying to disrupt this transparent system. This petty political tactic is truly unfortunate,” he claimed.

–IANS

mka/dan