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        Karnataka BJP chief slams CM Siddaramaiah over GST notices to small traders, seeks withdrawal

        July 23, 2025

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        Bengaluru, Jul 23 (PTI) Karnataka BJP President B Y Vijayendra on Wednesday accused Chief Minister Siddaramaiah of setting targets for the state’s Commercial Tax Department, which is issuing GST notices to small and micro traders and urged the government to withdraw them.

        He extended the BJP’s support to the agitation announced by a section of small and micro traders, who have objected to receiving GST notices linked to their UPI transactions.

        Several traders’ associations have called on these businesses to boycott UPI transactions and have announced a statewide strike on July 25.

        "The Commercial Tax Department issuing GST notices to small and micro traders has sparked widespread concern. These traders are deeply worried, while the chief minister and his ministers are attempting to shift the blame on the Centre," Vijayendra told reporters here.

        Pointing to Siddaramaiah’s earlier public statement that "Karnataka must surpass Maharashtra to become number one in GST collection", Vijayendra said the CM has even fixed revenue targets for officials.

        "At a time when the state coffers are empty, the CM is pressuring tax officials to issue recovery notices," he alleged.

        "I urge the chief minister to immediately halt the issuance of these notices to small and micro traders and to withdraw those already served," he added.

        Reiterating BJP's support for the traders' protest, the state party chief said even small vendors selling milk and curd have been served GST notices.

        "There are three slabs under GST, but the Commercial Tax Department is serving 18 per cent tax notices to everyone indiscriminately," he claimed.

        "These notices are being issued without proper verification or analysis, purely because the state lacks funds. This has caused serious anxiety among traders," he said, urging the chief minister to ensure that "the government withdraws these notices immediately." On a separate issue, Vijayendra commented on the Supreme Court’s dismissal of the Enforcement Directorate’s plea against CM Siddaramaiah’s wife in the MUDA site allotment case.

        While welcoming the court’s decision, he stressed that the verdict does not exonerate the chief minister and his family.

        "The court has not said that the CM and his family are innocent or that the BJP’s protests were politically motivated. Our stand remains unchanged—Siddaramaiah and his family are involved and are accused in the MUDA scam," he said.

        Calling for a CBI probe, Vijayendra said the case concerns the allotment of 14 sites to the CM’s family, as well as the illegal sale of sites worth Rs 5,000 crore through real estate agents.

        He also alleged that Congress workers have repeatedly tried to create disturbances outside the BJP state headquarters under the pretext of protests. Addressing Congress state president D K Shivakumar, Vijayendra warned that BJP workers also have the strength to hold counter-protests in front of the KPCC office, if needed.

        "If Congress workers want to protest, they should go to Freedom Park, the designated spot. Instead, they’re indulging in goondaism in the name of protest—this is unacceptable," he said, adding that the BJP has also met the city police commissioner and urged action against such behaviour.

        Stating that such actions were inappropriate, Vijayendra urged Deputy CM Shivakumar to withdraw from them.

        He alleged that the Congress government had yet to allocate the promised Rs 50 crore for development in each legislator’s constituency, and claimed the announcement was merely a ploy to silence ruling party MLAs who were publicly questioning the Chief Minister ahead of the legislature session.

        "It seems to be a conspiracy by the CM to escape criticism by keeping his own party MLAs under an illusion," he said, adding, "Let’s see what happens." Referring to reports of seed and fertiliser shortages across the state, Vijayendra criticised the chief minister, the Agriculture Minister N Chaluvaraya Swamy, and district in-charge ministers for "not taking the issue seriously".

        He urged the government to address the concerns of farmers without delay. PTI KSU SSK ADB

        GST notices to small traders spur withdrawal demands and statewide trader protest call over UPI-linked scrutiny Issuance of GST notices to small and micro traders, tied to UPI transactions, is alleged to be indiscriminate and driven by fixed revenue targets for tax officials; the state BJP leader demands immediate withdrawal and a halt to further notices, and supports traders' calls for a UPI boycott and a statewide strike as their primary response.
                          Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
                            Provisions expressly mentioned in the judgment/order text.

                                GST notices to small traders spur withdrawal demands and statewide trader protest call over UPI-linked scrutiny

                                Issuance of GST notices to small and micro traders, tied to UPI transactions, is alleged to be indiscriminate and driven by fixed revenue targets for tax officials; the state BJP leader demands immediate withdrawal and a halt to further notices, and supports traders' calls for a UPI boycott and a statewide strike as their primary response.





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                                ActsIncome Tax
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