Mysore/Mysuru: Amid growing concerns over Goods and Services Tax (GST) compliance, several small traders in Mysuru city have reportedly shifted to cash-only transactions. However, many continue to use UPI-based digital payment methods for customer convenience.

At Devaraja Market, some fruit vendors — whose products are GST-exempt — have removed UPI QR codes from their stalls.

Vendor Gowramma told Star of Mysore that after watching TV reports suggesting mandatory GST payments, she and two fellow traders decided to stop accepting UPI and switched to cash-only dealings.

On the other hand, fruit seller Prakash pointed out that not all local vendors are alarmed. “Digital payments are extremely helpful. They solve the issue of exact change and also help when applying for loans,” he said. For these reasons, many traders have opted to continue using UPI.

According to Section 22 of the GST Act, 2017, any trader whose total annual turnover exceeds Rs. 40 lakh for goods or Rs. 20 lakh for services — regardless of whether the payments are received via cash, UPI, bank transfer or card — is legally required to register for GST. The Department of Commercial Taxes recently reiterated this in an official release.