In digital India, a worrying trend: shops are rejecting UPI for cash. Why? It's a clash between two of India's biggest successes. On one hand, UPI, with transactions over 260 trillion rupees. On the other, GST, which collected a record 22 trillion rupees. The problem starts when one is used to force the other. Merchants adopted UPI for two reasons: it was free, and small cash notes were hard to come by. But now, the government is using their UPI transaction data to hand them consolidated GST bills. Many feel betrayed—lured in with a free service, only to be hit with unexpected taxes. Even merchants whose turnover is below the official 40 lakh rupee threshold are reportedly being pressured to pay. The GST system itself is complex, drains working capital, and eats into their already thin profits. The solution? Perhaps a simplified, low, and automatically deducted tax. This could make the system fair, keep merchants on board, and save India's incredible digital momentum.

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