From Crunchy Bites to Big Bucks: Golgappa Vendor Rakes in ₹40 Lakh via UPI

New Delhi (The Uttam Hindu): A pani puri vendor in Tamil Nadu has come under scrutiny from Goods and Services Tax (GST) authorities after receiving online payments totaling Rs 40 lakh during the 2023-24 financial year. On December 17, 2024 the vendor received a summons under Section 70 of the Tamil Nadu Goods and Services Tax Act and the Central GST Act. According to GST regulations, businesses with an annual turnover exceeding Rs 40 lakh are required to register and adhere to taxation rules.

The notice which has circulated on social media, asks the vendor to appear in person and provide financial documents related to his transactions over the past three years. GST officials are focusing on the vendor’s earnings, particularly the large sum received through digital payments in the previous financial year. The notice further emphasized that supplying goods or services without GST registration after surpassing the Rs 40 lakh threshold is considered an offense. The situation has sparked a wide range of reactions online.

One user commented, "40 L is the amount he received but that may not necessarily be his income. Costs for ingredients, manpower and fixed expenses must be deducted. He might be earning just enough to get by." Another added, "I believe more than 50 percent of customers pay in cash as the amounts are generally small—50 to 100 bucks. I assume he is earning at least 60 LPA."

One comment drew comparisons, saying, "That’s a higher salary than many professors at medical colleges who are taxed based on slabs. The pani puri vendor can add GST to his bills and pay the government. However, he might lose customers to those whose bills are lower. This tax action could push people into cash transactions!" Earlier, a comedian's viral video argued that running a pani puri stall could be more profitable than a corporate job. He highlighted the steady customer base, flexible working hours and freedom from strict leave policies that food vendors enjoy compared to corporate workers. He encouraged viewers to consider starting their own food business and move beyond societal norms.