Nirmala Sitharaman Addresses Allegations Of Bribery In GST Registration, Check Viral Post HERE

The controversy began after Vinod Gupta, founder-director of VG Learning Destination, shared his frustration with delays in securing a GST registration number for a firm associated with his family.

Sitharaman emphasised the importance of transparency and ethical conduct within the GST system.

Source : PTI

Finance Minister Nirmala Sitharaman  reacted to a viral social media post that alleged corruption within the GST registration system. The controversy began after Vinod Gupta, founder and director of VG Learning Destination, took to LinkedIn to express his frustration with delays in securing a GST registration number for a firm associated with his family.

In his post, Gupta claimed he applied for a GST number 20 days prior but was yet to receive it. “Tomorrow I will commit a crime. Giving and taking bribery: both are crimes. I applied for a GST registration number for a firm in which my wife and daughter are partners 20 days ago,” he wrote.

He further explained that despite submitting his application, multiple objections had been raised and the number had still not been issued. “So, I've decided to get the GST number tomorrow. I know I will get it after committing the crime,” he added.

Finance Minister Emphasises Accountability and Transparency

In response to Gupta’s statement, Sitharaman emphasised the importance of transparency and ethical conduct within the GST system. “It is our responsibility to serve taxpayers. But while doing that, we must be honest and transparent, because that's how we earn their trust. I believe the GST Board and officers will continue to be careful and quick in responding to people's issues,” she said, acknowledging the seriousness of the concern.

A detailed response from @cbic_india. To provide service to the taxpayer is our duty. While so serving the taxpayers, transparency and integrity are crucial in earning their trust and confidence. Confident that the Board and the field formations will remain sensitive and… https://t.co/OwuHQ5yKhe

— Nirmala Sitharaman (@nsitharaman) May 31, 2025

The post triggered widespread attention, drawing comments from various professionals in the tax and compliance sector. One such voice was Tax Compliance and Litigation Expert Abhishek Raja Ram, who also shared his concerns on LinkedIn. He tagged the Central Board of Indirect Taxes and Customs (CBIC) and alleged that systemic corruption was hindering the registration process. “CBIC has no idea of the ground reality of corruption in GST Registrations. Their Executive Officers are so corrupt that even VG Sir has to vent out his frustration. Better top-level Officers take control of Registrations to save the country from corruption,” his post stated.

CBIC has no idea of ground reality of corruption in GST Registrations. Their Executive Officers are so corrupt that even VG Sir has to vent out his frustration. Better Top level Officers take control of Registrations to save the country from corruption.

Raise your voice
Before… pic.twitter.com/hcuaHZ47BK

— Abhishek Raja "Ram" (@abhishekrajaram) May 30, 2025

CBIC Issues Clarification on the Application Status

Responding to the criticism, the CBIC clarified that Gupta’s application was filed on May 26 and was directed to the Delhi State GST jurisdiction rather than under the Central GST authority. According to the board, the application was reviewed promptly, but a clarification was sought due to a missing designation on the submitted rent agreement. The CBIC noted that this query was communicated to Gupta, and that no response was received from him to date.

@FinMinIndia
Dear @abhishekrajaram

The fact of the case of Shri Vinod Gupta who wrote about GST registration issue on LinkedIn are as below:

👉The application was filed this week on 26th May (Monday) which was assigned to Delhi State GST. The Central GST authorities had no…

— CBIC (@cbic_india) May 31, 2025

Furthermore, the CBIC urged individuals not to disseminate misleading information online, especially when the facts of the matter were publicly verifiable. The board reminded users like Raja Ram to verify details before making serious allegations against government functionaries.