Bengaluru: In a major decision, the Karnataka Government on Wednesday decided to waive off GST dues of small businesses running in several crores with a rider that they all must get the GST registration and pay taxes promptly from now on.The decision was announced by Karnataka Chief Minister Siddaramaiah after a meeting with the Commercial Tax Department officials, representatives of trade unions and the small traders here. Following the decision, the traders dropped their proposed state-wide protest scheduled for Thursday.”The GST dues will be waived off, and it will not be recovered. But all traders whose annual transaction is above Rs 40 lakhs must get the GST registration and pay taxes promptly,” Siddaramaiah said.Thousands of small businessmen, who were running bakeries, condiments and tea shops and vegetable vendors, were gripped by panic over the last two weeks after they were served notices by the Commercial Tax Department requiring them to pay their cumulative GST dues from 2021. The dues ranged from Rs 30 lakh to Rs 2 crore.While the Commercial Tax Department officials held they were only following GST Rules, the small traders demanded withdrawal of notices claiming it was sheer harassment. The small traders also announced a state-wide protest on July 24 forcing the Chief Minister to intervene.During the meeting, the CM clarified that notices were issued only to traders with UPI transactions exceeding Rs 40 lakh only to prompt them to get GST registration. “No taxes would be collected from traders dealing in exempt goods like milk, vegetables, meat and fruits, but those liable under the law must comply,” he said.The Chief Minister emphasised his government’s commitment to supporting small traders and ensuring lawful business practices. “The Government will provide assistance for timely tax payment and enhance the existing helpline for better accessibility,” he said.The representatives of trade unions raised concerns about confusion among small traders regarding GST notices, which often include loan amounts and personal transactions. They also urged the Government to allow traders to directly resolve issues with the Commercial Tax Department without intermediaries and to provide sufficient time to settle dues.They also suggested setting up a dedicated helpline and conducting awareness programmes about GST regulations.