Bribery allegations in GST registration spark FM Sitharaman’s response, CBIC clarifies on the matter

A social media post has again brought the spotlight on how alleged corruption continues in the tax regime and haunts people who want to expand their businesses. The post, shared by Vinod Gupta, revealed his frustration over delays in getting his Goods and Services Tax (GST) registration. He alleged in the post that after failing to get his work done via an usual process, he was now considering paying a bribe.

His remarks went viral, prompting responses from social media users. The Finance Minister, and the Central Board of Indirect Taxes and Customs (CBIC) had to react to the matter. The issue has reignited alleged concerns about how a system meant to simplify business processes can sometimes end up creating new hurdles.

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

Vinod Gupta, in a tweet, wrote that he applied for GST registration about 20 days ago but had still not received the registration number. He wrote, “Now I have decided to give bribe to get the job done.”

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

The post triggered a larger conversation on social media. One user, referring to Gupta’s tweet, voiced concerns:

“Kudos to Vinod Gupta Sir for raising a serious concern regarding GST registration. What started as a smooth process in the early days of GST has now become a nightmare. As officers grew familiar with the system, some began exploiting it deliberately delaying or rejecting registrations unless bribes are paid. This is a blot on the promise of ease of doing business. Entrepreneurs deserve a fair system, not one that forces them to pay their way in. Please take urgent action.”

In response to the uproar, Finance Minister Nirmala Sitharaman stressed the need for integrity and transparency in tax administration.

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