Answer

1. F

   Facts

   GST does not depend on whether customers pay by cash or UPI. What matters is your total turnover, and UPI receipts make that turnover easy for the department to see.

2. P

   Provisions and law

   • Sec 22(1), CGST Act 2017Registration needed when aggregate turnover in a year crosses ₹20 lakh, lower in special category States
   • Notification 10/2019-CTThreshold of ₹40 lakh for persons supplying only goods, with some State exceptions
3. A

   Analysis

   Sec 22(1) and Notification 10/2019-CT set the thresholds: ₹40 lakh for most goods-only suppliers and ₹20 lakh for services, lower in some States. Departments have used UPI and bank data to spot unregistered businesses. Example: a tea stall receiving ₹1.2 lakh a month by UPI and ₹60,000 in cash has turnover of about ₹21.6 lakh a year; for a goods seller that is under ₹40 lakh, but a service provider would be above ₹20 lakh. Keep a daily record so you know where you stand.

4. C

   Conclusion

   1. 1Write down each day's cash and UPI sales in one simple register.
   2. 2Total them monthly and keep a running yearly total.
   3. 3Compare the total with your threshold.
   4. 4Register in time if you are getting close.
   5. 5Keep personal UPI receipts out of the business account.

General guidance from TaxSavvy’s library of money processes. Laws change; your Savvy confirms the answer on your exact case before anything is filed.