A STUDY ON CYBERSECURITY AND DATA PROTECTION CHALLENGES IN DIGITAL GST ECOSYSTEM

ABSTRACTThe introduction of the Goods and Services Tax (GST) system has significantly digitized tax administration,creating a highly connected digital ecosystem for registration, return filing, tax payments, and invoicemanagement. While this digital transformation has improved transparency, efficiency, and compliance monitoring,it has also increased exposure to cybersecurity and data protection risks. The GST digital ecosystem handles largevolumes of sensitive financial and business data, including taxpayer identities, transaction records, and bankingdetails. Such valuable information makes the system an attractive target for cybercriminals. Cyber threats such asphishing attacks, identity theft, unauthorized access, malware infections, and data breaches pose seriouschallenges to the security of GST platforms. Small businesses and individual taxpayers are particularly vulnerabledue to limited awareness of safe digital practices. In addition, issues related to secure data storage, cloud security,third-party service providers, and regulatory compliance further complicate data protection efforts. This studyhighlights the key cybersecurity and data protection challenges within the digital GST ecosystem and emphasizesthe need for strong encryption systems, multi-layer authentication, continuous monitoring, and user awarenessprograms. Ensuring a secure GST digital infrastructure is essential for maintaining taxpayer trust, protectingfinancial information, and supporting the long-term sustainability of digital tax governance