Page 8 - Finance News

Govt holds firm on UPI MDR as Opposition mounts pressure for rollback

Finance Ministry rejects claims of US pressure behind UPI MDR, as Opposition parties and trader groups demand reconsideration of the new merchant fee

MDR on UPI payments face 18% GST; registered biz can claim input tax credit

Experts say GST will raise the upfront cost of accepting eligible UPI payments, but registered businesses can offset the tax through input tax credit, subject to applicable rules.

RAI warns UPI merchant fee could push small retailers back towards cash

Industry body says the charge could drive small merchants back to cash, weaken formalisation and undermine digital payment adoption during the festive season across India.

MDR may push small merchants, price-sensitive consumers towards cash: GTRI

The Merchant Discount Rate (MDR) charges on UPI transactions above Rs 2,000 could push small merchants and price-sensitive consumers back towards cash, economic think tank GTRI said on Wednesday.

'No question of rethinking 0.4% UPI MDR above ₹2,000': Govt official

The government has said the MDR will apply within the merchant payment ecosystem and will not be charged to consumers

No foreign influence behind MDR on UPI payments above ₹2,000: FinMin

The finance ministry on Wednesday clarified that there was no foreign influence behind the decision to impose 0.4 per cent Merchant Discount Rate on UPI transactions above Rs 2,000

UPI MDR above ₹2,000 may attract 18% GST; merchants can claim ITC

Under the statutory framework, these payment settlement services will now attract an 18 per cent GST on the MDR billed to merchants

Govt raises EPFO wage ceiling to ₹25,000; 5.1 mn more workers to be covered

The proposal is expected to bring more than 5.1 million additional employees under mandatory EPFO coverage

UPI MDR charges: What consumers need to know about the change in rules

New UPI MDR rules will apply to select merchant transactions, but consumers can continue using UPI for daily payments, QR payments and AutoPay without transaction charges

UPI gets MDR: How 0.4% merchant fee compares with debit, credit cards

The new UPI MDR ends its zero-cost model for select high-value merchant payments; here is how the 0.4 per cent charge compares with what merchants pay to accept debit and credit cards

Sitharaman urges ITRAF to make tax research more visible in policy process

Sitharaman also praised the contribution of tax policy expert Parthasarathi Shome, who chairs ITRAF, recalling her interaction with him after she became Minister of State for Finance in 2014

Govt likely to extend key export incentive programme for five years

The commerce ministry sought ₹23,000 crore ($2.40 billion) from ​the finance ministry under the programme ‌for 2026/27

'Tax maximisation' or a 'much-needed step'? Verdict split on UPI MDR

UPI MDR has sparked a debate among major fintech players, with some calling it necessary for sustainability while others question the cost burden on merchants and businesses

UPI fee: Why government is putting a price on big merchant payments

From October 15, a 0.4 per cent Merchant Discount Rate (MDR) will apply to person-to-merchant UPI payments above ₹2,000

RBI absorbs ₹2.9 trillion via two VRRR auctions amid surplus liquidity

The RBI, since last month, has been conducting various VRRR auctions in order to absorb surplus liquidity from the banking system and align the overnight money market rates to the repo rate

Run a small shop? How to check whether UPI MDR applies to you

UPI payments above ₹2,000 will attract a merchant fee for eligible businesses from October 15. Here's how small shopkeepers can check if the new MDR rules apply to them

CBIC to handhold MSMEs as less than 1,000 join customs duty payment scheme

With less than 1,000 businesses opting for the EMI scheme, the CBIC 'substantially reduced' the data and documentation requirements for businesses who enrol under the scheme

Rupee falls 3 paise to 95.91 against US dollar during early trade

At the interbank foreign exchange market, the rupee opened at 95.89 against the US dollar and fell further to 95.91, trading 3 paise lower from its previous close

RBI backs MDR on large-value UPI transactions, says users will pay no fee

In a post on X, the central bank said the move would help UPI continue to scale and innovate while serving consumers and businesses across the country

0.4% MDR kicks in from October 15 for ₹2,000-plus UPI payments

Sources stress MDR is not a tax on UPI, since the fee is distributed among participants in the payments chain rather than accruing to the government