4 hrs ago
Finance Ministry Clarifies Who Pays New 0.4% UPI Charge
A new 0.4% charge related to UPI payments is expected to apply from October 15.
The Finance Ministry has explained how it views this charge.
It says the charge is not a tax.
It also says it is not a cess or a surcharge.
The money collected will not go to the Government of India.
The ministry says the rule may involve several kinds of cards.
However, the provided information does not clearly say who will pay the charge.
More details may be needed to answer that question fully.
A new 0.4% charge under the UPI MDR rule is set to apply from October 15.
The Finance Ministry says the charge is not a tax, cess, or surcharge.
The ministry says the collection will not go to the Government of India.
The clarification says the measure may apply to more cards than one specific card type.
The provided statement does not clearly identify who will ultimately pay the charge.
- Who
- The Finance Ministry issued the clarification; the statement does not identify the ultimate payer.
- What
- A new 0.4% charge under the UPI MDR rule.
- Where
- When
- From October 15.
- Why
- The Finance Ministry says the charge is being justified as a card-related measure, not as a government tax or levy.
Key facts
- Charge
- 0.4%
- Effective date
- October 15
- Related system
- UPI
- Classification
- Not a tax, cess, or surcharge, according to the Finance Ministry
- Government recipient
- The collection will not go to the Government of India
- Payer
- Not clearly identified in the provided statement
Sources
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