GENERAL15 Sept 2026
Only 17% merchants willing to bear 0.4% MDR on UPI payments: Survey
Most Indian merchants don't want to pay a fee called Merchant Discount Rate, or MDR, on UPI payments. A LocalCircles survey found only 17% are willing to bear a 0.4% MDR on payments above Rs 2,000. Another 41% refuse any such fee, and 9% don't accept UPI at all. This shows fee resistance is real for business owners.
Key Statutory Highlights
- A LocalCircles survey found that only 17% of merchants are willing to bear a 0.4% MDR on UPI payments.
- 41% of merchants are unwilling to bear any MDR on UPI payments above Rs 2,000.
- 9% of merchants do not accept UPI payments at all.
Actionable Advice for Taxpayers / Founders:If you accept UPI, take a look at your payment costs and work out how a possible MDR charge could affect your margins. Wait for official updates before making any changes to how you collect payments.
Statutory Disclaimer: TaxQue Shorts are AI-assisted editorial briefs for compliance awareness. This brief has not passed every source check; confirm the original notification before acting. This does not constitute formal legal or CA counsel.
TaxQue News Desk
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