GENERAL17 Sept 2026
Sebi to consider brokers' concerns around MDR as UPI costs loom | Stock Market News
From 15 October, UPI person-to-merchant payments above ₹2,000 will carry a 0.4% merchant discount rate, capped at ₹300. Capital-market transfers face a lower 0.02% rate. Stockbrokers worry this fee may beat the brokerage they earn, especially when clients move unused funds in and out. Sebi chairman Tuhin Kanta Pandey says the regulator will look into their concerns and try to ease them.
Key Statutory Highlights
- From 15 October, UPI person-to-merchant payments above ₹2,000 will attract a 0.4% merchant discount rate, capped at ₹300 per transaction.
- Capital-market transactions involving mutual funds, securities and brokers will attract a lower MDR of 0.02%, also capped at ₹300.
- Sebi chairman Tuhin Kanta Pandey said the regulator will look into the concerns raised by stockbrokers over the MDR on UPI transactions.
Actionable Advice for Taxpayers / Founders:If your business accepts UPI payments, ask your CA or banker to work out how the new charges from 15 October affect your costs, and review whether the fee could exceed what you earn on smaller transactions.
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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