INCOME TAX28 Sept 2026
UPI MDR row: SC refuses interim stay on the levy; asks Centre, RBI to file counter affidavits within 4 weeks | Mint
The Supreme Court has refused to put a temporary hold on the government's plan to charge Merchant Discount Rate (MDR) on UPI (Unified Payments Interface) payments above ₹2,000. So the levy stands for now. It affects businesses taking larger digital payments, though the Centre says 96% of users stay exempt. The court will hear the case and wants replies from the Centre and RBI within four weeks.
Key Statutory Highlights
- The Supreme Court declined to grant an interim stay on MDR for UPI transactions above ₹2,000.
- The court directed the Centre, the RBI and others to file their counter affidavits within four weeks.
- The Centre told the bench that 96% of people using the gateway were exempt.
Actionable Advice for Taxpayers / Founders:Businesses accepting UPI payments above ₹2,000 should keep tracking this case and speak to their CA before changing any payment pricing, since the levy continues for now.
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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