GENERAL20 Sept 2026
UPI pads up at the crease: From free play to revenue with new MDR regime
UPI is set for a big leg-up, as pricing on the payments system is changing. The new MDR (merchant discount rate) regime shifts UPI from free play to revenue, so charges could come in where payments were free. This affects merchants who accept UPI and customers who pay with it. Speak to your bank or payment provider and ask if your costs change.
Key Statutory Highlights
- Pricing on the UPI payments system is set to change, and this is expected to give the system a big leg-up.
- The change comes with a new MDR regime for UPI.
- UPI is moving from free play to revenue under this new regime.
Actionable Advice for Taxpayers / Founders:If you accept or make UPI payments, ask your bank or payment provider how the new pricing regime may affect your charges, and wait for official confirmation before changing anything in your setup.
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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