GENERAL22 Sept 2026
UPI's 10th birthday party
UPI's tenth birthday reminds us why it grew fast: it was free. Unlike credit or debit cards, where the card issuer charges the merchant a fee called the merchant discount rate (MDR), UPI cost the merchant nothing. No revenue went to banks or payment platforms. That free access quickly pulled in shoppers and shopkeepers. If you run a business, check what you pay on each digital payment.
Key Statutory Highlights
- UPI was free, unlike credit or debit cards where the card issuer charges a fee to the merchant.
- That card fee is called the merchant discount rate, or MDR.
- A merchant accepting UPI payment did not have to give up any of his revenue to the UPI issuing platforms or banks.
Actionable Advice for Taxpayers / Founders:If you accept customer payments, review what your business pays for each payment mode and confirm with your CA whether any merchant fee applies to your UPI collections, so you are not paying more than you expect.
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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