The GST Council is set to examine whether an 18% levy should apply to merchant discount rates on UPI transactions above Rs 2,000, according to a report. The discussion comes ahead of an October 15 rollout of a proposed 0.4% merchant discount rate capped at Rs 300, a move that could affect payment costs for merchants while allowing input tax credit on GST paid.
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"GST Council to Review 18% Tax on UPI Merchant Fees as October 15 MDR Plan Nears"
The GST Council is set to examine whether an 18% levy should apply to merchant discount rates on UPI transactions above Rs 2,000, according to a report. The discussion comes ahead of an October 15 rollout of a proposed 0.4% merchant discount rate capped at Rs 300, a move that could affect payment costs for merchants while allowing input tax credit on GST paid.
GST Council to Review 18% Tax on UPI Merchant Fees as October 15 MDR Plan Nears
R
RDU Global Wire
BFSI & Fintech Desk
New Delhi, India Just now (01:48 PM IST)•5 min read
The GST Council is set to examine whether an 18% levy should apply to merchant discount rates on UPI transactions above Rs 2,000, according to a report. The discussion comes ahead of an October 15 rollout of a proposed 0.4% merchant discount rate capped at Rs 300, a move that could affect payment costs for merchants while allowing input tax credit on GST paid.
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