At present, UPI and RuPay debit card payments attract no MDR.
The Finance Ministry on Wednesday refuted the reports reports suggesting that a fee would be imposed on Unified Payments Interface (UPI) transactions.
The Finance Ministry called such reports “completely false, baseless, and misleading”.
Tax on Rs 3000+ UPI transaction? Finance Ministry issues clarification.@FinMinIndia tweets: “Speculation and claims that the MDR will be charged on UPI transactions are completely false, baseless, and misleading… The Govt remains fully committed to promoting digital payments… pic.twitter.com/8VTcR1wHJD
— TIMES NOW (@TimesNow) June 11, 2025
“Speculation and claims that the merchant discount rate (MDR) will be charged on UPI transactions are completely false, baseless, and misleading,” the ministry stated in a post on social media platform X.
“Such baseless and sensation-creating speculations cause needless uncertainty, fear and suspicion among our citizens. The Government remains fully committed to promoting digital payments via UPI,” the statement added.
Speculation and claims that the MDR will be charged on UPI transactions are completely false, baseless, and misleading.
Such baseless and sensation-creating speculations cause needless uncertainty, fear and suspicion among our citizens.
The Government remains fully committed…
— Ministry of Finance (@FinMinIndia) June 11, 2025
Earlier, some reports claimed that the government was considering to introduce the Merchant Discount Rate on all the Unified Payments Interface (UPI) payments above Rs 3,000.
What Is MDR?
