‘No tax on UPI consumers’, Finance Ministry says only 0.4% MDR to be levied on payments to merchants up to ₹2,000; NPCI issues FAQ sheet

The Finance Ministry and National Payments Corporation of India confirmed that only nominal 0.4% charges will be levied on payments to merchants (P2M) transactions above ₹2,000. The revised UPI Merchant Discount Rate (MDR) will come into effect from 15th October 2026.