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Parliament clears taxation bill, Sitharaman says UPI transactions to remain free for consumers

Published

10 August 2026

Topic

regulatory

Sectors

Fintech

Geography

India

Source

Read at bfsi.economictimes.indiatimes.com

Verified

Fusion42 · 24 August 2026 · Fusion42 review

India's Parliament has passed the Taxation and Other Laws Amendment Bill, which legally insulates UPI transactions from income tax and confirms that UPI payments will remain free for consumers. The bill also allows the government to alter the zero-MDR framework for UPI and RuPay, aiming to boost international investment and domestic manufacturing.

This Wire brief sits within Fusion42's coverage of Fintech.

◆ The Wire takeaway

Your UPI-based fintech solutions now benefit from confirmed zero transaction fees for consumers and legal clarity on tax separation. Act quickly to capitalise on government support for digital payments as this opens room for scaling without burdening users with fees.

Coverage

1 source · 10 Aug 2026

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Topics

Fintechupitaxation-billdigital-paymentszero-mdrfinance-ministry