NPCI says fears over GST on merchant fee for big UPI payments ‘misplaced’
The National Payments Corporation of India (NPCI) stated that fears regarding an 18% GST on merchant fees for UPI payments over ₹2,000 are misplaced. Only 4% of such transactions will incur this fee, while 96% remain unaffected. The GST can be claimed as input tax credit, alleviating concerns for small merchants when the new rule takes effect on October 15.