सुप्रीम कोर्ट ने आरबीआई, एनपीसीआई को सूचना दी: 2000 रुपये से ऊपर UPI लेनदेन पर 0.4% MDR, 15 अक्टूबर से लागू

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The Union of India, RBI and NPCI have been directed to file their responses within four weeks.

The Supreme Court on Monday issued notices to the Reserve Bank of India and National Payments Corporation of India (NPCI) on a plea challenging the government's decision to impose a 0.4% Merchant Discount Rate (MDR) on specified UPI person-to-merchant transactions above Rs2,000.

The top court did not stay the implementation of the MDR framework from October 15.

The Solicitor General of India said no money from the MDR goes to the government. He said the "MDR is merely a service charge levied by aggregators and banks."

The Union of India, RBI and NPCI have been directed to file their responses within four weeks.

The government's new framework introduces a 0.4% MDR on specified UPI merchant transactions above Rs2,000 from October 15, ending nearly six years of fully free UPI payments. Person-to-person transactions and small payments will remain outside the levy.

The MDR will be capped at Rs 300 for payments of Rs 75,000 and above. Essential and thin-margin sectors, including railways, telecom, insurance, fuel and agricultural inputs, will pay a flat MDR of Rs 5 per transaction above Rs2,000.

Payments into mutual funds, securities and through stockbrokers and dealers will attract a 0.02% MDR, also capped at Rs300.

P2P transfers, which account for 37% of UPI transaction volume and 70% of transaction value, will continue to attract zero charges irrespective of the transaction size.

The public interest litigation filed by advocate Anjan Datta had challenged the Centre's September 14 notification and the MDR framework announced on September 15.

The plea alleged that the levy was introduced without adequate statutory safeguards, transparency or public consultation. It also challenges the constitutional validity of the amended Section 10A of the Payment and Settlement Systems Act, 2007, alleging that it gives the executive unguided powers to decide which electronic payment modes receive no-charge protection.

"Declare that no MDR or analogous compulsory charge may be imposed or recovered merely on the strength of a press release or FAQs absent a duly authorised, authenticated and published statutory instrument," the plea had said.

The petitioner has also questioned the distinction between UPI transactions and RuPay debit card payments, noting that the notification continues no-charge protection for RuPay debit cards without a monetary ceiling.

The plea alleged that the framework is arbitrary and discriminatory and may adversely affect merchants, particularly those with low margins, while raising concerns over a possible indirect consumer burden and digital exclusion.

It sought quashing or suspension of the framework insofar as it imposes MDR on UPI transactions above Rs2,000.

Alternatively, it sought reconsideration of the framework after transparent consultation, publication of empirical data and an impact assessment, along with safeguards for micro and small enterprises.

"Direct that any future MDR classification be based on relevant considerations including merchant turnover, statutory MSME status, actual margins, geography and ability to bear the cost, and avoid cliff-edge treatment unsupported by evidence," the plea had said.

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