Instant Finance Updates

🚨UPI is about to become a ₹20,000 crore business. — ₹15,000–₹21,000 crore → estimated annual revenue pool — ₹2,700–₹3,700 crore → potential GST on that MDR — Banks, payment apps & other ecosystem players → share the MDR All from a 0.4% MDR on eligible merchant transactions. If merchants pass this cost to customers, are we really saving money on UPI?? Do you think this is fair? ❤️Yes 🙏Nooo

*Govt allays fears of cash rebound after UPI MDR; monitoring so charges are not passed on* DFS says only about 4% of UPI volume is impacted and does not expect volumes to fall or cash to surge after Oct 15. Monitoring with payment aggregators is being set up so MDR is not passed to customers; RuPay debit and UPI up to ₹2,000 stay free of direct/indirect charges colour. (BL)

*Digital gold: every unit may need physical-bullion backing; RBI-Sebi oversight mooted* Finance ministry has started consultations to tighten digital-gold rules — including physical-bullion backing for every unit and joint RBI-Sebi oversight — after Sebi’s Nov 2025 warning that the product sits outside its purview. Aim is investor protection and curbing fly-by-night / money-laundering risks in an approx $3 bn segment. (ET)

*Sebi to examine stockbroker concerns over UPI MDR* Sebi chair Tuhin Kanta Pandey said the regulator will look into broker worries that UPI MDR can exceed brokerage when clients fund accounts without trading. From 15 Oct, P2M UPI above ₹2,000 attracts 0.4% (₹300 cap); capital-market UPI is 0.02% also capped at ₹300. Quarterly unused-client-fund return rules can create repeat UPI legs. (Mint)

bi chair Tuhin Kanta Pandey said the regulator will look into broker worries that UPI MDR can exceed brokerage when clients fund accounts without trading. From 15 Oct, P2M UPI above 2,000 attracts 0.4% (₹300 cap); capital-market UPI is 0.02% also capped at ₹300. Quarterly unused-client-fund return rules can create repeat UPI legs.

*Delhi HC sets aside I-T move to reopen AWS assessment over remittances above ₹4,500 cr* Delhi High Court set aside an income-tax reassessment order against Amazon Web Services linked to RMS-flagged foreign remittances and remanded the matter for a personal hearing. AWS argued AY 2020-21 income was already examined on a global proportionate basis. RMS flags do not by themselves prove income escaped assessment. (Mint)

*GST Council may take up MDR and ITC eligibility; CBIC confirms ITC for registered merchants* CBIC has clarified that GST-registered (regular) merchants get full set-off of 18% GST paid on MDR as ITC; composition and unregistered merchants cannot. MDR-GST questions may go to the GST Council (Oct 7 colour). Experts flag invoice/GSTIN friction when banks, PAs and NPCI sit in the payment chain. (BL)

*MDR rollout will be monitored; GST on MDR can go to GST Council, ITC for merchants* Govt will closely monitor the Oct 15 MDR rollout so merchants do not pass charges to customers. Officials say GST issues on MDR can be taken up by the GST Council, and merchants may use input tax credit. High-value MDR is meant to sustain smaller UPI players; RuPay debit stays MDR-free; P2M above ₹2,000 attracts 0.4% (₹300 cap colour). (ET)

vt will closely monitor the Oct 15 MDR rollout so merchants do not pass charges to customers. Officials say GST issues on MDR can be taken up by the GST Council, and merchants may use input tax credit. High-value MDR is meant to sustain smaller UPI players; RuPay debit stays MDR-free; P2M above ₹2,000 attracts 0.4% (₹300 cap colour).

Sebi to examine stockbroker concerns over UPI MDR Sebi chair Tuhin Kanta Pandey says the regulator will look into broker worries that MDR on UPI top-ups can exceed brokerage, especially when clients fund accounts without trading. From 15 Oct, P2M above ₹2,000 attracts 0.4% (₹300 cap); capital-market UPI gets 0.02% also capped at ₹300. Quarterly unused-fund return rules can multiply UPI legs. FinMin two-day state FMs conference ahead of 7 Oct GST Council and Budget 2027-28 talks Centre-state financing meet covers GST reform implications, farm/energy transition financing and pre-budget consultations starting 12 Oct. Delhi HC sets aside I-T move to reopen AWS assessment over remittances above ₹4,500 cr In relief to Amazon Web Services, Delhi HC set aside an income-tax reassessment push linked to RMS-flagged foreign remittances and sent the matter back for personal hearing. AWS argued the year was already examined on global proportionate income. RBI NBFC FAQ colour keeps listing pressure on Tata Sons; SP Group tax-fair-value exit ask Mint coverage of holdco NBFC listing obligations after CoR surrender rejection, and SP Group’s ₹25,000 cr for 2-3% stake ask valued per income-tax fair value norms. Paytm/MDR economics and NSE IPO day-one colour Street notes on how MDR share across the UPI stack may lift fintech take-rates, plus NSE IPO subscription updates. *Financial Express* GST Council may look at MDR taxation issues if needed; DFS rejects USTR-pressure charge FE reports govt defence of MDR as a market-forces / domestic-player revenue model, with RuPay debit MDR-free and selected high-value P2M MDR at 0.4%. Clarifies GST/ITC questions can go to the Council if open issues remain. 📝 EPFO wage ceiling to ₹25,000 flagged in FE economy wrap FE also carries the social-security ceiling reset in FE economy package alongside the MDR/GST thread. 📝 US Russia/Iran sanctions-tariff track and crude security overlay for India FE markets/economy pages track the US legislative tariff threat on Russian-energy buyers and Indian refiners’ costly alternative-crude maths with Brent near approx $104/bbl.

*BusinessLine* 📝 Govt allays cash-comeback fears; GST Council may take up MDR and ITC eligibility DFS says only about 4% of UPI volume is hit by the new MDR and volumes should hold after Oct 15. Monitoring is being set up so MDR is not passed to end users. Separately, GST on MDR (18% as a financial service) may go to the GST Council (Oct 7 colour); CBIC says GST-registered merchants get full ITC set-off. 📝 CBIC ITC clarity on MDR: relief for regular GST assessees, cost for unregistered/composition Experts note ITC makes the 18% GST largely neutral for organised B2B merchants, but composition and unregistered merchants bear it as cost. Practical challenge flagged where banks, PAs and NPCI sit in the invoice chain and GSTIN/invoice mismatch can delay ITC. 📝 Opinion: MDR may dent digital adoption; GST sharpens the risk for small merchants BL think piece argues where MDR exists, 18% GST follows under CGST Act supply-of-service rules. For small/exempt merchants, GST embeds in price and can push effective charge toward about 0.472%, nudging thin-margin trades back to cash. 📝 AIMRA and gold jewellers seek MDR relief on high-value UPI tickets Mobile/electronics retailers tell FM that 0.4% MDR on ₹10-40 lakh monthly UPI can mean ₹4,000-16,000 monthly net hit. Kerala gold trade seeks sector carve-out as high-ticket UPI already attracts up to ₹300 MDR. 📝 AITUC flags EPFO ₹25,000 wage ceiling; steel exporters map EU TRQ/zero-duty windows Labour and trade follow-ups: EPFO ceiling politics, and steel exports within EU FTA quota bands at zero duty versus tariff outside quota. *Mint*

*News Headlines from Business News Agencies:* *The Economic Times* 📝 MDR rollout to be monitored; GST on MDR can go to GST Council, ITC for merchants Govt will closely watch the Oct 15 MDR rollout so merchants do not pass charges to customers. Officials say any GST levy issues on MDR can be taken up by the GST Council, and merchants may use input tax credit. High-value MDR is pitched to fund smaller UPI players; RuPay debit stays MDR-free. 📝 Digital gold: every unit may need physical-bullion backing; RBI-Sebi oversight mooted Finance ministry has begun consultations to tighten digital-gold rules, including physical-bullion backing for every unit and joint RBI-Sebi oversight. Move targets fly-by-night operators, investor protection and money-laundering risks in an approx $3 bn largely unregulated segment. 📝 CBIC chief: AI and non-intrusive scans to curb illicit trade without slowing cargo CBIC chairman says India will expand AI, image analytics and scanning to detect illicit trade while keeping legitimate commerce faster and predictable. Illicit trade framed as a security and governance risk, not only revenue loss. 📝 EPFO wage ceiling notified at ₹25,000 — over 10 million more workers in social security net Labour ministry notified the higher EPFO wage ceiling of ₹25,000 a month, paving the way to bring over 10 million more formal-sector workers into PF/EPS/EDLI cover. 📝 Tata Sons boardroom: Trusts split on listing/Chandra track; RBI NBFC overlay continues Coverage of the board fight over Tata Sons listing and leadership, with contrasting trustee votes and the RBI upper-layer NBFC / CoR backdrop still shaping options including NCLT pathways.

bour ministry notified the higher EPFO wage ceiling of ₹25,000 a month, paving the way to bring over 10 million more formal-sector workers into PF/EPS/EDLI cover.

bour ministry notified the higher EPFO wage ceiling of ₹25,000 a month, paving the way to bring over 10 million more formal-sector workers into PF/EPS/EDLI cover.

📝 EPFO wage ceiling notified at ₹25,000 — over 10 million more workers in social security net

BIC chairman says India will expand AI, image analytics and scanning to detect illicit trade while keeping legitimate commerce faster and predictable. Illicit trade framed as a security and governance risk, not only revenue loss.

📝 CBIC chief: AI and non-intrusive scans to curb illicit trade without slowing cargo