Government Confirms No GST on UPI Transactions Over ₹2000, ETCFO
The government is not planning to levy GST on UPI transactions exceeding Rs 2000, the Ministry of Finance clarified in Rajya Sabha.
“There is no recommendation of levying GST on UPI transactions of over ₹2000 from the GST Council,” said Pankaj Chaudhary, Minister of State of Finance, during Rajya Sabha monsoon session on July 22.
Answering a question about whether the government is considering a proposal to levy GST on UPI transactions of over Rs 2000, the minister told the House that GST rates and exemptions are decided on the basis of recommendations of the GST Council, which is a Constitutional body comprising of members from both the Centre and States/UTs.
This comes after traders in Karnataka received nearly 6,000 GST demand notices based on UPI transaction data.
