Lok Sabha clears ToLA Bill, opening scope for MDR on UPI and extending key tax exemptions
The Taxation and Other Laws (Amendment) Bill creates scope for merchant discount rates on UPI while easing conditions for foreign funds and extending tax exemptions for electronics tooling, data centres and diamond traders in Mumbai and Surat.
Lok Sabha passed the ToLA Bill, enabling a potential MDR on UPI while easing tax rules for foreign funds, data centres and electronics manufacturing. It also grants 15-year tax exemptions to foreign rough-diamond traders operating in Mumbai and Surat zones.
Why this matters
The clearance advances earlier signals that proposed payments-law changes could enable UPI merchant fees and put large retailers in focus, while LocalCircles found only 12% of users would pay fees above Rs 3,000.
Omni-channel is accelerating, up 219100% QoQ.
Also reported by
- The Hindu BusinessLine — Same time