Congress attacks Modi government over 0.4% UPI payment service tax

Congress leader and Leader of Opposition in Rajya Sabha Pramod Tiwari has accused the Modi government of directly looting the common people by imposing a service tax on UPI payments. Speaking in Pratapgarh, Tiwari condemned the decision and termed it a direct assault on the public's pocket in the name of UPI payment taxation.

The Congress Rajya Sabha member stated that the government's imposition of a 0.4 percent MDR service tax on commercial transactions will create an additional burden on small traders and shopkeepers. Tiwari has demanded that the government immediately withdraw this service tax, warning of its cascading impact on consumers and the broader economy.

He explained that traders will pass on the burden of this tax to customers, which will inevitably lead to a rise in market prices. This increase in prices, Tiwari cautioned, will make inflation even more unbearable for the common people who are already struggling with rising costs.

Pramod Tiwari also refuted the Modi government's claim that it had placed the proposal regarding UPI tax before the Parliamentary Advisory Committee of the Finance Ministry, challenging the government's narrative on the consultation process behind this taxation decision.