Parliament passes Taxation and Other Laws Amendment Bill
The Indian Parliament has passed the Taxation and Other Laws (Amendment) Bill following its approval in the Rajya Sabha on Monday. Finance Minister Nirmala Sitharaman addressed concerns regarding digital payments, confirming that the legislation does not impose taxes or transaction charges on Unified Payments Interface (UPI) services. The bill, which had previously cleared the Lok Sabha, was returned by the Rajya Sabha via voice vote following a discussion.
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What Happened
The Rajya Sabha passed the Taxation and Other Laws (Amendment) Bill on Monday, completing the parliamentary approval process for the legislation. During the session, Finance Minister Nirmala Sitharaman clarified that the bill contains only enabling provisions and does not introduce any new taxes or transaction fees for UPI users. The proceedings in the upper house included a discussion and a subsequent voice vote, following the bill's earlier passage in the Lok Sabha.
The government stated that UPI has remained free for consumers since its inception and that this policy will continue. While the bill has been cleared, the Finance Minister noted that no specific framework regarding Merchant Discount Rates has been finalized at this time. The legislative session also saw the passage of the Bankers Books Evidence Bill amid an Opposition walkout.
Key Facts
- The Taxation and Other Laws (Amendment) Bill was passed by the Rajya Sabha on Monday.
- The bill was previously approved by the Lok Sabha.
- Finance Minister Nirmala Sitharaman stated that UPI will remain free for consumers.
- The government clarified that the bill does not impose any new transaction charges on UPI.
- The Rajya Sabha returned the bill following a voice vote.
The Timeline8
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10 Aug
- ETThe Economic TimesParl clears taxation bill, UPI stays free, says FM
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11 Aug
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4 states with local coverage. Concentrated in the South. Also carried by 4 national mastheads.
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