On July 22, 2025, during the Rajya Sabha session, Minister of State for Finance Pankaj Chaudhary clarified that the government has no plans to impose GST on UPI transactions exceeding ₹2,000. This statement addresses recent concerns and rumors about potential taxation on digital payments. Chaudhary emphasized that GST rates and exemptions are determined based on the recommendations of the GST Council, which has not proposed any such levy.

This clarification reinforces the government's commitment to promoting digital transactions and ensuring that digital payment methods like UPI remain accessible and free from additional tax burdens. The decision is expected to encourage broader adoption of digital payments across the country, supporting financial inclusion and the digital economy.