Indian taxpayers will now be able to make tax payments of up to Rs 5 lakh through UPI. Till now this limit was Rs 1 lakh. From September 16, National Payment Corporation of India (NPCI) has started this facility in Unified Payments Interface (UPI). The government had issued a circular for this on August 24.
Earlier, in the meeting of the Monetary Policy Committee (MPC) of the Reserve Bank on 8 December 2023, the government had announced to increase the limit of payment through UPI in hospitals and educational institutions from Rs 1 lakh to Rs 5 lakh per day.
UPI limit for IPO subscription is ₹5 lakh Two years ago, RBI had increased the limit of UPI payment for IPO subscription and retail direct scheme to Rs 5 lakh. Now this limit has been increased for hospitals and educational institutions and tax payments.
A record 1,496 crore UPI transactions took place in August
In August, 1,496 crore transactions were done through UPI (Unified Payment Interface). During this period, a total amount of Rs 20.61 lakh crore was transferred. There has been an increase of 41% in the number of transactions as compared to August last year.
In August 2023, 1,059 crore transactions were done through UPI and an amount of Rs 15.77 lakh crore was transferred through it. This amount has increased by about 31% in a year. Talking about the daily average transaction in August 2024, it was 48 crore 30 lakh and an average amount of Rs 66,475 crore was transferred daily.
UPI is operated by NCPI
In India, the operation of RTGS and NEFT payment systems is with RBI. Systems like IMPS, RuPay, UPI are operated by the National Payment Corporation of India (NPCI). The government had made a zero-charge framework mandatory for UPI transactions from January 1, 2020.
How does UPI work?
For UPI service, you have to create a virtual payment address. After this, it has to be linked to the bank account. After this, there is no need to remember your bank account number, bank name or IFSC code etc. The person making the payment simply processes the payment request according to your mobile number.
If you have his/her UPI ID (e-mail ID, mobile number or Aadhaar number) then you can easily send money through your smartphone. Not only money but you will also not need net banking, credit or debit card for utility bill payment, online shopping, shopping etc. You can do all these tasks through Unified Payment Interface system.
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5 people can make payments from one UPI account: Government launched UPI Circle, it has a transaction limit of up to ₹15,000 in a month
Now you can use the same UPI ID in more than one mobile. The government has launched a new feature 'UPI Circle Delegated Payment Service' in the UPI app. By activating this facility, you will be able to add one or more persons to your UPI app. All the added persons will be able to make UPI payments from your bank account.
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