Now Reading: President Murmu signs two key economic Bills into law
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President Murmu signs two key economic Bills into law
President Droupadi Murmu has given assent to the Taxation and Other Laws (Amendment) Act, 2026, and an amendment to the Payment and Settlement Systems Act, 2007. Both Bills were passed by Parliament…
President Droupadi Murmu has given assent to the Taxation and Other Laws (Amendment) Act, 2026, and an amendment to the Payment and Settlement Systems Act, 2007. Both Bills were passed by Parliament on August 10 and the President signed them on August 17, the Ministry of Law announced.
The taxation Act replaces the June 5 ordinance that exempted foreign portfolio investors from income tax on interest and capital gains from government securities. It extends income tax exemption for foreign companies using contract manufacturers in India for electronics like mobile phones and laptops until 2040-41. The Act also eases conditions for fund managers relocating to India and offers tax relief on component storage for electronics factories.
The amendment to the Payment and Settlement Systems Act gives the government legal power to modify the zero-MDR (merchant discount rate) framework on UPI and RuPay card transactions via notification. Finance Minister Nirmala Sitharaman has assured that UPI payments will remain free for consumers and any future MDR will apply only to certain merchant categories.
Indian Opinion Analysis
The Hindu's coverage is neutral-report, stating facts from the gazette notification and Parliament discussions without praise or criticism. The story leads with the presidential assent and then details each law's provisions. Notably absent is any reaction from opposition parties, industry bodies, or consumer groups. The tax breaks for foreign firms and electronics manufacturing are presented as government policy without scrutiny of cost or effectiveness. The MDR amendment is framed as giving legal clarity, not as a potential burden shift. For a balanced read, one should note that while the government says UPI stays free, the notification power could alter future charges. Watch for the UPI committee's decision on MDR categories.
Coverage: 1 source, 1 neutral
Source: thehindu.com (neutral report)
This story was synthesised by AI from the source linked above.
