New Delhi, April 18 -- The claims that the government is considering levying Goods and Services Tax (GST) on UPI transactions over Rs 2,000 are completely false, misleading, and without any basis, said the Ministry of Finance in a statement Friday.

Currently, there is no such proposal before the government, the Finance Ministry clarified.

GST is levied on charges, such as the Merchant Discount Rate (MDR), relating to payments made using certain instruments.

Effective January 2020, the Central Board of Direct Taxes (CBDT) removed the Merchant Discount Rate (MDR) on Person-to-Merchant (P2M) UPI transactions through a Gazette Notification dated December 30, 2019.

Since currently no MDR is charged on UPI transactions, there is consequentl...