RBI Boosts UPI Transaction Limit for Tax Payments to ₹5 Lakh
The Reserve Bank of India (RBI) has announced plans to introduce a Delegated Payments feature on the Unified Payments Interface (UPI), allowing multiple individuals to conduct transactions using a single primary bank account. The primary account holder will have the ability to set transaction limits for other users linked to their UPI-enabled account.“This innovation is expected to broaden the reach and increase the usage of digital payments across India,” the RBI stated. UPI, which already boasts a user base of 424 million, is set to benefit from this new feature, particularly in regions where bank accounts are often shared among family members.PhonePe CEO and founder Sameer Nigam praised the feature as a secure method to familiarize children and senior citizens with digital payments. In addition, the RBI has raised the transaction limit for tax payments via UPI from ₹1 lakh to ₹5 lakh, making it more convenient for users to manage larger transactions.