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Modi Bowing to US Pressure on UPI Tax, Says Rahul Gandhi

Congress leader Rahul Gandhi has accused Prime Minister Narendra Modi of capitulating to American interests over a proposed tax on digital payments, calling for the government to reverse course on the contentious policy.

LSN India · 16 September 2026

Modi Bowing to US Pressure on UPI Tax, Says Rahul Gandhi

Rahul Gandhi on Monday launched a scathing attack on the government's handling of a proposed tax on Unified Payments Interface transactions, characterizing it as capitulation to US pressure. In a video statement shared on social media, the Congress leader demanded that the Prime Minister abandon what he termed a policy of subservience to foreign interests.

"Stop lying down in front of the US, have a spine, stand up," Gandhi said, urging Modi to rollback the UPI tax measure entirely. The opposition leader framed the issue as a matter of national economic sovereignty, suggesting the government was prioritizing external demands over domestic interests.

The controversy centers on reports of a proposed tax structure on UPI transactions, which has drawn criticism from various quarters citing concerns about impact on digital payment adoption and small businesses. Gandhi's remarks represent the latest opposition push against the government on the fiscal measure.

The Congress leader's intervention marks an intensification of political debate around the taxation policy, with the opposition seeking to portray the government as insufficiently assertive in defending India's economic interests on the international stage.