Budget 2026: Reform Express takes Kartavya path

The regulatory easing may include exemptions from mandatory audits and corporate social responsibility (CSR) rules for small and medium enterprises (SMEs), allowing them to focus on core operations, the people said. While CSR is not mandatory for most micro, small and medium enterprises (MSMEs), it applies if net profit exceeds ₹5 crore. Follow live updates related to Union Budget here.

“Reforms are a work in progress. They may get a mention in the Budget. But this government works 24x7, throughout the year, hence reforms are a continuous process that does not wait for the Budget,” one person said.

The government is also considering easing quality control orders and reducing customs duties on intermediaries to boost MSME competitiveness. Input duties on chemicals, electronic items, electric vehicles and capital goods components may see corrections to aid “Make in India” goods.