Union Budget 2026: Sitharaman to Drive Tax Reforms for Economic Boost

• FM Nirmala Sitharaman to prioritize tax reforms in Union Budget 2026, continuing focus on direct and indirect taxes for economic growth.
• Previous reforms, like increasing tax-free income to 12 lakh rupees and reducing GST slabs, boosted consumer spending by 2 lakh crore rupees.
• Increased consumption in sectors like auto and real estate has positively impacted GDP, with private consumption nearing 60% of GDP.
• Experts advocate for continued reforms to sustain rapid economic growth amidst global challenges and rising geopolitical tensions in 2026.
• Call for simplifying GST rules for small businesses and establishing GST Appellate Tribunals for faster dispute resolution.

Why It Matters: Budget 2026 will focus on tax reforms to boost consumption, GDP, and simplify business compliance.