Jan Vishwas 2.0 is all about trust-based compliance, Pg6

Key Highlights:

• The Jan Vishwas (Amendment of Provisions) Bill, 2026 was passed by Parliament to promote trust-based compliance.
• The bill aims to decriminalize minor, business-related offenses and promote voluntary compliance.
• Jan Vishwas 2.0 amends 784 provisions across 79 Central Acts, decriminalizing 717 provisions.
• The reform shifts from court-imposed fines to regulatory penalties administered by executive authorities.
• The bill introduces graded enforcement mechanisms, including warnings and lower penalties for minor violations.

Detailed Insights:

• The Jan Vishwas Act, 2023 decriminalized minor offenses across 42 Central Acts, reducing compliance burdens.
• Jan Vishwas 2.0 addresses concerns raised by industry, such as retrospective application of decriminalization reforms.
• The bill reflects a shift from criminalization to trust, proportionality, and economic efficiency in regulation.
• The reforms retain stringent enforcement for serious offenses involving public interest, safety, or environmental protection.
• The changes aim to reduce regulatory uncertainty and boost confidence, especially for MSMEs.
• By shifting minor violation cases from criminal courts, the reforms can help reduce court congestion.
• Effective implementation, uniform enforcement, and clear guidance are crucial for the success of Jan Vishwas 2.0.

Key Concepts Involved:

• Decriminalization: The process of removing criminal penalties for certain actions or offenses.
• Trust-based governance: A system where regulations are designed with the assumption that individuals and businesses will generally comply.
• Regulatory Penalties: Fines or sanctions imposed by regulatory bodies for non-compliance, often administered by executive authorities.