# Stocks Jump After Sitharaman Promises Investor Tax Hearing

> Finance minister Nirmala Sitharaman's comments lift Indian stocks after government pledges to hear investor views on LTCG tax.
- Title: Stocks Jump After Sitharaman Promises Investor Tax Hearing
- Summary: Finance minister Nirmala Sitharaman's comments lift Indian stocks after government pledges to hear investor views on LTCG tax. Indian stocks rose 1.6% as…
- Keywords: nifty, sitharaman, ltcg tax, securities transaction tax, foreign portfolio investors, domestic institutional investors, nifty 50, nifty it, nifty midcap, nifty smallcap, nifty 50 gain, nifty 50 decline
- Source: mint — https://livemint.com/market/stock-market-news/stocks-jump-as-sitharaman-says-government-will-hear-investors-on-ltcg-tax-11791898497182.html
- Author: Dipti Sharma
- Published: 2026-10-13T15:46:16+00:00
- Read time: 2 min
- Topics: nifty, sitharaman, ltcg tax, securities transaction tax, foreign portfolio investors, domestic institutional investors, nifty 50, nifty it, nifty midcap, nifty smallcap, nifty 50 gain, nifty 50 decline
## Stocks Rally After Sitharaman Comments
Indian stocks rose 1.6% as Nifty 50 hit its biggest gain in two months after finance minister Nirmala Sitharaman pledged to hear investor views on capital gains tax.
## Sitharaman Addresses Tax Concerns
Finance minister Nirmala Sitharaman said Indian and foreign investors raised questions about long-term capital gains tax, securities transaction tax, and similar taxation for asset classes.
## Market Reaction to Comments
The Nifty 50 rose 1.6% to close at 22,721.95, its biggest single-day percentage gain since 3 August, while the Sensex gained 1.5% to settle at 73,033.78.
## Foreign Selling Impact
Foreign portfolio investors sold $32 billion worth of Indian equities this year, with net sales of ₹ 1,305 crore on Tuesday.
## Tax Rate Change
The Union budget in July 2024 raised the tax rate on long-term capital gains from listed equity shares to 12.5% from 10%.
## Investor Confidence Boost
Analyst Feroze Azeez said Sitharaman's comments raised hopes of a possible reassessment of tax policies that have been a point of concern for investors.
## IT Stocks Lead Rally
IT stocks led the rally with the Nifty IT rising 5.2%, the biggest gain among NSE sectoral indices.
## Rupee Gains
The rupee gained 0.5% on Tuesday, extending its 1% rise from Monday after the Reserve Bank of India announced measures to curb speculation.
## Market Challenges
Persistent geopolitical tensions could keep interest rates elevated and prolong market challenges, according to Saurabh Mukherjea.
## Earnings Outlook
Nuvama Institutional Equities estimates Nifty 50 earnings will grow 22% year-on-year in Q2FY27, taking first-half growth to around 20%.
## Market Recovery
A broader market recovery would depend on geopolitical tensions easing and policymakers adopting a more constructive approach towards foreign investment.
## Key takeaway

Indian stocks rose 1.6% as Nifty 50 hit its biggest gain in two months following finance minister Nirmala Sitharaman's pledge to hear investor views on capital gains tax.