Sensex zooms 1276.26 points; Nifty above 11,000 on proposed tax cuts

Mumbai, Sep 20: Indian equity markets surged nearly 1276 points on Friday after Finance Minister Nirmala Sitharaman said the government to slash corporate tax rate for domestic companies. The effective rate will be 25.17 per cent, including surcharges and cess. The measures will be implemented through an ordinance, she said.

Hotel stocks rose as the Council is expected to cut rates on hotels that charge room tariff of ₹7,500 or more per night and currently attract 28% GST.

At 11am, the benchmark Sensex jumped nearly 900 points or 2.45 per cent to trade at 36,976.04 levels while the NSE's Nifty50 index reclaimed 10,850 level to trade at 10,865.30 levels, up over 150 points or 1.50 per cent.

At 11.21 am, the benchmark Sensex jumped nearly 1276.26 points to trade at 37,369.73 levels.

Asian share prices inched higher on Friday as economic stimulus around the world eased fears of economic deceleration. Resumption of trade dialogues between the US and China for the first time in nearly two months on Thursday, too, boosted investors' sentiment.