Congress on Monday criticised the Narendra Modi -led government over the recent fall in the Indian stock market and continued foreign investor outflows, alleging that the government’s policies were hurting the middle class.
The Sensex fell 1.52% to close at 72,771.72 on September 28, its lowest level in nearly six months, while the index closed at 72,480.29 on September 30. On October 1, foreign investors sold another ₹ 10,148 crore, taking their year-to-date selling to about $27.8 billion, according to provisional data. “Short-term capital gains are taxed at 20 per cent. And for long-term capital gains, which Congress had made zero, they made it 12.5 per cent,” Gohil said. “Those who invested money in the stock market at that time, the Sensex was at 85,836. On September 29, 2026, it fell to 72,500.
Only STT, a one-time tax, was introduced. Indian equities have been under sustained pressure in recent weeks. Gohil also targeted the Centre over capital gains taxation on stock market investments, arguing that middle-class investors were being subjected to a higher tax burden. He contrasted this with the Congress-led UPA government’s decision to make long-term capital gains tax on equity investments zero, with securities transaction tax (STT) being levied instead. “The long-term capital gains tax on the money the middle class invested in the stock market was made zero. Showing an NDTV interview in which PM Modi had encouraged people to invest in the stock market, Gohil argued that people who trusted the PM and invested were instead suffering losses. Suppose you had invested money.
Because of that, the middle class got relief from taxation, and.
Then the BJP government came and doubled the tax,” he said. After two years, your income is zero,” Gohil alleged, adding, “When you buy shares, you have to pay tax; when you sell them, you have to pay tax — whether you make a profit or a loss, that tax is taken on top of it.”
