sparking a rally in Indian stock markets. Prime Minister Narendra Modi's administration revealed plans over the weekend for the largest tax overhaul since 2017, with consumer, auto and insurance companies likely to emerge as the biggest winners when product prices drop from October, once the reform is approved. The federal government has suggested lowering GST on small petrol and diesel cars to 18% from the current 28%, said the source who is directly involved in the matter. The consumption tax on health and life insurance premiums may also be lowered to 5% or even zero from 18% currently, the same source said. Shares of Maruti Suzuki (MRTI.NS), opens new tab, the biggest seller of small petrol cars in India, surged nearly 9% on Monday, leading a rally in auto shares that helped push India's benchmark Nifty index 1.3% higher, on course for its best day in three months. Shares of other carmakers such as Mahindra & Mahindra (MAHM.NS), opens new tab, as well as motorbike manufacturers like Hero MotoCorp (HROM.NS), opens new tab and Bajaj Auto (BAJA.NS), opens new tab, which will also benefit from tax cuts, jumped 2%-4% on Monday. (Reuters)