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Diwali, or Deepavali, (also called Tihar and Swanti in Nepal) (Markiscarali) is a major Indian and Nepalese festival, and a significant festival in Hinduism, Sikhism and Jainism. Many legends are associated with Diwali. Today it is celebrated by Hindus, Jains and Sikhs across the globe as the "Festival of Light," where the lights or lamps signify victory of good over the evil within every human being . The festival is also celebrated by Buddhists of Nepal, particularly the Newar Buddhists.

According to one theory Diwali may have originated as a harvest festival, marking the last harvest of the year before winter. In an agrarian society this results in businessmen closing accounts, and beginning a new accounting year. The deity of wealth in Hinduism, goddess Lakshmi is therefore thanked on this day and everyone prays for a good year ahead. This is the common factor in Diwali celebrations all over the Indian subcontinent.

In North India, it is the homecoming of King Rama of Ayodhya after a 14-year exile in the forest. The people of Ayodhya (the capital of his kingdom) welcomed Rama by lighting rows (avali) of lamps (deepa), thus its name, Deepawali, or simply shortened as Diwali. Southern India marks it as the day Lord Krishna defeated the demon Narakasura. In western India it is also in honor of the day King Bali went to rule the nether-world by the order of Vishnu. (There is another festival 'Onam' which is celebrated in Kerala around the month of August to mark this legend)

Diwali comes in the month of October or November.

In Jainism it marks the nirvana of Lord Mahavira, which occurred on Oct. 15, 527 B.C. The Sikhs have always celebrated Diwali; however, its significance for Sikhs increased when, on this day, the Sixth Guru, Guru Hargobind Ji, was freed from imprisonment along with 52 Hindu Kings (political prisoners) whom he had arranged to be released as well. In India, Diwali is now considered to be a national festival, and the aesthetic aspect of the festival is enjoyed by most Indians regardless of faith. source: wikipedia