Stories constitute a significant part of the Indian preschool curriculum due to their various benefits in preschool child development. However, the teachers' practice of stories and their perception regarding the influence of stories on preschool child development are vital determining factors in the benefit preschoolers receive from stories. The global concern for providing quality education for preschool children necessitates the exploration of teachers' practices and perceptions; however, such studies in the Indian context, where education is shaped by its multicultural and linguistic diversities, are limited. The present study provides an original contribution to exploring the Indian preschool teachers' practice of stories and perception of the influence of stories on preschool child development using a developed questionnaire, Teachers' Practice and Perception of Stories (TPPS). Ninety-six preschool teachers from English medium schools in Mangalore, India, participated in the study. The findings indicated that irrespective of teachers' demographic variables, they played an active role in telling stories to children and positively believed that stories facilitate speech and language, cognition, literacy, and socio-pragmatic development in preschoolers. The findings broadly apply stories for preschool child development in clinical and school settings.