Section 52 - Amendment of section 194A - Finance (No. 2) Act, 1991

52. Amendment of section 194A. In section 194A of the Income-tax Act, in sub-section (3), for clause (vii), the following clauses shall be substituted, with effect from the 1st day of October, 1991, namely: (vii) to such income credited or paid in respect of deposits (other than time deposits) with a banking company to which the Banking Regulation Act, 1949(10 of 1949), applies (including any bank or banking institution referred to in section 51 of that Act); (viia) to such income credited or paid in respect of,- (a) deposits with a primary agricultural credit society or a primary credit society or a co-operative land mortgage bank or a co-operative land development bank; (b) deposits (other than time deposits) with a co-operative society other than a co-operative society or bank referred to in sub-clause (a), engaged in carrying on the business of banking. Explanation. For the purposes of clauses (vii) and (viia), time deposits means deposits (excluding recurring deposits) repayable on the expiry of fixed period. .