Section 33 - Amendment of Section 194A - Finance Act, 1995

33. Amendment of Section 194A In section 194A of the Income-tax Act, in sub-section (3), with effect from the 1st day of July, 1995, - (a) in clause (i), the following proviso shall be inserted at the end, namely :- Provided that in respect of the income credited or paid in respect of 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) or with a co-operative society engaged in carrying on the business of banking, the provisions of this clause shall have effect as if for the words two thousand five hundred rupees , the words ten thousand rupees had been substituted and the aforesaid amount shall be computed with reference to the income credited or paid by a branch of the banking company or the co-operative society, as the case may be; ; (b) for clause (vii), the following clauses shall be substituted, namely :- (vii) to such income credited or paid in respect of deposits (other than time deposits made on or after the 1st day of July, 1995) 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 made on or after the 1st day of July, 1995) 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; ; (c) the following Explanation shall be inserted at the end, namely :- Explanation : For the purposes of clauses (i), (vii) and (viia), time deposits means deposits (excluding recurring deposits) repayable on the expiry of fixed periods. .