in this case TDS not applicable. 

not applicable.......

exemtion has been granted to deduction of TDS for Interest paid to a banking company or any co operative society engaged in banking business under section 194A.

Regards

Madhusudan

NA.................

not applicable.............

Not Applicable

NA....

not applicable u/s 194 A

Not Applicable

can any one give full explanation in detail& when it became applicable?

Sec 194A(3)(iii) - The assessee is not required to deduct TDS on any interest income which is credited to or applied to any banking company to which Banking Regulation Act, 1949 applies.

Originally posted by : ESHAN
	can any one give full explanation in detail& when it became applicable?

what do u mean by "when it became applicable"?

if we have made an advance to the bank to which Banking Regulation Act, 1949 applies and recieve interest so then wether the tds would be deducted??

TDS applicable 

visit the link 

https://www.knowledgebible.com/forum/showthread.php/1149-TDS-u-s-195-on-payments-being-made-to-branches-of-foreign-banks-in-India

Originally posted by : ESHAN
	if we have made an advance to the bank to which Banking Regulation Act, 1949 applies and recieve interest so then wether the tds would be deducted??

If you have made an advance to bank, i think this must be by way od deposit, and u r getting interest, then bank will deduct TDS under Sec 194A and u will get only net of tax interest.

Eshan , Madhusudan Kabra has explained above, When it become applicable is matter of futur as and when decided by the Govt.