Hi SR,
We also had similar scenario for Indian Banks and especially for FD each bank has its own way of calculating Interest (monthly/Quarterly) and deduct TDS as per their own process, some banks deduct Quarterly and some will deduct only once annually. So in case of FD we have to follow what bank has done which can be different for different bank.
We address this issue by configuring Manual Flows for both Accrued Interest and TDS which can be entered in Other Flows tab and posted through TBB1. It involves little bit of manual intervention but can't be wished away as system calculation wont be matching with the banks calculation. If the volume is too large then the flows can be uploaded through Excel by developing a simple Z-Program.
Hope this will help you.
Cheers,
Aditya