The Present Research Focuses on the Study of Working Capital and Its Effect on the Profitability of Banking Sector In India. As We Know That Working Capital Plays an Important Role In the Capital Formation of Organizations and the Same Thing Is Apply For the Banks Also Because the Banks Also Have to Maintain some Sort of Capital Formation In Order to Remain Profitable. For the Completion of This Research We Have Chosen Top 10 Bse Listed Public and Private Sector Banks from the Available Secondary Data from 2006-2017. Linear Regression Model Was Used In This Research and It Was Found That Working Capital Significantly Impact the Profitability of the Banks.