The present paper studies the fundamental problem of the biomagnetic fluid flow in a channel under the influence of a spatially varying magnetic field. The solution of the problem is obtained using an improved finite difference method. This approach has successful handled the pressure of the flow which is the main problem in the finite difference method. Results concerning the velocity indicates that the presence of magnetic field appreciably influence the flow field. A distortion in terms of asymmetric flow profile was observed near the magnetic source. Also a vortex is demonstrated near the lower plate where the magnetic source is placed.