Income Tax Act, 1961
Section 194B. WINNINGS FROM LOTTERY OR CROSSWORD PUZZLE.
The person responsible for paying to any person any income by way of winnings from any lottery or crossword puzzle in an amount exceeding five thousand rupees shall, at the time of payment thereof, deduct income-tax thereon at the rates in force :
Provided that no deduction shall be made under this section from any payment made before the 1st day of June, 1972;
Provided further that in a case where the winnings are wholly in kind or partly in cash and partly in kind but the part in cash is not sufficient to meet the liability of deduction of tax in respect of whole of the winnings, the person responsible for paying shall, before releasing the winnings, ensure that tax has been paid in respect of the winnings.