Deduction of tax at source on lottery winnings requires specified withholding rates and procedural compliance including certificates and quarterly returns. Under Section 194B payers of lottery or crossword puzzle winnings above the exemption threshold must deduct tax at source at the specified 1977-78 rates; higher schedule-based rates apply where winnings constitute total income. Deductions apply to payments after specified dates, include cash plus in-kind values where prizes are mixed, apply to instalments when paid, and exclude commissions. Rounding and deposit rules, issuance of Form 19B, quarterly filing of Form 26B, and recipient applications in Form 13B for lower deduction are required under the Income-tax Rules, 1962.