Tax is to be deducted either at the time of actual payment of such fees or its credit to the account of the payee, whichever is earlier.

PLEASE NOTE:

• In a situation wherein any sum by way of fees for professional services or technical services is credited to any account, whether called as Suspense account or by any other name, in the books of accounts of the person liable to pay such sum, such crediting shall be deemed to be credit of such sum to the account of the payee and the provisions of this section shall apply accordingly.