Report No. 12
313. Deduction of tax on contributions paid to an employee.-
Where any amount standing to the credit of an employee in an approved superannuation fund is paid to the employee during his lifetime but not at or in connection with the termination of his employment, income-tax (but not super-tax) on the amount so paid shall, except in the case of an employee whose employment was carried on abroad, be deducted by the trustees of the fund at the average rate of income-tax at which the employee was liable to income-tax during the preceding three years or during such period, if less than three years, as he was a member of the fund, and shall be paid by the trustees to the credit of the Central Government within the prescribed time and in such manner as the Central Board of Revenue may direct.
[Section 58S(2)]