Ram, a resident, wins exactly ₹10,000 in a single lottery draw in tax year 2026–27. How much tax must be deducted from the prize under section 393(3) of the Income-tax Act, 2025?

Item 1 of the Table in section 393(3) of the Income-tax Act, 2025 requires deduction at the rates in force on lottery winnings only where the winnings exceed ₹10,000 in a single transaction. A prize of exactly ₹10,000 does not exceed the threshold, so nothing is deducted, although the winnings remain taxable in Ram's hands.