Can we apply Mercantile Basis for Post Office NSC Investment?

If I do NSC Investment from the Post Office, can I pay yearly tax based on a Mercantile basis instead of taxation at the time of maturity after 5 years?

Since no TDS is deducted, this is creating confusion. Paying yearly tax is saving me more tax.

Some news says that tax needs to be paid compulsory after 5 years only at the time of maturity and hence the confusion.

If you’re investing in NSC (National Savings Certificate) through the Post Office, you can opt for yearly tax payment on a mercantile basis instead of waiting until maturity after 5 years. While no TDS (Tax Deducted at Source) is deducted, confusion arises due to conflicting information. However, according to prevailing tax laws, you’re obligated to pay tax yearly on the accrued interest. Clarify with a tax consultant to ensure compliance and optimize tax savings through timely payments.