Most prefer to use it with the cushion on the palm side of the finger. Another technique, is to use adhesive bandages instead of tape. There are several favorite types, sheer and flexible cloth varieties. A great bandage for this is the Extreme Links by Curad. The method for applying the adhesive bandages, also varies.
Some players like to cover the whole finger, while others prefer to cover just the sore spots.
Also, some choose to have cushion on the fingernail side while other prefer to apply to the palm side. Whether you use adhesive bandages or tape, it is important not to tape your fingers too tight. It is also important to warm your hands up after taping them. This can be done by warming up before a performance. However, that does not mean you need to start out playing hard.