Allowing the petition the Court held that to the extent of tax-deducted by the tenant but not remitted to the Department, no demand should be made against the assessees. The balance of tax, if any, which had-escaped payment alone could be recovered from the assessees, by issuing suitable notices. The demand notices issued against the assessees under section 201 were quashed. (AY. 2011-12, 2012-13, 2013-14)
Ashok Kumar B. Chowatia v. JCIT (TDS) (2021) 435 ITR 449 / 204 DTR 449 / 322 CTR 536/ 281 Taxman 405 (Mad.)(HC)
S. 201 : Deduction at source-Failure to deduct or pay-Recovery of tax-Failure of tenant to remit tax deducted at source from rent-To be recovered from tenant and not assesse. [S. 194I, Art. 226]