TRACES, central processing wing of tds returns; may be after processing TDS returns of past many years, are seen to be issuing demand /intimations to TDS deductotrs towards short deduction etc. for past years (I have seen to be even from fy2008-09).In a case where such a deductee concerned had already paid balance tax claimed refund based on original TDS by due date for return in past and his return is processed /refund given based on that, whether the present payment of TRACES demand would not result in duplication and how would the deductee would come to know about such 'enhanced' deduction -especially when such deductees are not traceable / were under one time deals/ stopped business/ no more ?? . Also, the demand for interest and interest on interest could be logical upto the date of payment of tax by deductee . I am not sure whether this aspect would have been considered by TRACES ? If not , is there any justification/ legality in collecting taxes both from deductees and later on now from deductor by present scheme followed ? Would the department follow up the eligible deductees and make refund of 'excess tax' with interest??