Yes the liability if deducted lies with the employer. If deducted amount is not paid then you can insist them to pay the same. However as you have already made the payment you can claim from the employereif he has not remitted the tax. Yes interest is payable at 1% per month.Alternatively you dont pay interest and wait a notice from the dept for payment of the same .Then pay the same. It serves one purpose that of intimation from the IT dept for having processed your IT return.