Where the assessee had duly uploaded its financial statements and tax audit report and had also paid entire taxes within time, however the return of income could not be electronically filed due to bona fide and inadvertent human error, the levy of penalty under section 271(1)(c) was held to be unsustainable. The High Court observed that even as per the Revenue’s own stand there was no tax payable after granting TDS credit and hence no concealment of income within the meaning of Explanation 4(c) to section 271(1)(c). Explanation 3 to section 271(1)(c) was held inapplicable as no satisfaction was recorded by the Assessing Officer that the assessee had taxable income coupled with deliberate non-filing of return. The Court further held that the Assessing Officer failed to apply his mind both in invoking the provision as well as in quantification of penalty. Since the case did not involve concealment of income or furnishing of inaccurate particulars, the impugned penalty orders were set aside.  (AY. 2015-16).