Per J. Sudhak ar Reddy, AM :-

ITA No. 2163/Kol/2016, is an appeal filed by the revenue directed against the order of the Learned Commissioner of Income Tax (Appeals)-18, Kolkata, (hereinafter the “ld.CIT(A)”), passed u/s. 250 of the Income Tax Act, 1961 (the ‘Act’), dt. 19/08/2016, for the Assessment Year 2012-13, on the following grounds:-

Assessment Year: 2013-14 C.O. No. 01/Kol/2017

Assessment Year: 2012-13 C.O. No. 53/Kol/2018

Assessment Year: 2013-14 M/s. Thiess Mines India Pvt. Ltd

“Ground no. 1: This ground of appeal is related to the claim for deduction against the expenses incurred by the assessee company during the F.Y. 2011-12.

Ground no. 2: This ground of appeal is related to adjustment of Carry forward business loss with current year income from other sources.”

The assessee filed cross-objections on the following grounds:-

“1. That on the facts and circumstances of the case, the Ld. Commissioner of Income-tax (Appeals) - 18 ['Ld. CIT (Appeals)'] erred in confirming the disallowance of legal and professional expense amounting to Rs. 10,816,167/- on the contention that such expenditure was directly attributable to the project related work and hence needs to be capitalised.

2. That on the facts and circumstances of the case, the Ld. CIT (Appeals) erred in confirming disallowance of community welfare expense amounting to Rs. 1,232,994/ - on the contention that such expenditure was directly attributable to the project related work and hence needs to be capitalised.

3. That on the facts and circumstances of the case, the Ld. CIT (Appeals) erred in confirming disallowance of salary expense amounting to Rs. 10,825,404/ - on the contention that such expenditure was directly attributable to the project related work and hence needs to be capitalised.

4. That the appellant craves leave to add to and/or alter, amend, modify or rescind the grounds hereinabove before or at the hearing of this appeal.”

ITA No. 485/Kol/2018, is an appeal filed by the revenue directed against the order of the Learned Commissioner of Income Tax (Appeals)-10, Kolkata, (hereinafter the “ld.CIT(A)”), passed u/s. 250 of the Income Tax Act, 1961 (the ‘Act’), dt. 20/12/2017, for the Assessment Year 2013-14, on the following grounds:-

“1) Ld. CIT(A) has erred in allowing the expenses as revenue expenses incurred prior to setting up of the business.

2) The Ld CIT(A) has erred in allowing the interest income from term deposit before setting up of business as revenue receipt and considered as business income.

3) That the appellant craves for leave to add, delete, amend or modify any ground before or at the time of appellate proceedings.”

The assessee filed cross-objections on the following grounds:-

“1. That on the facts and circumstances of the case, the Ld. Commissioner of Income-tax (Appeals) - 10 ['Ld. CIT (Appeals)'] erred in confirming the disallowance of legal and professional expense amounting to INR 48,62,842 on the contention that such expenditure was directly attributable to the project related work and hence needs to be capitalised. Assessment Year: 2013-14 C.O. No. 01/Kol/2017 Assessment Year: 2012-13 C.O. No. 53/Kol/2018 Assessment Year: 2013-14 M/s. Thiess Mines India Pvt. Ltd

2. That on the facts and circumstances of the case, the Ld. CIT (Appeals) erred in confirming disallowance of community welfare expense amounting to INR"'20,79,412 on the contention that such expenditure was directly attributable to the project related work and hence needs to be capitalised.

3. That on the facts and circumstances of the case, the Ld. CIT (Appeals) erred in confirming disallowance of environmental expenses amounting to INR 636,758 on the contention that such expenditure was directly attributable to the project related work and hence needs to be capitalised.

4. That on the facts and circumstances of the case, the Ld. CIT (Appeals) erred in confirming disallowance of project expenses amounting to INR 15,00,000 on the contention that such expenditure was directly attributable to