Inclusion of Free issue material in Works contract value

[JSW CEMENTLIMITED]

Dear All Experts,

Kindly throw your valuable opinion on whether value of Free cost material should be included in works contract value for the purpose of charging GST

AI Summary

Free Issue Materials Must Be Included in Works Contract Value for GST as Per Section 15(2)(b) of CGST Act A discussion initiated by a company sought expert opinions on whether the value of free issue materials should be included in the works contract value for GST purposes. Multiple replies referenced Section 15(2)(b) of the CGST Act, 2017, confirming that such value should be included. One participant noted past ambiguity under service tax laws, but clarified that GST explicitly requires inclusion. Another participant mentioned that the applicability depends on the contract terms, specifying that if materials are supplied free by the contractee, they may not be part of the consideration for GST. The original poster agreed with the consensus.