<h1>Delhi High Court Rules Free Materials Not Included in Gross Value for Tax Exemption Under Notification No. 1/2006.</h1> The Delhi High Court addressed whether the cost of materials supplied free of charge by a contractee to a contractor should be included in the gross value for tax exemption under notification no. 1/2006. The court noted that the valuation provisions do not explicitly require such inclusion. Consequently, while adjudication proceedings may continue, the court ruled that the value of free materials supplied should not be considered in determining taxable service, thus not applying the explanation against Serial No. 7 in the notification to the detriment of the petitioner.