https://www.taxtmi.com/article/detailed?id=6599 Free materials supplied by a service recipient do not constitute consideration and are excluded from the gross amount charged for valuation of taxable construction services under the valuation provision and relevant exemption notification, as supported by CESTAT authority; however, for the composition scheme under the negative list valuation regime, the definition of total contract value mandates inclusion of the fair market value of all goods supplied in relation to the works contract, so contractors must include free issues when computing composition based tax liability. en-us Wed, 23 Dec 2015 08:42:10 +0530 Wed, 23 Dec 2015 08:42:10 +0530 TaxTMI RSS Generator https://www.taxtmi.com/article/detailed?id=6599 Free materials supplied by a service recipient do not constitute consideration and are excluded from the gross amount charged for valuation of taxable construction services under the valuation provision and relevant exemption notification, as supported by CESTAT authority; however, for the composition scheme under the negative list valuation regime, the definition of total contract value mandates inclusion of the fair market value of all goods supplied in relation to the works contract, so contractors must include free issues when computing composition based tax liability. Articles Service Tax Wed, 23 Dec 2015 08:42:10 +0530 https://www.taxtmi.com/article/detailed?id=6599