Taxability of FOC Supplies made by recipient of service to service provider

Advertisement CA Bimal Jain On issue of Service Tax applicability on free of cost (FOC) supplies by the service recipient of construction service to the service provider (assessee), we are sharing with you a landmark judgement of the Hon’ble Supreme Court, decided in favour of the assessee, in the case of Commissioner of Service Tax Vs. M/s Bhayana Builders (P) Ltd. Issue: The main question before the Apex Court was: Whether the value of goods or material supplied by the recipient of service, FOC to the service provider, which is used by service provider for providing the taxable service...