Abatement under Service Tax Requires Inclusion of Free Supply Material Cost

Smp Constructions Pvt Ltd Vs C.C.E. & S.T (CESTAT Ahmedabad) Introduction: In a significant ruling by the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) Ahmedabad, it has been established that the cost of material provided by the service recipient must be included in the gross value of construction service for availing abatement under Notification No. 01/2006-ST. The ruling was made in the case of Smp Constructions Pvt Ltd Vs C.C.E. & S.T. Analysis: The key issue in this case revolved around whether the value of the material supplied for free by the service recipient shou...