Smart technology holds key for future in all sectors. Many interdisciplinary beneficial aspects of smart manufacturing paradigm, research and development in manufacturing field have been increased substantially. However smart manufacturing application for subtractive manufacturing challenging. In this paper, issues smart manufacturing for subtractive manufacturing is studied. Firstly, the concept and current research in smart manufacturing is summarized. Then four layered framework is proposed consisting of physical service layer, virtual layer, web portal layer and user layer. Based on the framework, structure of cloud CNC application is proposed. Case study implementation on cloud based CNC machine validates the proposed method.