diff --git a/index.ts b/index.ts
index 98ea120c..51753d8b 100644
--- a/index.ts
+++ b/index.ts
@@ -188,9 +188,9 @@ import fs from "node:fs";
 import { pipeline as streamPipeline } from "node:stream/promises";
 import os from "node:os";
 import nodeFetch from "node-fetch";
-import path, { dirname } from "node:path";
+import path from "node:path";
 import { CookieJar, parse as parseCookie } from "tough-cookie";
-import { fileURLToPath, URL } from "node:url";
+import { URL } from "node:url";
 import { z } from "zod";
 
 import { initializeOAuthClient, GitLabOAuth } from "./oauth.js";
@@ -199,6 +199,7 @@ import { mcpAuthRouter } from "@modelcontextprotocol/sdk/server/auth/router.js";
 import { ipKeyGenerator } from "express-rate-limit";
 import { normalizeProxyClientIpForRateLimit } from "./utils/proxy-client-ip.js";
 import { getForwardedPublicBaseUrl } from "./utils/forwarded-public-base-url.js";
+import { SERVER_VERSION } from "./server/version.js";
 import { normalizeGitLabApiUrl } from "./utils/url.js";
 import {
   estimateMergeCommitCount,
@@ -623,22 +624,6 @@ enum TransportMode {
   STREAMABLE_HTTP = "streamable-http",
 }
 
-/**
- * Read version from package.json
- */
-const __filename = fileURLToPath(import.meta.url);
-const __dirname = dirname(__filename);
-const packageJsonPath = path.resolve(__dirname, "../package.json");
-let SERVER_VERSION = "unknown";
-try {
-  if (fs.existsSync(packageJsonPath)) {
-    const packageJson = JSON.parse(fs.readFileSync(packageJsonPath, "utf8"));
-    SERVER_VERSION = packageJson.version || SERVER_VERSION;
-  }
-} catch {
-  // Intentionally ignored: version read failure is non-critical
-}
-
 /**
  * Create a new MCP Server instance with request handlers registered.
  * Each transport connection gets its own Server instance to prevent
diff --git a/package.json b/package.json
index 080d5d8b..82014425 100644
--- a/package.json
+++ b/package.json
@@ -51,7 +51,7 @@
     "changelog": "auto-changelog -p",
     "test": "npm run test:all",
     "test:all": "npm run build && npm run test:mock && npm run test:live",
-    "test:mock": "node --import tsx/esm --test test/remote-auth-simple-test.ts && node --import tsx/esm --test test/mcp-oauth-tests.ts && node --import tsx/esm --test test/test-oauth-proxy-rate-limit.ts && node --import tsx/esm --test test/streamable-http-static-token-auth.test.ts && node --import tsx/esm --test test/streamable-http-concurrent-session.test.ts && node --import tsx/esm --test test/streamable-http-unauthenticated-discovery.test.ts && tsx test/oauth-tests.ts && tsx test/test-list-merge-requests.ts && tsx test/test-list-issues.ts && node --import tsx/esm --test test/test-create-repository.ts && node --import tsx/esm --test test/test-update-project.ts && node --import tsx/esm --test test/test-merge-request-pipelines.ts && tsx test/test-list-project-members.ts && tsx test/test-download-attachment.ts && node --import tsx/esm --test test/test-upload-markdown.ts && node --import tsx/esm --test test/test-job-artifacts.ts && node --import tsx/esm --test test/test-remote-downloads.ts && node --import tsx/esm --test test/test-deployment-tools.ts && node --import tsx/esm --test test/test-merge-request-approval-state-tools.ts && node --import tsx/esm --test test/test-search-code.ts && node --import tsx/esm --test test/test-tags.ts && node --import tsx/esm --test test/test-protected-branches.ts && node --import tsx/esm --test test/test-toolset-filtering.ts && node --import tsx/esm --test test/test-ci-lint.ts && node --import tsx/esm --test test/test-ci-catalog.ts && node --import tsx/esm --test test/test-todos.ts && node --import tsx/esm --test test/test-auth-retry.ts && node --import tsx/esm --test test/test-issue-description-patch.ts && node --import tsx/esm --test test/test-geteffectiveprojectid.ts && node --import tsx/esm --test test/test-get-file-blame.ts && node --import tsx/esm --test test/stateless/codec.test.ts test/stateless/client-id.test.ts test/stateless/callback-proxy.test.ts test/stateless/session-id.test.ts test/stateless/session-id-integration.test.ts test/stateless/config-ttl.test.ts && node --import tsx/esm --test test/utils/tool-args.test.ts && node --import tsx/esm --test test/utils/proxy-client-ip.test.ts && node --import tsx/esm --test test/utils/forwarded-public-base-url.test.ts && node --import tsx/esm --test test/utils/graphql-query.test.ts && node --import tsx/esm --test test/utils/wiki-title.test.ts && node --import tsx/esm --test test/utils/merge-request-position.test.ts && node --import tsx/esm --test test/nullish-tool-arguments-schema.test.ts && node --import tsx/esm --test test/test-ci-variables.ts && node --import tsx/esm --test test/test-dependency-proxy.ts",
+    "test:mock": "node --import tsx/esm --test test/remote-auth-simple-test.ts && node --import tsx/esm --test test/mcp-oauth-tests.ts && node --import tsx/esm --test test/test-oauth-proxy-rate-limit.ts && node --import tsx/esm --test test/streamable-http-static-token-auth.test.ts && node --import tsx/esm --test test/streamable-http-concurrent-session.test.ts && node --import tsx/esm --test test/streamable-http-unauthenticated-discovery.test.ts && tsx test/oauth-tests.ts && tsx test/test-list-merge-requests.ts && tsx test/test-list-issues.ts && node --import tsx/esm --test test/test-create-repository.ts && node --import tsx/esm --test test/test-update-project.ts && node --import tsx/esm --test test/test-merge-request-pipelines.ts && tsx test/test-list-project-members.ts && tsx test/test-download-attachment.ts && node --import tsx/esm --test test/test-upload-markdown.ts && node --import tsx/esm --test test/test-job-artifacts.ts && node --import tsx/esm --test test/test-remote-downloads.ts && node --import tsx/esm --test test/test-deployment-tools.ts && node --import tsx/esm --test test/test-merge-request-approval-state-tools.ts && node --import tsx/esm --test test/test-search-code.ts && node --import tsx/esm --test test/test-tags.ts && node --import tsx/esm --test test/test-protected-branches.ts && node --import tsx/esm --test test/test-toolset-filtering.ts && node --import tsx/esm --test test/test-ci-lint.ts && node --import tsx/esm --test test/test-ci-catalog.ts && node --import tsx/esm --test test/test-todos.ts && node --import tsx/esm --test test/test-auth-retry.ts && node --import tsx/esm --test test/test-issue-description-patch.ts && node --import tsx/esm --test test/test-geteffectiveprojectid.ts && node --import tsx/esm --test test/test-get-file-blame.ts && node --import tsx/esm --test test/stateless/codec.test.ts test/stateless/client-id.test.ts test/stateless/callback-proxy.test.ts test/stateless/session-id.test.ts test/stateless/session-id-integration.test.ts test/stateless/config-ttl.test.ts && node --import tsx/esm --test test/utils/tool-args.test.ts && node --import tsx/esm --test test/utils/proxy-client-ip.test.ts && node --import tsx/esm --test test/utils/forwarded-public-base-url.test.ts && node --import tsx/esm --test test/utils/graphql-query.test.ts && node --import tsx/esm --test test/utils/wiki-title.test.ts && node --import tsx/esm --test test/utils/merge-request-position.test.ts && node --import tsx/esm --test test/nullish-tool-arguments-schema.test.ts && node --import tsx/esm --test test/test-ci-variables.ts && node --import tsx/esm --test test/test-dependency-proxy.ts && node --import tsx/esm --test test/server/version.test.ts",
     "test:stateless": "npm run build && node --import tsx/esm --test test/stateless/codec.test.ts test/stateless/client-id.test.ts test/stateless/callback-proxy.test.ts test/stateless/session-id.test.ts test/stateless/session-id-integration.test.ts test/stateless/config-ttl.test.ts",
     "test:mcp-oauth": "npm run build && node --import tsx/esm --test test/mcp-oauth-tests.ts",
     "test:live": "node test/validate-api.js",
diff --git a/server/version.ts b/server/version.ts
new file mode 100644
index 00000000..86a45c7d
--- /dev/null
+++ b/server/version.ts
@@ -0,0 +1,27 @@
+import fs from "node:fs";
+import path, { dirname } from "node:path";
+import { fileURLToPath } from "node:url";
+
+const __filename = fileURLToPath(import.meta.url);
+const __dirname = dirname(__filename);
+
+const packageJsonPaths = [
+  // Built file: build/server/version.js -> ../../package.json
+  path.resolve(__dirname, "../../package.json"),
+  // Source file under tsx/node:test: server/version.ts -> ../package.json
+  path.resolve(__dirname, "../package.json"),
+];
+
+export const SERVER_VERSION: string = (() => {
+  for (const packageJsonPath of packageJsonPaths) {
+    try {
+      if (fs.existsSync(packageJsonPath)) {
+        const packageJson = JSON.parse(fs.readFileSync(packageJsonPath, "utf8"));
+        return packageJson.version || "unknown";
+      }
+    } catch {
+      // Intentionally ignored: version read failure is non-critical.
+    }
+  }
+  return "unknown";
+})();
diff --git a/test/server/version.test.ts b/test/server/version.test.ts
new file mode 100644
index 00000000..45a0e15a
--- /dev/null
+++ b/test/server/version.test.ts
@@ -0,0 +1,10 @@
+import { test } from "node:test";
+import assert from "node:assert";
+import fs from "node:fs";
+import { SERVER_VERSION } from "../../server/version.js";
+
+const packageVersion = JSON.parse(fs.readFileSync("package.json", "utf8")).version;
+
+test("SERVER_VERSION matches package.json", () => {
+  assert.strictEqual(SERVER_VERSION, packageVersion);
+});