Sales tax classification turns on the finished product, not raw materials; a vitamins and minerals pre-mix stayed unclassified.

For sales tax classification, the character of the finished goods as sold governs, not the ingredients used in manufacture. A vitamins and minerals pre-mix was held outside Entry 29 for chemicals because that entry covers chemicals as goods in their own right, not a finished formulation containing chemical ingredients. It was also outside Entry 41 for drugs and medicines because it was not shown to be a medicinal preparation used for treatment, prevention, alleviation, or diagnosis of disease, and did not answer that description in common parlance. The product likewise did not fall within Entry 89 for ores and minerals, which applies to raw ores and minerals, not a manufactured product. It was therefore treated as an unclassified item.

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Issues: (i) Whether "vitamins and minerals pre-mix" was classifiable as "chemicals" under Entry 29 of Schedule II of the U.P. Value Added Tax Act, 2008; (ii) Whether the product was classifiable as "drugs and medicines" under Entry 41 of Schedule II of the U.P. Value Added Tax Act, 2008; (iii) Whether the product fell under "ores and minerals" under Entry 89 of Schedule II of the U.P. Value Added Tax Act, 2008.

Issue (i): Whether "vitamins and minerals pre-mix" was classifiable as "chemicals" under Entry 29 of Schedule II of the U.P. Value Added Tax Act, 2008.

Analysis: The product assessed was the finished commodity and not the constituent raw materials used in its manufacture. Tax under the charging provision is levied on the goods sold, and not on the individual ingredients from which the finished product is made. Since Entry 29 covers chemicals as goods in their own right and not a finished formulation merely containing chemical ingredients, the product could not be brought within that entry.

Conclusion: The product was not classifiable as "chemicals" under Entry 29.

Issue (ii): Whether the product was classifiable as "drugs and medicines" under Entry 41 of Schedule II of the U.P. Value Added Tax Act, 2008.

Analysis: Entry 41 covers goods used for alleviation, treatment, prevention, or diagnosis of disease. On the material placed before the Court, "vitamins and minerals pre-mix" was not shown to be a medicinal preparation used as a drug or medicine. In common parlance, the product did not answer to the description of drugs or medicines.

Conclusion: The product was not classifiable as "drugs and medicines" under Entry 41.

Issue (iii): Whether the product fell under "ores and minerals" under Entry 89 of Schedule II of the U.P. Value Added Tax Act, 2008.

Analysis: Entry 89 referred to raw ores and minerals and did not extend to a formulated finished product such as "vitamins and minerals pre-mix". The entry could not be expanded to cover a manufactured product merely because it contains mineral ingredients.

Conclusion: The product did not fall under "ores and minerals" under Entry 89 and was rightly treated as an unclassified item.

Final Conclusion: The revision failed on classification, and the orders treating the product as unclassified and taxable accordingly were sustained.

Ratio Decidendi: For sales tax classification, the relevant inquiry is the character of the finished goods as sold, and a manufactured product cannot be classified by reference only to its raw materials unless the tariff entry clearly covers that finished product.

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