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Natural Antioxidant Water classified under HSN 2202 1090 for flavored goods with sweeteners; subject to 28% tax and 12% cess.

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....Natural Antioxidant Water with natural Betel Leaf extract and natural Ajwain extract cannot be classified under HSN 2202 9920 as it does not contain any fruit juice or fruit pulp. The product is essentially 'Paan flavored water' with menthol crystals dissolved in propylene glycol as a flavoring additive. It is not classifiable under HSN 2201 1010 due to the exclusion clause of "nor flavoured" in the goods description. The product is rightly classifiable under HSN 2202 1090 as "All goods (including aerated waters), containing added sugar or other sweetening matter or flavoured", taxable at 28% under Sl. No 12 to Schedule IV of the Notification No 1/2017, Central Tax (Rate) dated 28.06.2017, and compensation Cess at 12% under Sl. No 4 of Notification No 1/2017-Compensation Cess (Rate) dated 28.06.2017.....