Protein Powder with Vitamins and Minerals manufactured by any applicant will fall under HSN Code 3004, said Himachal Pradesh Authority for Advanced Ruling (AAR). Thus attracting 12% Goods and Service Tax rates on sale.
The respective provision was rolled out in the council supervised by Shri Rakesh Sharma, and Shri Abhay Gupta based on an application made by M/s Newtramax Healthcare.
The applicant (i.e. M/s Newtramax Healthcare) here is the manufacturer and the supplier of the Pharmaceutical Formulation. He is the owner of the license allowing manufacture, sales and distribution of drugs specified under Schedule C and Schedule C1 of the Drugs and Cosmetics Act 1940.
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The applicant has taken up that product such as Protein Powder with Vitamins and Minerals manufactured by them are included in HSN 3004 attracting 12% tax rate. Further stated that the firm owns a valid license for the manufacturing of drugs and is achieved after approvals from the concerned legal authorities.
The applicant claimed that other Pharmaceutical Organisations owning a valid license and manufacturing approvals from the related Drugs Authorities are labeling their manufactured goods under HSN 3004.
The Council ordered that, “all the goods being manufactured by the applicant which are mentioned (including the goods mentioned at Sr. No. 20 an and 21) in the license of the drug issued to the applicant by the competent authority and have the labels as per the standards prescribed under the Drugs and Cosmetics Act, 1940 can be class under HSN code 3004.”