In re Technocrats Equipment sales and service (GST AAR Karnataka)
In the case of M/s. Technocrats Equipments Sales and Service (GST AAR Karnataka), the applicant sought an advance ruling on the classification and applicable GST rate for their product, “Bee-Prime Feed,” a nutritional supplement for honey bees. This product is essential during seasons when natural food is scarce, such as winter and monsoon. The ruling addressed the Harmonized System of Nomenclature (HSN) code, the applicable tax rate, and provided insights into the product’s classification under the Goods and Services Tax (GST) regime.
HSN Code for Honey Bee Feeds
The applicant, M/s. Technocrats Equipments Sales and Service, described their product “Bee-Prime Feed” as a nutritional supplement consisting of refined sugar, natural vitamins, minerals, and amino acids. The primary function of this product is to serve as a supplementary feed for honey bees, comparable to natural flower honey when mixed with water.
The key points in determining the HSN code included:
1. Product Composition: The feed contains a significant proportion of refined sugar along with vitamins and minerals, mimicking the nutritional profile of natural honey.
2. Usage: It is used as a supplementary feed for honey bees, especially during periods when natural nectar is unavailable.
Upon examination, the ruling referred to the Customs Tariff Act and relevant explanatory notes. The critical consideration was whether the product falls under animal feed (HSN 2309) or another category based on its composition and use.
