Icing Sugar Classified Under HSN 1701, Attracting 12% GST Despite Added Edible Starch
Case-Laws
GST
The AAR held that icing sugar, being finely pulverized refined sucrose with added edible starch as an anti-caking agent, is properly classified under HSN code 1701, specifically 17019990, which covers cane or beet sugar and chemically pure sucrose in solid form. The product does not fall under HSN 1702, which pertains to chemically pure sugars such as lactose or glucose. Consequently, icing sugar is subject to the GST rate applicable to sugar under Schedule II of the relevant rate notification, attracting 6% CGST, 6% SGST, and 12% IGST. The ruling clarifies that the presence of starch as an additive does not alter the classification, affirming the applicability of the lower GST rate consistent with sugar rather than higher rates for other chemically pure sugars.
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