HEINZ INDIA LIMITED vs THE STATE OF KERALA

The Supreme Court examined whether medicated talcum powders, such as 'Nycil Prickly Heat Powder,' should be classified as medicine or as cosmetic/toiletry products under state sales tax laws. The courts below had differing views, with Kerala High Court classifying it as medicated talcum powder and Tamil Nadu High Court considering it a toilet powder. The Court analyzed the statutory definitions and the nature of the product, ultimately emphasizing the importance of classification based on the product's primary use and statutory interpretation. The judgment clarified the legal distinction between medicinal and cosmetic products for tax classification purposes.