Did Cal-Min qualify as animal feed under California's cited exemption rules?

Plain-English summary

California classified Cal-Min, a product containing montmorillonite clay, as animal feed under section 6358 and Ruling 47 as then cited. The conclusion rested on submitted laboratory reports and the California Department of Agriculture's acceptance of the manufacturer's claim that Cal-Min was nutritive rather than inert.

The reviewed studies reported nutritional value in rats, mice, hamsters, and miniature pigs, including a usable calcium source and other factors that promoted growth and helped prevent osteoporosis under certain diets.

Citations and references

• California Revenue and Taxation Code section 6358 (as cited)
• California State Board of Equalization Ruling 47 (as cited)

Source

• Annotated Legal Opinions collection: https://cdtfa.ca.gov/taxes-and-fees/annotations-menu.htm
• Annotation page: https://cdtfa.ca.gov/lawguides/vol2/suta/110-0000-all.html
• Original supporting opinion: https://cdtfa.ca.gov/lawguides/annotations/110-0600.pdf

Original ruling text

State of California

Board of Equalization

Memorandum

To:

San Diego – Auditing (WLW)

From:

Tax Counsel (GAT)

110.0600

Date:

June 22, 1965

This is in reply to your inquiry concerning the question of whether Cal-Min, a product containing Montmorillonite clay, qualifies as a feed under Section 6358 and Ruling 47. We have obtained and reviewed copies of correspondence and laboratory reports submitted to the California Department of Agriculture regarding Cal-Min by the taxpayer. We have also discussed the matter with Mr. Van T. Entwistle, Chief, Field Crops and Agricultural Chemicals, Department of Agriculture. Benjamin H. Ershoff, Ph.D., University of S. California School of Medicine, made studies concerning the effects of Cal-Min supplementation on rats, mice, hamsters, and miniature pigs. He found that it has significant nutritionally value in each of those animals. He stated that his findings indicated that Cal-Min provides a readily utilizable source of calcium for the animal organism and, in addition, contains factors other than calcium that will promote growth and prevent osteoporosis on certain cariogenic and osteoporotic-inducing rations. On the basis of the information submitted, the Department of Agriculture has accepted taxpayer’s claim that Cal-Min is a nutritive product and should not be classed as an inert material. In view of the foregoing, it is our opinion that Cal-Min, containing montmorillonite, qualifies as a feed under Section 6358 and Ruling 47.

GAT:cw

[lb]