Dissolving sugar in water is a physical or chemical change.

Dissolving sugar in water is a physical change: If you evaporate the water from a sugar-water solution, you're left with sugar. So no new products are formed.

[Recapitulation: Physical change is the change of that matter where only the appearance or molecular arrangement of matter changes without changing its composition. Most of the physical changes are reversible. The original form of the matter can be attained. It is a temporary change and no new substance is formed. Examples: Boiling and freezing of water, melting of wax, mixing sand and grains, crumpling a paper bag, chopping a wood etc. Chemical change: The change in which chemical properties of the matter change is known as chemical change. During a chemical reaction, the chemical bonds between the molecules are broken and rearranged, and new bonds are formed resulting in the formation of new compounds.It is an irreversible change as new products are formed.]