Per S.S. Sekhon:

The appellants are manufacturers of Push Button Telephones, Electronic Private Automatic Branch Exchanges (EPABX) etc. and in connection with the manufacture of these items they have imported various components, parts etc., including 'voice mail cards' computer software which were cleared by classifying them under Heading 8529.90. A show cause notice dated 12.6.98 was issued demanding duty amounting to Rs. 3,87,896/- on the ground that "As per Ministry's clarification circular the exemption under Section 173 of Notification No. 11/97 is applicable to software required for operation of a date processing machine falling under Heading 84.71 only. Hence the concession cannot be applied to other softwares".

2. The lower authorities came to the conclusion that a write up submitted related to 'computer software' voice message system and at page 3.3 of the said write up indicated as computer is a power multi application voice processing software, so it would be called an application software for voice mail card which form part of EPABX and since Notification 89/95 clearly states that benefit under that notification was applicable only to computer software, the benefit a