S.B.Sinha, J.

1. Whether the State of Bihar is a "seller" of alcoholic liquor for human consumption "within the meaning of Sec. 44AC and Sec. 206C of the Income-tax Act, 1961 (hereinafter referred to as "the Act"), is the question involved in this writ application ?"

2. Admittedly, the State of Bihar, exercises control in respect of alcoholic liquor for human consumption from the stage of manufacture of spirit to that of consumption of alcoholic liquor by the consumers in terms of the provisions of the Bihar Excise Act, 1930, and the rules framed thereunder.

3. According to the petitioners, it merely realises a fee in lieu of transfer of the privilege to the persons intending to deal with the goods, but it does not transfer any "goods" in the nature of alcoholic liquor for human consumption to any person.

4. It is the case of the petitioners that alcoholic liquor oil along remains the property of the Wholesale dealers and thus the State or its officers are not owners thereof and cannot be "sellers" within the aforementioned provisions of the Act.

5. Respondent No. 2, however, issued a letter dated July 27, 1990, addressed to the Excise Commissioner, Bihar (petitioner No. 2)