Vision - Alibaba

144 Annual Report 2007
Notes to the Financial Statements
29 DEFERRED REVENUE AND CUSTOMER ADVANCES
Deferred revenue and customer advances represent service fees prepaid by paying members for which the
relevant services have not been rendered. The respective balances were as follows:
2007 2006
RMB’000 RMB’000
Customer advances 475,391 291,290
Deferred revenue 1,444,458 962,674
1,919,849 1,253,964
Less: current portion (1,849,655) (1,216,818)
Non-current portion 70,194 37,146
All service fees received in advance are initially recorded as customer advances. These amounts are
transferred to deferred revenue upon the commencement of the rendering of services by the Group. In
general, service fees received in advance are non-refundable after such amounts are transferred to deferred
revenue.
30 DEFERRED TAX ASSETS
Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax
assets against current tax liabilities and when the deferred taxes relate to the same tax authority. The offset
amounts were as follows:
2007 2006
RMB’000 RMB’000
Deferred tax assets:
— Deferred tax assets to be recovered after more than 12 months 17,303 6,515
— Deferred tax assets to be recovered within 12 months 288,319 245,962
305,622 252,477
Deferred tax liabilities:
— Deferred tax liabilities to be settled after more than 12 months (1,620) (1,203)
— Deferred tax liabilities to be settled within 12 months (43,691) (39,399)
(45,311) (40,602)
Deferred tax assets, net 260,311 211,875