148
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
21
CONTRACT LIABILITIES
The Group receives deposits from customers when they sign the sale and purchase agreement relating to property sales. The deposits are recognised as contract liabilities until the properties are completed and legally assigned to the
customers.
However, depending on market conditions, the Group may offer customers a discount compared to the listed sales price, provided that the customers agree to pay the balance of the sale consideration early while construction is still ongoing, rather than upon legal assignment. Such advance payment schemes result in contract liabilities being recognised throughout the remaining property construction period for the full amount of the sale consideration.
As at 31 December 2018, deposits for customers in relation to property sales amounted to HK$Nil (2017: HK$592,626,000). Movement of these deposits during the year ended 31 December 2018 represented a decrease in contract liabilities as a result of recognising revenue.
22 INCOME TAX IN THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION
(a) Tax payable/(recoverable) in the consolidated statement of financial position
represents:
2018
HK$'000
2017
(restated) HK$'000
Provision for Hong Kong Profits Tax for the year Provisional Profits Tax paid
46,847
27,274
(24,792)
(33,088)
22,055
(5,814)
Balance of Hong Kong Profits Tax recoverable relating to prior years
(18,086)
(14,539)
3,969
(20,353)
Represented by:
Tax recoverable
Tax payable
Hong Kong Ferry (Holdings) Company Limited Annual Report 2018
2018
2017
(restated)
HK$'000
HK$'000
(37,349)
(36,583)
41,318
16,230
3,969
(20,353)
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