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2020-12-31-accounts

Charity Registration No. 1046562

Company Registration No. 2991344 (England and Wales)

VAJRAPANI KADAMPA MEDITATION CENTRE

TRUSTEES’ REPORT AND

UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

Charity Registration No. 1046562

Company Registration No. 2991344 (England and Wales)

VAJRAPANI KADAMPA MEDITATION CENTRE

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

Page
Company Information 1
Trustees’ Report 2
Statement of Financial Activities 5
Balance Sheet 6
Notes to the Financial Statements 8
Independent Accountant’s Report 12
Income and Expenditure Account 13

Charity Registration No. 1046562

Company Registration No. 2991344 (England and Wales)

VAJRAPANI KADAMPA MEDITATION CENTRE

COMPANY INFORMATION FOR THE YEAR ENDED 31 DECEMBER 2020

DIRECTORS:

Mr P T Partridge Miss J Andrews Miss A Dexter

REGISTERED OFFICE:

Wheathouse Terrace Birkby Huddersfield West Yorkshire HD2 2UY

REGISTERED NUMBER:

02991344 (England and Wales)

CHARITY NUMBER: 1046562

ACCOUNTANTS:

Partner Accountancy The Gas Light Lower Warrengate Wakefield West Yorkshire WF1 1SA

BANKERS:

National Westminster Bank PLC 1 Market Place York YO3 9YH

Page 1

Charity Registration No. 1046562

Company Registration No. 2991344 (England and Wales)

VAJRAPANI KADAMPA MEDITATION CENTRE

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2020

The trustees present their report and financial statements for the Period ended 31 December 2020.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing Document

Vajrapani Kadampa Meditation Centre (VKM) is a charitable company limited by guarantee. The company was established under a Memorandum of Association in 1994 (amended July 2007) which established the objects and powers of the charitable company and is governed under its Articles of Association. In the event of the company being wound up members are required to contribute an amount not exceeding £10.

Recruitment and appointment of the Management Committee

The directors of the company who are also charity trustees for the purposes of charity law and under the company’s articles are also known as members of the management committee. The trustees generally serve on a three year term of office before re-election.

Risk Management

The trustees have assessed the major risk factors to which the charity is exposed and are satisfied that the systems are in place to mitigate exposure to them.

To mitigate financial risk an external firm of Chartered Accountants has been appointed to prepare and submit the annual accounts.

ORGANISATIONAL STRUCTURE

VKM is a member of the New Kadampa Tradition – International Kadampa Buddhist Union (NKT – IKBU) which is an international association of Mahayana Buddhist study and meditation centre’s that follow the Kadampa Buddhist Tradition founded by Venerable Geshe Kelsang Gyatso.

VKM is managed by a voluntary committee which meets on a monthly basis. Members of the board of the company are also members of the management committee.

The charity’s administration is carried out by a number of part time volunteers who are responsible for the day to day administration of the society.

OBJECTIVES AND ACTIVITIES

The objectives of the charity are to promote the Buddhist Faith under the spiritual guidance of the elected General Spiritual Director of the New Kadampa Tradition – International Kadampa Buddhist Union principally through the activities of teaching, study, practice and the observance of moral discipline all with the Mahayana Buddhist tradition of Atisha and Je Tsongkhapa as taught by Venerable Geshe Kelsang Gyatso, the founder of the New Kadampa Tradition – International Kadampa Buddhist Union, through the continuous implementation of the three New Kadampa Tradition Study Programmes: the General Programme, the Foundation Programme, and the Teacher Training Programme.

Page 2

VAJRAPANI KADAMPA MEDITATION CENTRE

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2020

ACHIEVEMENTS AND PERFORMANCE

Core class numbers have been maintained in both the general programme classes as well as the foundation programme. During the year the teacher training programme class has continued to be successful. The number of monthly centre card holders has also increased.

The centre has largely remained open throughout Coronavirus, however, it has affected numbers of in person attendees at classes.

FINANCIAL REVIEW

Overall total income is reduced slightly compared to the previous year due partly to a reduction in class income by around 40%, there was no fundraising this year.

Despite the reduction in gross income, the profit generated is actually increased on last year, due to a reduction in costs associated with the classes.

RESERVES POLICY

Reserves are held in unrestricted funds equivalent to three months of the fixed resources expended. The purpose of the reserve is to ensure that the charity can continue to operate even if the income generated for a particular period does not cover the expenses the charity incurs in its day to day operation. The board considers the level of reserves to be appropriate.

FUTURE PLANS

Future plans for the centre will include considerable work to the building for repairs and also improvements, as the centre transitions from being a Kadampa Buddhist Centre, to becoming a Kadampa Meditation Centre. The coming years will be exciting times for the Centre with an expectation of growth and spreading Dharma to even more people.

Page 3

VAJRAPANI KADAMPA MEDITATION CENTRE

TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2020

RESPONSIBILITIES OF THE MANAGEMENT COMMITTEE

Company law requires the Management Committee to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company as at the balance sheet date and of its incoming resources and application of resources, including income and expenditure, for the financial year. In preparing those financial statements, the management committee should follow best practice and:

The management committee is responsible for maintaining proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. The managements committee is also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the detection and prevention of fraud or other irregularities.

TRUSTEES

The trustees, who are also directors for the purpose of company law, shown below have held office during the whole of the period from 1 January 2020 to the date of this report.

Mr P T Partridge Miss J Andrews Miss A Dexter

ON BEHALF OF THE BOARD OF TRUSTEES:

........................................................................ Mr P T Partridge

........................................................................ Miss J Andrews

........................................................................ Miss A Dexter

Date: 18[th] October 2021

Page 4

Charity Registration No. 1046562

Company Registration No. 2991344 (England and Wales)

VAJRAPANI KADAMPA MEDITATION CENTRE

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2020

Unrestricted
funds
Notes
£
INCOMING RESOURCES FROM
GENERATED FUNDS
Voluntary Income:
Donations and legacies 2
6,343
Investment income
3
134
6,477
Incoming resources from
charitable activities:
4
66,629
73,106
RESOURCES EXPENDED
Charitable activities
Direct charitable expenditure
5
47,032
Governance costs
-
TOTAL RESOURCES EXPENDED
47,032
NET INCOMING/(OUTGOING) RESOURCES
BEFORE TRANSFERS
25,529
Gross transfers between funds
-
Property revaluation
-
25,529
Fund balances at 1 January 2020
391,492
FUND BALANCES AT 31 DECEMBER 2020
417,021
Restricted
funds
£
-
-
-
-
-
545
-
545
(545)
-
-
(545)
21,737
21,192
Total

2020
£
6,343
134
6,477
66,629
73,106
47,577
-
47,577
24,984
-
-
24,984
413,229
438,213
Total
2019
£
4,529
16
4,545
75,967
80,512
55,764
-
55,764
24,748
-
-
24,748
413,229
438,213

The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.

The notes form part of these financial statements

Page 5

Charity Registration No. 1046562

Company Registration No. 2991344 (England and Wales)

VAJRAPANI KADAMPA MEDITATION CENTRE

BALANCE SHEET
31 DECEMBER 2020
2020
Notes
£
FIXED ASSETS
Tangible assets
8
CURRENT ASSETS
Stocks
1,200
Debtors
9
902
Cash at bank
61,577
63,679
CREDITORS
Amounts due within 1 year
10
(13,900)
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT
LIABILITIES
CREDITORS
Amounts falling due after more than one
year
11
NET ASSETS
INCOME FUNDS
Restricted funds
12
Revaluation reserve
Other charitable funds
£
553,310
49,779
603,089
(164,876)
438,213
21,192
90,000
327,021
438,213
2019
£
1,200
6,461
43,392
51,053
(18,085)
£
556,908
32,968
589,876
(176,647)
413,229
21,737
90,000
301,492
413,229

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2020.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2020 in accordance with Section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for:

The notes form part of these financial statements

Page 6

Charity Registration No. 1046562

Company Registration No. 2991344 (England and Wales)

The financial statements were approved by the Board of Directors on 08 July 2021 and were signed on its behalf by:

........................................................................ Mr P T Partridge

........................................................................ Miss J Andrews ........................................................................ Miss A Dexter Date: 18[th] October 2021

The notes form part of these financial statements

Page 7

Charity Registration No. 1046562

Company Registration No. 2991344 (England and Wales)

VAJRAPANI KADAMPA MEDITATION CENTRE

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

1. ACCOUNTING POLICIES

Accounting convention

The financial statements have been prepared under the historical cost convention.

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Incoming resources

Donations are accounted for when received by the company. Other income is accounted for on an accruals basis as far as is prudent to do so. All income arises in the United Kingdom.

Resources expended

Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered and is reported as part of the expenditure in which it relates.

Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries.

Governance costs include those costs associated with meeting the constitutional and statutory requirements of the charity.

Tangible fixed assets

Tangible fixed assets other than freehold land and buildings are stated at cost less depreciation. Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Freehold land and buildings - Not depreciated Property Improvements - 2% Straight line Fixtures & equipment - 20% Straight line

Stock

Stock is valued at the lower of cost and net realisable value.

Accumulated funds

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the accounts.

Taxation

As a registered charity the company is generally exempt from Income Tax and Capital Gains Tax.

  1. DONATIONS AND GIFTS

2020 2019 £ £ Donations and gifts 6,343 4,529

The notes form part of these financial statements

Page 8

Charity Registration No. 1046562

Company Registration No. 2991344 (England and Wales)

VAJRAPANI KADAMPA MEDITATION CENTRE

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020

3. INVESTMENT INCOME

4.

5.
Unrestricted
funds
£
Interest receivable
134
INCOME RESOURCES FROM CHARITABLE ACTIVITES
Accommodation
Café and shop
Teachings and classes
Other income
Fundraising
TOTAL RESOURCES EXPENDED
Depreciation
£
Charitable activities
Direct charitable expenditure
Activities undertaken directly
3,598
Governance costs
-
3,598
Unrestricted
funds
£
Interest receivable
134
INCOME RESOURCES FROM CHARITABLE ACTIVITES
Accommodation
Café and shop
Teachings and classes
Other income
Fundraising
TOTAL RESOURCES EXPENDED
Depreciation
£
Charitable activities
Direct charitable expenditure
Activities undertaken directly
3,598
Governance costs
-
3,598
Restricted
funds
£
-


Other
Costs
£
43,979
-
Total

2020
£
134
2020
£
39,053
342
16,335
10,899
-
66,629
Total

2020
£
47,577
-
Total
2019
£
16
2019
£
36,913
1,006
26,038
6,262
5,748
75,967
Total
2019
£
55,764
-
55,764

3,598 43,979 47,577

6. TRUSTEES

No trustees were paid any remuneration for acting as a trustee during the year.

7. EMPLOYEES

There were no employees during the year.

The notes form part of these financial statements

Page 9

Charity Registration No. 1046562

Company Registration No. 2991344 (England and Wales)

8. TANGIBLE FIXED ASSETS

Freehold
Property
Fixtures &
property
improvement
fittings Totals
£ £ £ £
COST
At 1 January 2020 420,000 169,891 31,831 621,722
Additions - - - -
Revaluation - - - -
At 31 December 2020 420,000 169,891 31,831 621,722
DEPRECIATION
At 1 January 2020 - 33,182 31,632 64,814
Charge for year - 3,399 199 3,598
Prior year adjustment - - - -
At 31 December 2020 - 36,581 31,831 68,412
NET BOOK VALUE
At 31 December 2020 420,000 133,310 - 553,310
At 31 December 2019 420,000 136,709 199 556,908
9.
DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Prepayments and accrued income
10.
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Trade creditors
Accrued expenses
Other creditors
Mortgage
11.
CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE
YEAR
Mortgage
2020
£
902
902
2020
£
-
34
2,095
11,771
13,900
2020
£
164,876
2019
£
6,461
6,461
2019
£
1,467
1,813
3,034
11,771
18,085
2019
£
176,647

The notes form part of these financial statements

Page 10

Charity Registration No. 1046562

Company Registration No. 2991344 (England and Wales)

VAJRAPANI KADAMPA MEDITATION CENTRE

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2020

12. RESTRICTED FUNDS

The income funds of the charity include the following restricted funds which have been set aside out of unrestricted funds by the trustees for specific purposes:

New Centre Development Fund
Temples Fund
Balance at
1 January
2020
£
21,737
-
21,737
Movement
Incoming
resources
£
-
-
-
in funds
Balance at
Outgoing
31 December
resources
2020
£
£
(545)
21,192
-
-
(545)
21,192

The new centre development fund comprised of donations received in respect of building renovations. The balance is reducing as the property improvements depreciate.

13. ANALYSIS OF NET ASSETS BETWEEN FUNDS

Unrestricted
funds
£
Fund balances at 1 January 2020 are represented by:
Tangible fixed assets
532,118
Current assets
Creditors: amounts falling due within one year
63,679
(13,900)
Creditors: amounts falling due after more than one year
(164,876)
417,021
Restricted
funds
£
21,192
-
-
-
21,192
Total
£
553,310
63,679
(13,900)
(164,876)
438,213

14. MORTGAGE

The mortgage is a repayment mortgage with a remaining term of 18 years secured on the property at Wheathouse Terrace.

Birkby Baptist Church Property
cost
£
420,000
Mortgage
balance
£
176,647
Percentage
£
42%

The notes form part of these financial statements

Page 11

Charity Registration No. 1046562

Company Registration No. 2991344 (England and Wales)

VAJRAPANI KADAMPA MEDITATION CENTRE

INDEPENDENT ACCOUNTANTS’ REPORT TO THE TRUSTEES ON THE UNAUDITED FINANCIAL STATEMENTS OF VAJRAPANI KADAMPA MEDITATION CENTRE

We report on the accounts of the company for the year ended 31 December 2020, which are set out on pages 3 to 7.

RESPECTIVE RESPONSIBILITIES OF TRUSTEES AND REPORTING ACCOUNTANT

The trustees (who are also the directors of the company for the purposes of company law) are responsible for the preparation of the accounts. The trustees consider that an audit is not required for this year under section 43(2) of the Charities Act 1993 (the 1993 Act) and that an independent examination is needed.

Having satisfied ourselves that the charity is not subject to audit under company law and is eligible for independent examination, it is our responsibility to:

BASIS OF INDEPENDENT EXAMINER’S REPORT

Our examination was carried out in accordance with the general Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a ‘true and fair view’ and the report is limited to those matters set out in the statement below.

INDEPENDENT EXAMINER’S STATEMENT

In connection with our examination, no matter has come to our attention:

(1) which gives us reasonable cause to believe that in any material respect the requirements; to keep accounting records in accordance with section 386 of the Companies Act 2006; and to prepare accounts which accord with the accounting records, comply with the accounting requirement of section 396 of the Companies Act 2006 and with the methods and principles of the Statement of Recommended Practice: Accounting and Reporting by Charities

have not been met; or

(2) to which, in our opinion, attentions should be drawn in order to enable a proper understanding of the accounts to be reached.

Partner Accountancy The Gas Light Lower Warrengate Wakefield West Yorkshire WF1 1SA

Date: 18[th] October 2021

Page 12

Charity Registration No. 1046562

Company Registration No. 2991344 (England and Wales)

VAJRAPANI KADAMPA MEDITATION CENTRE

INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2020

Income
Accommodation
Café and shop
Teachings and classes
Donations
Deposit account interest
Other income
Fundraising
Expenditure
Café and shop purchases
Rates and water
Insurance
Light and heat
Telephone and internet charges
Printing, postage and stationery
Advertising
Education and courses
Sponsorships
Room hire
Donations and offerings
Household
Repairs and renewals
Sundry expenses
Motor and travelling expenses
Bank charges
Website and hosting costs
Mortgage interest
Property improvements depreciation
Fixtures and fittings depreciation
EXCESS OF INCOME OVER EXPENDITURE
2020
£
39,053
342
16,335
6,343
134
10,899
-
273
2,818
2,844
12,705
922
540
1,158
178
8,011
-
1,947
715
4,026
803
1,429
149
632
4,829
3,399
199
£

73,106
47,577
25,529
2019
£
36,913
1,006
26,038
4,529
16
6,262
5,748
1,017
3,163
3,356
10,592
726
1,184
1,249
2,477
9,711
1,831
1,696
633
3,989
594
2,320
222
1,037
5,852
3,398
717
£
80,512
55,764
24,748

This page does not form part of the statutory financial statements

Page 13