## **MUSLIM COMMUNITY TRUST**
**ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER 2020**
**CHARITY REGISTRATION NUMBER: 1077341**
## **MUSLIM COMMUNITY TRUST**
## **TABLE OF CONTENTS**
||**Page**|
|---|---|
|Trustees’ Report|1|
|Accountant’s Report|2|
|Income and Expenditure Account|3|
|Balance Sheet|4|
|Notes to the Financial Statements|5-7|
## **CHARITY INFORMATION**
**CHARITY REGISTRATION NUMBER :** 1077341
**TRUSTEES :** Mr S Buth Mr A .Suleman Mr N Asim Mr R Malik
**EXECUTIVE COMMITTEE :**
General Secretary : Treasurer :
Mr Farid Yusuf Mr Abdul Aziz
## **MUSLIM COMMUNITY TRUST**
## **TRUSTEES’ REPORT**
The board of Trustees present their annual report for the year ended 31st December 2020.
## **GOVERNING DOCUMENT**
The Charity is controlled by its governing document, a deed of trust, and constitutes an unincorporated charity.
## **OBJECTIVES OF THE TRUST**
The objectives of trust are the enhancement of Islamic ideology in accordance with Quran and Ahadith in the locality within the bounds of Mosque.
## **ADVISORS**
The trust’s advisors are as shown on the Table of Contents.
## **REVIEW OF ACTIVITIES**
The trust’s income arises from fees and donations. The executive committee is responsible for the day to day management of the financial and operational matters.
The management committee meets on a regular basis to discuss and review the affairs of trust. The board also has an Annual General Meeting in which members of the executive committee present themselves for re election.
## **Statement of trustees’ responsibilities**
Law applicable to charities in England and Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the charity’s financial activities during the year and of it’s financial position at the end of the year (unless the charity is entitled to prepare accounts on the alternative receipts and payments basis). In preparing financial statements giving a true and fair view, the trustees should follow best practice and:
- a. select suitable accounting policies and then apply them consistently;
- b. make judgements and estimates that are reasonable and prudent;
- c. state whether applicable Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- d. state whether applicable Accounting Standards and Statements of Recommended Practice have been followed, subject to any departures disclosed and explained in the financial statements; and (unincorporated charities)
- e. prepare the financial statements on the going concern basis unless it is inappropriate to assume that the charity will continue in business.
The trustees are responsible for keeping proper accounting records which disclose, with reasonable accuracy, the financial position of the charity, and which enable them to both ascertain the financial position of the charity and ensure that the financial statements comply with _Charities Act 1993_ . They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
## **BY ORDER OF THE BOARD**
**Chairman Mr S Hussain**
**Dated:14th June 2021**
Page 1
## **MUSLIM COMMUNITY TRUST**
## **Independent Examiner’s Report to the Trustees of Muslim Community Trust**
We report on the accounts for the year ended 31st December 2020 set out on pages three to six
## **Respective responsibilities of trustees and examiner**
The charity’s trustees (who are also the directors for the purposes of company law) are responsible for the preparation of the accounts. The charity’s trustees consider that an audit is not required for this
year (under Section 144(2) of the Charities Act 2011(the 2011 Act)) and that an independent examination is required.
Having satisfied myself that the charity is not subject to an audit under company law and is eligible for the independent examination, it is my responsibility to;
- Examine the accounts under Section 145 of the 2011 Act
- To follow the procedures laid down in the General Directions given by the Charity Commission
- (Under Section 145(5) (b) of the 2011 Act); and
- to state whether particular matters have come to my attention
## **Basis of the independent examiner’s report**
My 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 statements below.
## **Independent examiner’s statement**
In connection with my examination, no matter have come to my attention;
- (1) which gives me reasonable cause to believe that, in any material respect, the requirements
- to keep accounting records in accordance with Section 386 and 387 of the Companies Act 2006;and
- to prepare accounts which accord with accounting records, comply with the accounting requirements of Sections 394 and 395 of the Company 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 my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
**Karbhari & Co. Accountants 133 Ley Street Ilford, Essex IG1 4BH**
Page 2
## **MUSLIM COMMUNITY TRUST**
## **INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31ST DECEMBER 2020**
|**2020**
**Notes**
0
1,318,435
**Total Funds Carried Forward**
-
1,300,565
Total Funds brought forward
0
17,870
**Net (Loss) / Income for the**
**year**
0
82,405
3
**Total Resources Expended**
2,317
Other resources expended
-
500
Governance Cost
-
79,588
Costs of generating vouluntary
income
**Costs of Generating Funds**
**RESOURCES EXPENDED**
0
100,275
**Total Income Resources**
-
82,495
2
Activities for generating funds
-
17,780
Voluntary Income
Generating Funds
**£**
**£**
Income Resources from
**Funds**
**Funds**
**Restricted**
**Unrestricted**
**INCOME RESOURCES**|**2020**
1,318,435
1,300,565
£17,870
82,405
2,317
500
79,588
0
0
0
**£**
**Total**|**2019**
1,300,565
1,292,140
8,425
98,211
2,780
500
94,931
106,636
105,024
1,612
**£**
**Total**|
|---|---|---|
Page 3
## **MUSLIM COMMUNITY TRUST**
## **BALANCE SHEET AS AT 31ST DECEMBER 2020**
|
**Notes**
**Total Funds Carried forward**
3
Net(Profit)Income
Unrestricted Funds B / fwd
**Income Funds**
**FUNDS**
**Net Assets**
Current Assets Less Current
Liabilities
(125,872)
5
Creditors
**CURRENT LIABILITIES**
273,228
273,228
Cash at Bank and in Hand
**CURRENT ASSETS**
4
Tangible
**£**
**FIXED ASSETS**|**2020**
£1,318,435
17,873
1,300,562
£1,318,435
147,356
1,171,079
**£**|
(
53,49
8)
181,104
181,104
**£**|**2019**
£1,300,562
8,422
1,292,140
£1,300,562
127,606
1,172,956
**£**|
|---|---|---|---|
The Financial Statements are approved by the Board of Trustees on 14th June 2021 and were signed on their behalf by:
## ________________ **Secretary of Trust**
The notes on pages 4 to 6 form part of these Financial Statements
Page 4
## **MUSLIM COMMUNITY TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER 2020**
## **1. Accounting Policies**
## a. **Accounting Convention**
The financial statements have been prepared under the historical cost convention, and in accordance with the Financial Reporting Standard for Smaller Entities (effective April 2008), the Charities Act 1993 and the requirement of the Statement of Recommended Practice and Reporting by Charities.
## b. **Incoming Resources**
All incoming resources are included on the Statement of Financial Activities when the charity is legally entilted to the income and the amount can be quantified with reasonable accuracy.
## **c** . **Resources Expended**
Expenditureis accounted for on an accrual basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
## **d** . **Taxation**
The organisation is a charity and is entitled to exemption from taxation on its income and profits by virtue of Section 505 of the _Income and Corporation Taxes Act 1988_ .
## **e** . **Tangible Fixed Assets**
Depreciation is provided at the following annual rates in order to write off each assets over its estimated useful life.
Fixtures and Fitting - 25% on reducing balance
- **f** . **Fund Accounting**
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particlur purposes with the objects of the charity. Restricted funds arise when specified by the donor or when funds are raised for particular restricted purpose.
|Membership Fees
Madrashah Fee
R Book
Calender Sale
HMRC Grant
Ramadhan Collection
Safe Collections
Eid Collections
Online Donation
Friday Collections
Radio and book sale
**ACTIVITIES FOR GENERATING FUNDS**
**2**
|100,275
0
18,890
23,690
100
3,648
-
1,820
2,295
14,132
35,290
410
**2020**
**£**|1,000
12,359
21,414
-
-
2,040
5,026
3,430
612
59,955
800
**2019**
**£**|
|---|---|---|
|||106,636|
Page 5
## **MUSLIM COMMUNITY TRUST**
## **DEATAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31ST DECEMBER 2020**
|**NET INCOME**
Fixtures and Fittings
**Other Resources Expended**
Accountancy
**Governance Costs**
Sundries
Donation
Permit
Building Insurance
Council Tax
Postage and Stationery
Legal Fees
Cleaning and Toiletries
Telephone
Repairs and Renewals
Book Purchases
Trade Refuse
Light & Heat
Employer Pension
Water Rates
Wages & NIC
**Costs of generating voluntary income**
**RESOURCES EXPENDED**
**Total Incoming Resources**
Calender Sale
Safe Collections
R Book
Madrashah Fee
Eid Collections
Ramadan Collection
Friday Collections
Radio and book sale
**Activities for generating funds**
Membership Fees
HMRC Grant
Donations
**Voluntary Income**
**INCOMING RESOURCES:**
**3**|£17,873
2,317
500
79,585
0
500
0
1,583
2,348
219
29
830
436
14,325
2,350
200
6,398
256
1,600
48,511
£100,275
82,495
100
1,820
23,690
18,890
2,295
-
35,290
410
17,780
0
3,648
14,132
**2020**
**£**|£8,425
2,780
500
94,931
0
0
132
3,071
2,151
385
280
1,540
492
36,416
3,150
-
5,451
422
2,628
38,813
£106,636
105,024
-
5,026
21,414
12,359
3,430
2,040
59,955
800
1,612
1,000
-
612
**2019**
**£**|
|---|---|---|
Page 6
## **MUSLIM COMMUNITY TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER 2020**
## **Notes**
|**4**|**FIXED ASSETS**|**Freehold**|**Improvements to**|**Improvements to**||**Fixture**|**Fixture**|**Fixture**||**Total**||
|---|---|---|---|---|---|---|---|---|---|---|---|
|||**Property**|**Property**||**and**||**Fittings**|||||
|||**£**|**£**||||**£**|||**£**||
||**Cost**|||||||||||
||Balance B/ fwd|1,118,961|42,850|||38,042||||1,199,853||
||As At 1st January 2019|||||||||||
||Additions|0|-||||440|||440||
||£1,118,961
As At 31st December 2020||£42,850|||£38,482||||£1,200,293||
||**Depreciation**|||||||||||
||Depreciation b/fwd|||||26,897||||26,897||
||Add: Depreciation||||||2,317|||2,317||
||As At 31st December 2020|||||£29,214||||£29,214||
|||||||||||||
||**Net Book Value**|||||||||||
||£1,118,961
At 31st December 2020||£42,850|||£9,268||||£1,171,079||
|||||||||||||
||£1,118,961
At 31st December 2019||£42,850|||£11,145||||£1,172,959||
|||||||||||||
||||||**2020**|||||**2019**||
||||||**£**|||||**£**||
|**5**|**CREDITORS**|||||||||||
||Taxation and social security||||444|||||545||
||Karze Hasna|||124,380||||||51,880||
||Other Creditors||||1,048|||||1,073||
|||||£125,872||||||£53,498||
## **6 TRUSTEE’S REMUNERATION AND BENEFITS**
There were no Trustee’s remuneration or other benefits for the year ended 31st December 2019 & 31st December 2020.
## **TRUSTEE’S EXPENSES**
There were no trustee’s expenses paid for the year ended benefits for the year ended 31st December 2019 & 31st December 2020.
Page 7