Charity registration number 1088146
## EIKOKU IESU NO MITAMA KYOKAI
FINANCIAL STATEMENTS
FOR THE YEAR ENDED
31 MARCH 2021
EIKOKU IESU NO MITAMA KYOKAI FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021
|INDEX|Page|
|---|---|
|Legal and Administrative Information|1|
|Trustees’ Report|2 - 3|
|Independent Examiner’s Report|4|
|Statement of Financial Activities|5|
|Balance Sheet|6|
|Notes forming part of the Financial Statements|7 - 12|
EIKOKU IESU NO MITAMA KYOKAI
LEGAL AND ADMINISTRATIVE INFORMATION
FOR THE YEAR ENDED 31 MARCH 2021
## **CONSTITUTION**
Eikoku Iesu No Mitama Kyokai is governed by its charitable Trust Deed dated 1 July 2001.
## **TRUSTEES**
The directors of the Charity are its Trustees and throughout this report are collectively referred to as the Trustees.
The Trustees who served during the year were as follows:
Reverend S Kawamura Reverend Y Kawamura Reverend M Kawamura M Koshino S Shikayama M Mackie R Tahara
## **REGISTERED OFFICE**
27 Valley Drive London NW9 9NJ
## **INDEPENDENT EXAMINER**
Anthony Epton Goldwins 75 Maygrove Road West Hampstead London NW6 2EG
**BANKERS** :
Barclays Bank PLC Kensington and Chelsea
**SOLICITORS** :
Mr Sohail Afzal SHAAD Linton House 39-51 Highgate Road London NW5 1RS
1
EIKOKU IESU NO MITAMA KYOKAI
## TRUSTEES’ REPORT FOR THE YEAR ENDED 31 MARCH 2021
The Trustees are please to present their report together with the financial statements of the charity for the year ended 31 March 2021.
## **OBJECTS OF THE CHARITY**
The objects of the Trust are to advance the Christian faith in the United Kingdom and elsewhere in accordance with the teaching of the late Bishop Jun Murai.
## **ORGANISATION**
The Trustees meet on a regular basis throughout the year to administer the Charity.
## **INVESTMENT POWERS**
In accordance with the Trust Deed the Charity has the power to make any investment which the Trustees see fit.
## **REVIEW OF THE ACTIVITIES**
Church has eight meeting places in Japan that is Hakodate, Tokyo, Nagoya, Osaka, Himeji, Kurayoshi, Takamatsu, Kochi, one in UK, one in San Francisco USA, one in Switzerland, one in Spain, one in Portugal, one in Italy. 56 (172 in 2020) people were baptized in this fiscal year. There was no annual convention during the year due to Covid-19 pandemic restrictions. Church aim is to worship the God, to preach the gospel, to establish and maintain the church inside and outside of this country and keep the faith according to the teaching of the Bible and the late Bishop Rev. Jun Murai. Donation and offering comes from members only, mainly from England and Japan.
## **PUBLIC BENEFIT**
The principal activities of the charity during the year continued to be to advance the Christian faith in the United Kingdom and elsewhere in accordance with the teaching of the late Bishop Jun Murai. The trustees are aware of the Charity Commission guidance on public benefit reporting as set out in Section 17 Charities Act 2011. The trustees believe that the charity achieves a public benefit by providing these services as detailed earlier in this report.
## **RESERVES POLICY**
The current level of free reserves, being the unrestricted funds not committed or invested in tangible fixed assets, is negative. The trustees have set a target level of free reserves of £180,000 which equates to 9 months of resources expended. This will enable the Charity to continue its current activities and allow it to respond quickly in the event of an emergency. The reserves policy will be reviewed annually.
2
EIKOKU IESU NO MITAMA KYOKAI
## TRUSTEES’ REPORT FOR THE YEAR ENDED 31 MARCH 2021
## **RISK MANAGEMENT**
The trustees have identified the major risks affecting the Charity and are taking necessary steps to monitor and control these risks to mitigate any impact they may have on the Charity in the future. The risks are reviewed on an ongoing basis.
By order of the Trustees on 16[th] October 2021.
**Reverend Satoshi Kawamura Trustee**
3
## EIKOKU IESU NO MITAMA KYOKAI
## INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF
EIKOKU IESU NO MITAMA KYOKAI
I report to the trustees on my examination of the accounts of the Eikoku Iesu No Mitama Kyokai (EINMK) for the year ended 31 March 2021.
## **Responsibilities and basis of report**
As the charity trustees of the Trust, you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’).
I report in respect of my examination of the Trust’s accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
## **Independent examiner’s statement**
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
1. accounting records were not kept in respect of the Trust as required by section 130 of the Act; or
2. the accounts do not accord with those records; or
3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
**Anthony Epton BA FCA CTA FCIE Goldwins Chartered accountants 75 Maygrove Road West Hampstead London NW6 2EG**
**1[st ] April 2022**
4
## **EIKOKU IESU NO MITAMA KYOKAI**
## **Statement of financial activities** (incorporating an income and expenditure account) **For the year ended 31 March 2021**
|Note
**Income from:**
2
3
4
**Reconciliation of funds:**
**Net movement in funds**
Total funds brought forward
**Total funds carried forward**
**Net income / (expenditure) for the year**
Transfers between funds
**Total expenditure**
**Total income**
**Expenditure on:**
Charitable activities
Investment income
Donations and legacies|**Unrestricted**
**Funds**
£
181,335
-|**2021**
**Total**
**Funds**
**£**
**181,335**
-|Unrestricted
Funds
**£**
206,261
-|2020
Total
Funds
£
206,261
-|
|---|---|---|---|---|
||181,335|**181,335**|206,261|206,261|
||192,794|192,794|223,077|223,077|
||192,794|**192,794**|223,077|223,077|
||(11,459)
-|**(11,459)**
-|(16,816)
-|(16,816)
-|
||(11,459)
101,612|**(11,459)**
**101,612**|(16,816)
118,428|(16,816)
118,428|
||**90,153**|**90,153**|101,612|101,612|
All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in Note 13 to the financial statements.
5
## **EIKOKU IESU NO MITAMA KYOKAI**
## **Balance sheet**
## **As at 31 March 2021**
|**Note**
**Fixed assets:**
**8**
**Current assets:**
**9**
**Liabilities:**
**10**
**11**
**Net assets excluding pension asset / (liability)**
Defined benefit pension scheme asset / (liability)
**12**
**13**
Total unrestricted funds
Debtors
Cash at bank and in hand
Creditors: amounts falling due within one year
Tangible assets
Unrestricted funds:
General funds
**Net current (liabilities)**
**Total assets less current liabilities**
**Total net assets**
**Funds**
Creditors: amounts falling due more than one year
**Total funds**|**2021**
**£**
**1,575**
**23,867**|**2021**
**£**
**280,845**
**(84,285)**|2020
£
1,575
28,264|2020
£
309,775
(81,324)|
|---|---|---|---|---|
||**25,442**
**109,727**||29,839
111,163||
||**90,153**||101,612||
|||**196,560**
**106,407**||228,451
126,839|
|||**90,153**
**-**||101,612
-|
|||**90,153**||101,612|
|||**90,153**||101,612|
||||||
|||**90,153**||101,612|
Approved by the trustees on 01/04/2022. and signed on their behalf by:
## **Reverend S Kawamura Trustee**
The attached notes form part of the financial statements.
6
## **EIKOKU IESU NO MITAMA KYOKAI Notes to the financial statements For the year ended 31 March 2021**
## **1 Accounting policies**
## **a) Basis of preparation**
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).
## **b) Going concern**
The trustees consider that there are no material uncertainties about the charitable company's ability to continue as a going concern.
## **c) Income**
Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the income have been met, it is probable that the income will be received and that the amount can be measured reliably.
Income from government and other grants, whether grants or grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred. Income received in advance for the provision of specified service is deferred until the criteria for income recognition are met.
For legacies, entitlement is taken as the earlier of the date on which either: the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the charity that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is a treated as a contingent asset and disclosed if material.
## **d) Donations of gifts, services and facilities**
Donated professional services and donated facilities are recognised as income when the charity has control over the item or received the service, any conditions associated with the donation have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), volunteer time is not recognised so refer to the annual report for more information about their contribution.
On receipt, donated gifts, professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.
## **e) Interest receivable**
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank.
## **f) Fund accounting**
Unrestricted funds are available to spend on activities that further any of the purposes of charity. Designated funds are unrestricted funds of the charity which the trustees have decided at their discretion to set aside to use for a specific purpose. Restricted funds are donations which the donor has specified are to be solely used for particular areas of the
7
## **Notes to the financial statements For the year ended 31 March 2021**
## **1 Accounting policies (continued)**
## **g) Expenditure and irrecoverable VAT**
- Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings:
Costs of raising funds comprise of trading costs and the costs incurred by the charity in inducing third parties to make voluntary contributions to it, as well as the cost of any activities with a fundraising purpose. Other expenditure represents those items not falling into any other heading.
Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.
## **h) Allocation of support costs**
Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include back office costs, finance, personnel, payroll and governance costs which support the activities. These costs have been allocated between cost of raising funds and expenditure on charitable activities. The bases on which support costs have been allocated are set out in note 3.
## **i) Tangible fixed assets**
Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows:
|Freehold land and buildings|4 %|
|---|---|
|Fixtures, fittings and equipment|25 %|
|Motor vehicle|25 %|
## **j) Debtors**
Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
## **k) Cash at bank and in hand**
Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
## **l) Creditors and provisions**
Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.
## **2 Income from donations and legacies**
|Donations, gifts and deed of covenants|**2021**
2020
**Unrestricted**
**Funds**
**Total**
**Funds**
Unrestricted
Funds
Total
Funds
£
£
£
£
181,335
**181,335**
206,261
206,261|
|---|---|
||181,335
**181,335**
206,261
206,261|
8
## **EIKOKU IESU NO MITAMA KYOKAI Notes to the financial statements For the year ended 31 March 2021**
## **3 Analysis of expenditure**
|Staff costs
**_Direct cost_**
Travel and subsistence
Gifts and donations
**_Support cost_**
Printing, postage and stationary
Telephone
Legal and accountancy fee
Insurance
Rent, rates and ancillary maintenance cost
Flower and plants
Medical expenses
Sundry cost
Mortgage interest
Depreciation
Bank charges
**Total expenditure 2021**
Total expenditure 2020|**Charitable**
**activities**
£
35,412
61,494
4,665
943
3,626
6,118
5,836
24,275
145
7,845
5,749
1,450
28,930
6,306
192,794
223,077|**2021 Total**
£
**35,412**
**61,494**
**4,665**
**943**
**3,626**
**6,118**
**5,836**
**24,275**
**145**
**7,845**
**5,749**
**1,450**
**28,930**
**6,306**
**192,794**
223,077|2020 Total
£
35,732
79,561
1,638
1,047
3,932
4,690
6,528
20,643
4,888
8,810
15,685
3,080
30,071
6,772|
|---|---|---|---|
||||223,077|
|||||
All of the expenditure £192,794 was unrestricted (2020:£223,077).
Analysis of expenditure-prior year
|Staff costs
**_Direct cost_**
Travel and subsistence
Gifts and donations
**_Support cost_**
Printing, postage and stationary
Telephone
Legal and accountancy fee
Insurance
Rent, rates and ancillary maintenance cost
Flower and plants
Medical expenses
Sundry cost
Mortgage interest
Depreciation
Bank charges
Total expenditure 2020|Charitable activities
£
35,732
79,561
1,638
1,047
3,932
4,690
6,528
20,643
4,888
8,810
15,685
3,080
30,071
6,772
223,077|2020 Total
£
35,732
79,561
1,638
1,047
3,932
4,690
6,528
20,643
4,888
8,810
15,685
3,080
30,071
6,772
223,077|2019 Total
£
35,372
80,270
3,280
964
4,206
5,077
6,713
19,488
3,401
5,064
12,643
2,364
30,116
6,061|
|---|---|---|---|
||||215,019|
9
**EIKOKU IESU NO MITAMA KYOKAI Notes to the financial statements For the year ended 31 March 2021**
## **4 Net incoming resources for the year**
This is stated after charging / crediting:
|Depreciation
Examiner's Fees|**2021**
**£**
**1,950**
**28,930**|2020
£
1,950
30,071|
|---|---|---|
## **5 Analysis of staff costs, trustee remuneration and expenses, and the cost of key management personnel**
Staff costs were as follows:
|Pension
Salaries and wages|**2021**
**£**
35,412
-
**35,412**|2020
£
35,782
(50)|
|---|---|---|
|||35,732|
The total employee benefits including pension contributions of the key management personnel were £13,093 (2020: £13,251).
No employees earned more than £60,000 per annum.
The charity trustees were not paid or received any other benefits from employment with the charity in the year (2020: £nil). No charity trustee received payment for professional or other services supplied to the charity (2020: £nil).
No trustees received any payment or reimbursement of travel and subsistence costs.
## **6 Staff numbers**
The average number of employees (head count based on number of staff employed) during the year was as follows:
|Charitable activity
Support|**2021**
**No.**
1.5
1.5
**3**|2020
No.
1.5
1.5|
|---|---|---|
|||3|
## **7 Taxation**
The charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.
10
**EIKOKU IESU NO MITAMA KYOKAI Notes to the financial statements For the year ended 31 March 2021**
## **8 Tangible fixed assets**
|**Cost**
At the start of the year
Additions in year
Disposals in year
At the end of the year
**Depreciation**
At the start of the year
Charge for the year
Eliminated on disposal
At the end of the year
**Net book value**
**At the end of the year**
At the start of the year
**9**
**10**
**11**
**Creditors: amounts falling due after one year**
Payable to trustees
Other creditors
Loan
Accruals
Net wages
Sundry debtors
Taxation & social security
**Creditors: amounts falling due within one year**
**Debtors**|£
720,316
-
-
720,316
424,895
28,813
-
453,708
**266,608**
295,421
Properties|£
59,035
-
-
59,035
44,681
117
-
44,798
**14,237**
14,354
Fixtures,
fittings &
equipment|£
15,953
-
-
15,953
15,953
-
-
15,953
**-**
-
**2021**
**£**
1,575
Motor
Vehicle|**Total**
**£**
**795,304**
**-**
**-**|
|---|---|---|---|---|
|||||**795,304**|
|||||**485,529**
**28,930**
**-**|
|||||**514,459**|
|||||**280,845**|
|||||309,775|
|||||2020
£
1,575|
||||**1,575**|1,575|
||||**2021**
**£**
143
103,094
2,740
1,950
1,800
**109,727**
**2021**
**£**
106,407
**106,407**|2020
£
157
101,971
2,730
1,950
4,355|
|||||111,163|
|||||2020
£
126,839|
|||||126,839|
The bank loans are secured on charity assets and are repayable after more than five years.
11
**EIKOKU IESU NO MITAMA KYOKAI Notes to the financial statements For the year ended 31 March 2021**
## **12 Analysis of net assets between funds**
|Tangible fixed assets
Net current assets / (liabilities)
**Net assets at the end of the year**
Tangible fixed assets
Net current assets / (liabilities)
Net assets at the end of the year
**13**
**Movements in funds**
£
**General funds**
Total Unrestricted Funds
101,612
**Total unrestricted funds**
**101,612**
**Total funds**
**101,612**
Movements in funds-prior year
£
General funds
Total Unrestricted Funds
118,428
Total unrestricted funds
118,428
Total funds
118,428
At the
start of the
year
Mortgage loan
At the
start of the
year
Analysis of net assets between funds-prior year
Mortgage loan|**General**
**Unrestricted**
**Funds**
£
280,845
(84,285)
(106,407)
**90,153**
General
Unrestricted
Funds
£
309,775
(81,324)
(126,839)
101,612
£
181,335
**181,335**
**181,335**
£
206,261
206,261
206,261
Incoming
resources &
gains
Incoming
resources &
gains|**Designated**
**Funds**
£
-
-
-
Designated
Funds
£
-
-
-
-
£
192,794
**192,794**
**192,794**
£
223,077
223,077
223,077
Outgoing
resources &
losses
Outgoing
resources &
losses|**Restricted**
**Funds**
£
-
-
**-**
Restricted
Funds
£
-
-
-
-
Transfers
£
-|**Total**
**funds**
**£**
**280,845**
**(84,285)**
**(106,407)**|
|---|---|---|---|---|
|||||**90,153**|
|||||Total funds
£
309,775
(81,324)
(126,839)|
|||||101,612|
|||||**£**
**90,153**
**At the end**
**of the year**|
||||**-**|**90,153**|
||||**-**
Transfers
£
-
-
-||
|||||**90,153**|
|||||£
101,612
At the end
of the year|
|||||101,612|
||||||
|||||101,612|
**14 Related party transactions** Trustees have lent the charity £103,094 (2020: £101,971). There are no donations from related parties which are outside the normal course of business and no restricted donations from related parties.
12