2020-12-31-accounts - Soka Gakkai International - UK

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CONTENTS		Page
Trustees' Annual Report
Independent Auditor's	Report to the Members	21
Statement ofFinancial	Activities	24
Comparative Statement	ofFinancial Activities	25
Balance Sheet		26
Cash Flow Statement		27
Notes to the Financial	Statements	28

				Unrestricted	Endowment	Total	Total
				Funds	Funds	2020	2019
			Notes
INCOME AND ENDOWMENTS		FROM:
Donations, legacies and grants			3	1,985,468		1,985,468	1,853,369
Char/tab/e activi ties:
~Advancement ofreligion			4	384,274		384,274	825,430
Investments			5	22,248	78,231	100,479	128,339
Total income				2,391,990	78,231	2,470,221	2,807,138
EXPENDITURE ON:
Costs ofraising funds							(7,844)
Charitable activities
~ Advancement ofreligion			7	(3,260,465)	(141)	(3,260,606)	(3,846,235)
Total expenditure				(3,260,465)	(141)	(3,260,606)	(3,854,079)
NET (EXPENDITURE)/INCOMF.
BEFOREGAINS/(LOSSES)	ON
INVESTMENTS				(868,475)	78,090	(790,385)	(1,046,941)
Net gains/(losses) on investments			12		3,356,929	3,356,929	3,286,969
NET (EXPENDITURE)/INCOME				(868,475)	3,435,019	2,566,544	2,240,028
Transfers between funds				520,000	(520,000)
				(348,475)	2,915,019	2,566,544	2,240,028
Other Recognised Gains and Losses
Gains/(losses) on revaluation	ofheritage
assets				7,490		7,490	30,800
NET MOVEMENT IN FUNDS				(340,985)	2,915,019	2,574,034	2,270,828
RECONCILIATION OF FUNDS
Fund balances brought forward
At 1 January 2020				19,468,972	29,143,798	48,612,770	46,341,942
Fund balance carried forward
At 31 December 2020			19	19,127,987	32,058,817	51,186,804	48,612,770

			Unrestricted	Endowment	Total
			Funds	Funds	2019
			8		8
INCOME AND ENDOWMENTS FROM:
Donations and legacies			1,853,369		1,853,369
Charitable activities:
~Advancement ofreligion			825,430		825,430
Investments			20,044	108,295	128,339
Tote I income			2,698,843	108,295	2,807,138
EXPENDITURE ON:
Costs ofraising funds				(7,844)	(7,844)
Charitable activities
~ Advancement ofreligion			(3,846, 176)	(59)	(3,846,235)
Total expenditure			(3,846,176)	(7,903)	(3,854,079)
NET (EXPENDITURE)/INCOME			(1,147,333)	100,392	(1,046,941)
Net (losses)/gains on investments				3,286,969	3,286,969
NET (EXPENDITURE)/INCOME			(1,147,333)	3,387,361	2,240,028
Transfers between funds			520,000	(520,000)
			(627,333)	2,867,361	2,240,028
Gains/(Losses) on revaluation		ofheritage
assets			30,800		30,800
NET MOVEMENT IN FUNDS			(596,533)	2,867,361	2,270,828
RECONCILIATION	OF FUNDS
Fund balances brought	forward
At I January 2019			20,065,505	26,276,437	46,341,942
Fund balance carried	forward
At 31 December 2019			19,468,972	29,143,798	48,612,770

T31DECEMBE	R	2020
						Company	Number: 05114516
						2020	2019
					Note		f
FIXEDASSETS
Tangible assets					10	16,293,583	16,802,596
Heritage assets					11	1,257,140	1,249,650
Investments					12	31,145,133	29,726,371
						48,695,856	47,778,617
CURRENT ASSETS
Stocks					13	222,568	271,057
Debtors					14	242,230	237,927
Cash at bank and	in	hand				2,169,641	507,041
						2,634,439	1,016,025
LIABILITIES
Creditors: Amounts		falling due within		one year	15	(143,491)	(181,872)
NET CURRENT	ASSETS					2,490,948	834,153
NFT ASSETS						51,186,804	48,612,770
THE FUNDS OF THE CHARITY
Fndowment funds
Commemorative	Expendable		Endowment
Fund					19	32,058,817	29,143,798
Unrestricted income funds
General Fund					19	877,264	716,726
Designated Taplow		Court Fund			19	200,000	200,000
Designated Local	Centres Fund				19	500,000	500,000
Designated Fixed	Assets Fund				19	17,550,723	18,052,246
TOTAL CHARITY FUNDS						51,186,804	48,612,770

		2020	2019
	Note
CASH FLOWS FROM OPERATING
ACTIVITIES
Net cash used in operating activities		(314,870)	(467,153)
CASH FLOWS FROM INVESTING
ACTIVITIES
Dividends, interest and rents from investments		100,479	128,339
Purchase oftangible assets		(61,717)	(70,170)
Purchase oflisted investments		(5,500,000)	(10,226,849)
Proceeds from sale oflisted investments		4,000,000	9,814,083
Decreasel(increase) in fixed term deposits		3,438,168	310,951
Movement in investment cash			415,387
Net cash (used in)/provided by investing		1,977,470	371,741
activities
CHANGE IN CASH AND CASH
EQUIVALENTS IN THE REPORTING
PERIOD		1,662,600	(95,412)
Cash and cash equivalents at the beginning of
the reporting period		507,041	602,453
Cash and cash equivalents at the end of
the reporting period		2,169,641	507,041

					Total	Total
					2020	2019
	General donations		and other similar
	types ofvoluntary		income		1,934,131	1,853,369
	Amounts claimed		under the Coronavirus
	Job Retention	Scheme			51,337
					1,985,468	1,853,369
4.	ADVANCEMENT			OF RELIGION
					Total	Total
					2020	2019
	Income from	events		and courses	19,111	277,473
	Publications income				176,241	170,667
	Shops income				146,633	342,824
	Other income				42,289	34,466
					384,274	825,430

					Unrestricted	Endowment	Total	Total
					Funds	Fundsf	2020	2019
	Bank interest	receivable	on short term
	cash deposits				7,848	78,231	86,079	97,659
	Incoine from	investments	listed	on a
	recognised stock exchange							16,280
	Rent receivable under operating			leases	14,400		14,400	14,400
					22,248	78,231	100,479	128,339
	Comparative	figures:
					Unrestricted	Endowment	Total
					Funds	Funds	2019
					E
	Bank interest	receivable	on short term
	cash deposits				5,644	92,015	97,659
	income from	investments	listed	on a
	recognised stock exchange					16,280	16,280
	Rent receivable under operating			leases	14,400		14,400
					20,044	108,295	128,339
6.	RAISING	FUNDS
							Total	Total
							2020	2019
	Investment m	anagement	costs					7,844

COSTSOF THE ADVANCEMENT	Unrestricted	Endowment	Total	Total
OFRELIGION	Funds	Funds	2020	2019
			8
Costs ofevents &courses, regional,
divisional, national and group costs:
Direct costs	65,453		65,453	455,084
Staffcosts	1,402,323		1,402,323	1,327,204
Provision offacilities	1,360,391		1,360,391	1,430,730
Publications costs	86,424		86,424	80,064
Shop costs	95,458		95,458	182,489
Other direct costs	27,573		27,573	91,487
Donations to SGI Europe Costs ofthe Centre for Applied				27,054
Buddhism (CfAB)	8,170		8,170	12,153
	3,045,792		3,045,792	3,606,265
Support costs (see note 8)	214,673	141	214,814	239,970
	3,260,465	141	3,260,606	3,846,235
Comparative figures:
COSTSOFTHE ADVANCEMENT	Unrestricted	Endowment	Total
OF RELIGION	Funds	Funds	2019
Costs ofevents 4 courses, regional,		8
divisional, national and group costs:
Direct costs	455,084		455,084
Staffcosts	1,327,204		1,327,204
Provision offacilities	1,430,730		1,430,730
Publications costs	80,064		80,064
Shop costs	182,489		182,489
Other direct costs	91,487		91,487
Donations to SGI Europe	27,054		27,054
Costs ofthe Centre for Applied
Buddhism (CfAB)	12,153		12,153
	3,606,265		3,606,265
Support costs (see note 8)	239,911	59	239,970
	3,846,176	59	3,846,235

SUPPORT &GOVERNANCE	SUPPORT &GOVERNANCE	Support	Governance	Total	Total
COSTS		Costs	Costs	2020	2019
		8		8	8
Staff costs		167,132		167,132	192,079
Auditor's remuneration:
Audit fees			15,665	15,665	15,014
Other fees			1,718	1,718	4,416
Legal and professional	fees	20,319		20,319	17,086
Bank interest, bank charges and other
finance costs		4,285		4,285	5,281
Other indirect costs		5,695		5,695	6,094
		197,431	17,383	214,814	239,970

off.14,100(2019:613,	600).
Comparative figures;
SUPPORT &GOVERNANCE		Support	Governance	Total
COSTS		Costs	Costs	2019
Staffcosts		192,079		192,079
Auditor's remuneration:
Audit fees			15,014	15,014
Other fees			4,416	4,416
Legal and professional	fees	17,086		17,086
Bank interest, bank charges and other
finance costs		5,281		5,281
Other indirect costs		6,094		6,094
		220,540	19,430	239,970

STAFF COSTS
				2020	2019
				No.	No.
The average monthly number ofpersons employed			by
the charitable company	(excluding	non-executive
trustees) during the year	was as follows:
Advancement ofreligion				43	41
Staffcosts for the above	persons:
Wages and salaries				1,246,917	1,243,029
Social security costs				123,581	123,581
Other pension costs				118,130	111,914
Stafftraining and health	insurance			36,523	40,759
				1,525,151	1,519,283

2020
		Pension	Other
	Remuneration	Contributions	Benefits	Total
		f	8
R P Harrap —General Director	64,800	4,768		69,568
RA Samuels —Vice General Director	17,850	1,600	1,767	21,217
KFujii —Vice General Director	38,880	2,861	2,946	44,687
	121,530	9,229	4,713	135,472
2019
		Pension	Other
	Remuneration	Contributions	Benefits	Total
	8	8	g	8
RP Harrap —General Director	64,488	4,745		69,233
RA Samuels —Vice General Director	31,038	3,200	2,242	36,480
K Fujii —Vice General Director	38,693	2,847	2,731	44,271
	134,219	10,792	4,973	149,984

Ornaments	2020	2019
		f.
I January	1,249,650	1,218,850
Revaluation	7,490	30,800
Fair value at 31 December 2020	1,257,140	1,249,650

INVESTMENTS
					2020	2019
Listed investment portfolio					23,524,428	18,667,499
Fixed tenn deposits					7,620,705	11,058,872
Total investments					31,145,133	29,726,371
Investment listed on arecognised			stock exchange,	held
primarily to provide an investment			return, at market
value:
1 January 2020					18,667,499	14,967,764
Additions at cost					5,500,000	10,226,849
Disposal proceeds					(4,000,000)	(9,814,083)
Realised (losses)/gains					(331,216)	591,248
Unrealised (losses)/gains					3,688,145	2,695,721
					23,524,428	18,667,499
Cash held by investment	managers
Fair value at the end ofthe		year			23,524,428	18,667,499
Historical cost at the end	ofthe year				17,818,043	15,989,700
At the balance sheet date,	the market value ofthe
charity's listed investment		portfolio comprised:
UK Investments					23,524,428	18,667,499
Overseas investments
					23,524,428	18,667,499

13.	STOCKS
						2020	2019
	Finished goods		and goods for resale			222,568	271,057
14.	DEBTORS
						2020	2019
						8
	Amounts falling			due within	one year:
	Trade debtors					690	12,385
	Other debtors					19,401	9,877
	Prepayments	and accrued income				222,139	215,665
						242,230	237,927
I'5.	CREDITORS:			AMOUNTS FALLING DUE
	WITHIN ONE			YEAR		2020	2019
	Trade creditors					57,143	115,153
	Other taxation		and social security costs			43,490	41,919
	Accruals					42,858	24,800
						143,491	181,872

FINANCIAL COMMITMEN	T	S
							2020	2019 f
At 31December 2020, the charitable			company	was committed to make the following			total future minimum	payments
under non-cancellable operating		leases:
In respect ofland and building	leases:
Within one year							85,000	85,000
Between one and five years							340,000	340,000
After five years							580,833	665,833
							1,005,833	1,090,833
The current land and buildings	lease		was renegotiated		and finalised	in 2019.
In respect ofplant and machinery		leases:
Within one year							11,006	11,006
Between one and five years							19,665	30,671
							30,671	41,677

19.	THE FUNDS OFTHK CHARITY —comparative	THE FUNDS OFTHK CHARITY —comparative	THE FUNDS OFTHK CHARITY —comparative	THE FUNDS OFTHK CHARITY —comparative	THE FUNDS OFTHK CHARITY —comparative	figures
							Gains/losses	Transfers
				I January			fixed assets k	Between		31 December
				2019	Income	Expenditure	Investments	Funds		2019
						f
	Endowment	funds:
	Commemorative
	Expendable
	Endowment	Fund		26,276,437	108,295	(7,903)	3,286,969	(520,000)		29,143,798
	Unrestricted	income
	Funds:
	General Fund			839,347	2,698,843	(3,846,176)	30,800	993,912		716,726
	Designated	Taplow
	Court Fund			200,000						200,000
	Designated	local
	Centres Fund			500,000						500,000
	Designated	Fixed
	Assets Fund			18,526,158				(473,912)		18,052,246
				20,065,505	2,698,843	(3,846,176)	30,800	520,000		19,468,972
				46,341,942	2,807,138	(3,854,079)	3,317,769			48,612,770
20.	ANALYSIS OF		NKT ASSETSBETWEEN FUNDS
					Tangible
					Fixed		Current	Current		TOTAL
					Assets	Investments	Assets	Liabilities		2020
					g	f	f
	Endowment funds:
	Commemorative		Expendable
	Endowment Fund					3],145,133	913,684		32,058,817
	Unrestricted	income funds:
	General Fund						1,020,755	(143,491)		877,264
	Designated Taplow Court Fund						200,000			200,000
	Designated Local		Centres Fund				500,000			500,000
	Designated Fixed		Assets Fund		17,550,723					17,550,723
	NKT ASSETS				17,550,723	31,145,133	2,634,439	(143,491)	51,186,804

			Tangible
			Fixed		Current	Current	TOTAL
			Assets	Investments	Assets	Liabgities	2019
					8		8
Endowment	funds:
Commemorative		Expendable
Endowment	Fund			29,080,139	63,659		29,143,798
Unrestricted	income funds:
General Fund				646,232	252,366	(181,872)	716,726
Designated	Taplow Court Fund				200,000		200,000
Designated	Local	Centres Fund			500,000		500,000
Designated	Fixed	Assets Fund	18,052,246				18,052,246
NET ASSETS			18,052,246	29,726,371	1,016,025	(181,872)	48,612,770

	During the year trustees donated a total of	824,040(2019:f14,675)to the charity.	824,040(2019:f14,675)to the charity.
22.	RECONCILIATION OF NET (EXPENDITURE)/INCOME		TO NET CASH FLOWS FROM
	OPERATING ACTIVITIES
			2020f	2019 8
	NET MOVEMENT IN FUNDS FOR THE
	REPORTING PERIOD		2,566,544	2,270,828
	Adjustments for:
	Dividends, interest and rents from investments		(100,479)	(128,339)
	(Gains)/losses on listed investments		(3,356,929)	(3,286,969)
	Depreciation charges		563,376	574,870
	Revaluation ofornaments and art collection			(30,800)
	Loss on disposal offixed assets		6,813	12
	Decrease/(increase) in stocks		48,489	60,985
	(Increase)/Decrease in debtors		(4,303)	140,319
	Decrease in creditors		(38,381)	(68,059)
	NET CASH (USED IN)/GENERATED	FROM
	OPERATING ACTIVITES		(314,870)	(467,153)