2020-09-30-accounts - Taqwa Institute

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REGISTERED CHARITY NUMBER: 1131176

TAQWA INSTITUTE

TRUSTEES' REPORT AND

UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2020

TAQWA INSTITUTE

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2020

	Page
Reference and Administrative Details	1
Trustees' Report	2 to 4
Independent Examiner's Report	5
Statement of Financial Activities	6
Statement of Financial Position	7
Notes to the Financial Statements	8 to 12
Detailed Statement of Financial Activities	13

TAQWA INSTITUTE REFERENCE AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 30 SEPTEMBER 2020

Trustees Mrs Arzoo Afzal Mrs Aneesa Soheil Mrs Zainab Ahmed Mrs Aniqa Iram Rashid Principal address Meridian Business Centre King street Oldham OL8 1EZ Registered charity number 1131176 Independent examiner Riley Moss 2018 Limited Chartered Accountants Riley House 183-185 North Road Preston Lancashire PR1 1YQ

Page 1

TAQWA INSTITUTE TRUSTEES' REPORT FOR THE YEAR ENDED 30 SEPTEMBER 2020

The trustees present their report with the financial statements of the charity for the year ended 30 September 2020. The trustees have adopted the provisions of 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 2019).

Objectives and activities

The objectives of the trust as set out in its governing document are:

To advance education for the public benefit by the provision of but not limited to Islamic and secular education; and

To advance religion according to the tenets of the Islamic faith

GENERAL CHARITABLE PURPOSES

Education / training
Religious activities
Economic / community development / employment
Human rights / religious or racial harmony / equality or diversity
Recreation

WHO

Children / young people
Other charities or voluntary bodies
The general public / mankind

HOW

Makes grants to individuals
Provides human resources
Provides buildings / facilities / open space
Provides services

When planning activities for this period, the trustees have considered the commission's guidance on public benefit.

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TAQWA INSTITUTE

TRUSTEES' REPORT FOR THE YEAR ENDED 30 SEPTEMBER 2020

Achievement and performance

The charity continues to fulfil its charitable objectives through its vision, values, ethos and goals.

The Institute's Vision: To be a beacon which builds lives, changes people and holistically affects the community such that each individual can prosper in all walks of life in a way that promotes integration, understanding and tolerance. To ultimately work to be outstanding citizens to make an exemplary society.

Our Values and Ethos: To ensure that we empower, assist and motivate each individual in order to enrich and make positive contributions to their own lives, local society and beyond.

Our Goals: Education and Training to promote intellectual, spiritual, social and physical growth of our community through education that is broad, balanced and applicable for all. To be a beacon for further adult learning via weekly lectures, holding of seminars and annual conferences.

The charity provides the following services for local community and public benefit:

Structured weekend and day courses: To be a centre for children's social activity and affiliated youth programmes via supplementary weekday/weekend school teaching national curriculum for all, one to one tuition, learning provision for those children with additional educational needs, learning provision for those children with visual and hearing impairments, Choir Club, Girls & Lads Club, providing secular education, providing access to learning skills' and short workshops.

Social Welfare: Promoting community cohesion and integration involving the wider community via community fun days, library/learning spaces, regular open community conferences, fitness gym, outreach work, bookshop, outdoor social space, weekday/weekend after school and summer clubs, scouting activities, being readily accessible to other organisations to hold events and functions, health and lifestyle workshops, and working with other charities to support soup kitchens.

Religious and Spiritual: To foster balanced, wholesome, honest individuals who live lives based on God consciousness and who exemplify excellent character in their dealings with other people. To deliver interactive curriculum based education to the Muslim children of Oldham including those with additional educational needs, in-house Chaplain, supplementary evening Islamic school.

Counselling: Our approach is to provide an inclusive environment for all which develops peace, harmony and familiarity that will facilitate the Institute's visions and goals and be a hub of the community. To demonstrate excellence in all areas of work by making use of local resource and research and developing key partnerships with local organisations to help children and families in need.

The charity has increased in the number of parent volunteers in 2018/19 with the establishing of the 101st Oldham Taqwa Institute Scouts initiative and the Parents of Taqwa (POT) group. Over 70 children and 30 volunteers have access skills for life weekly. A series of events through scouting include camping, partnering with the Salford Royal Foundation Trust to deliver Eid gifts to the children's ward, hosting 300 local residents for an Iftar (break a fast) in collaboration with other scouting groups.

The charity partnered with KOGS to deliver workshops around identity and organised a residential youth retreat to Wales for personal, social and emotional development. Young people also continue to volunteer with Ukeff for the needy, destitute and homeless, widening local participation in the community.

In addition to this, our POT group have been meeting weekly to socialise, upskill and gain qualifications through volunteering. Parents are now heavily engaged in the charities objectives and have gained several qualifications including First Aid, Safeguarding, with over 30 formally initiated as Scout leaders. The POT group has been instrumental in raising key funds for the charity on a regular basis.

The Institute began is academic year onsite and had progressed with the number on students on roll to 254 students. Due the pandemic in March 2020 all learning and activity had shifted to online with Institute having significant expenditure on online education packages and accessories. The pandemic had a significant impact upon the activity the charity could carry out, nevertheless, its main function of supplementary education did not entirely cease. Staff underwent a series of trainings to rise to the challenges of teaching online and the charity maintained most of its teaching staff.

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TAQWA INSTITUTE TRUSTEES' REPORT FOR THE YEAR ENDED 30 SEPTEMBER 2020

The Charity received a few grants to support itself and its service user through the pandemic, and we were successfully able to present Covid care packs for over 171 families across the borough as well as holding an end of year parade for families.

The Charity maintained all of its activity online for the rest of the academic year.

Financial review

It is the policy of the charity to maintain unrestricted funds at a level which equate to approximately 12 months unrestricted expenditure. This provides sufficient funds to cover management and administration and support costs.

Structure, governance and management

Governing document

Taqwa Institute is a registered UK Charity constituted on 22 June 2009 under charity number 1131176. It is an unincorporated charity. The governing document is a Trust Deed.

The trustees who served during the period and up to the date of this report are set out on page 1. The trustees have the power to appoint any person to be a trustee in accordance with the provisions of the Trust Deed. An appointed trustee holds office within the limits permitted by law. The charity employs a number of staff and has 1 project manager working voluntarily.

There are informal procedures in place for induction and training of new trustees. Trustees are also encouraged to attend external briefings and training courses.

Trustees' responsibility statement

The trustees are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland"

The law applicable to charities in England and Wales, the Charities Act 2011, Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charity for that period. In preparing those financial statements, the trustees are required to

select suitable accounting policies and then apply them consistently;
observe the methods and principles in the Charity SORP;
make judgements and estimates that are reasonable and prudent;
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. 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.

Approved by order of the board of trustees on 29 July 2021 and signed on its behalf by:

Mrs Aniqa Iram Rashid - Trustee

Page 4

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF TAQWA INSTITUTE

Independent examiner's report to the trustees of Taqwa Institute

I report to the charity trustees on my examination of the accounts of Taqwa Institute (the Trust) for the year ended 30 September 2020.

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 Act and in carrying out my examination I have followed all 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:

accounting records were not kept in respect of the Trust as required by section 130 of the Act; or
the accounts do not accord with those records; or
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.

Farook Patel FCA Riley Moss 2018 Limited Chartered Accountants Riley House 183-185 North Road Preston Lancashire PR1 1YQ

29 July 2021

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TAQWA INSTITUTE

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30 SEPTEMBER 2020

----- Start of picture text -----
2020 2019
Unrestricted Total
funds funds
Notes £ £
Income and endowments from
Donations and legacies 2 152,713 155,064
Other income 39,649 -
Total 192,362 155,064
Expenditure on
Charitable activities 3
Charitable expenditure 146,239 137,455
NET INCOME 46,123 17,609
Reconciliation of funds
Total funds brought forward 100,203 82,594
Total funds carried forward 146,326 100,203
----- End of picture text -----

The notes form part of these financial statements

Page 6

TAQWA INSTITUTE

STATEMENT OF FINANCIAL POSITION 30 SEPTEMBER 2020

----- Start of picture text -----
2020 2019
Unrestricted Total
funds funds
Notes £ £
Fixed assets
Tangible assets 7 65,312 65,312
Current assets
Cash at bank and in hand 114,074 79,346
Creditors
Amounts falling due within one year 8 (33,060) (44,455)
Net current assets 81,014 34,891
Total assets less current liabilities 146,326 100,203
NET ASSETS 146,326 100,203
Funds 9
Unrestricted funds 146,326 100,203
Total funds 146,326 100,203
----- End of picture text -----

The financial statements were approved by the Board of Trustees and authorised for issue on 29 July 2021 and were signed on its behalf by:

Aniqa Iram Rashid - Trustee

The notes form part of these financial statements

Page 7

TAQWA INSTITUTE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 SEPTEMBER 2020

1. Accounting policies

Basis of preparing the financial statements

The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention.

Going concern

Trustees consider that the charitable company has sufficient resources and there are no material uncertainties about the charity's ability to continue. Accordingly, trustees continue to adopt the going concern basis in preparing the financial statements.

Income

All incoming resources are included in the statement of financial activities when the charity is entitled to the income and the amount can be quantified with reasonable accuracy. The following specific policies are applied to particular categories of income:

Voluntary income is received by way of grants, donations and gifts and is included in full in the statement of financial activities when receivable. Grants where entitlement is not conditional on the delivery of a specific performance by the charity, are recognised when the charity becomes unconditionally entitled to the grant.

Donated services and facilities are included at the value to the charity where this can be quantified. The value of services provided by volunteers has not been included.

Gifts donated for resale are included as incoming resources within activities for generating funds when they are sold.

Expenditure

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

Costs of generating funds comprise the costs associated with attracting voluntary income and the costs of trading for fundraising purposes including the charity's shop.

Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.

Support costs are those costs incurred directly in support of expenditure on the objects of the charity and include project management.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Freehold property - No depreciation is charged Fixtures, fittings & equipments - 25% per annum straight line basis

Taxation

The charity is exempt from tax on its charitable activities.

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TAQWA INSTITUTE NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2020

1. Accounting policies - continued

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 particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Hire purchase and leasing commitments

Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease.

2. Donations and legacies

Donations Fees	2020 £ 48,970 103,743 152,713	2019 £ 26,023 129,041 155,064

3. Charitable activities costs

Support Direct costs (see Costs note 4) £ £ Charitable expenditure 46,981 99,258 Support costs Governance Management costs £ £ Charitable expenditure 97,555 1,703	Totals £ 146,239 Totals £ 99,258

4. Support costs

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continued...

TAQWA INSTITUTE

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2020

4. Support costs - continued

Support costs, included in the above, are as follows:

Management

Management
Wages Rates and water Printing, postage and stationery Advertising Sundries Repairs and maintenance	2020 Charitable expenditure £ 87,302 2,012 3,380 875 - 3,986	2019 Total activities £ 66,199 2,255 2,437 11,426 231 1,993
	97,555	84,541
Governance costs Accountancy and legal fees	2020 Charitable expenditure £ 1,703	2019 Total activities £ 1,470

5. Trustees' remuneration and benefits

During the year charity paid remuneration of £10,601 (2019: £11,081) to Arzoo Afzal in addition to their trusteeship. There were no other trustees' remunerations or benefits paid for the year ended 30 September 2020 nor for the year ended 30 September 2019.

Trustees' expenses

There were no trustees' expenses paid for the year ended 30 September 2020 nor for the year ended 30 September 2019.

6. Staff costs

The average monthly number of employees during the year was as follows:

Administration staff Teaching staff	2020 3 22 25	2019 1 20 21

No employees received emoluments in excess of £60,000.

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TAQWA INSTITUTE

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2020

----- Start of picture text -----
7. Tangible fixed assets
Fixtures,
Freehold fittings
property & equipments Totals
£ £ £
Cost
At 1 October 2019 and
30 September 2020 65,312 3,878 69,190
Depreciation
At 1 October 2019 and
-
30 September 2020 3,878 3,878
Net book value
-
At 30 September 2020 65,312 65,312
-
At 30 September 2019 65,312 65,312
8. Creditors: amounts falling due within one year
2020 2019
£ £
Taxation and social security 7,623 1,528
Other creditors 25,437 42,927
33,060 44,455
9. Movement in funds
Net
At movement At
1.10.19 in funds 30.9.20
£ £ £
Unrestricted funds
Unrestricted 100,203 46,123 146,326
TOTAL FUNDS 100,203 46,123 146,326
Net movement in funds, included in the above are as follows:
Incoming Resources Movement
resources expended in funds
£ £ £
Unrestricted funds
Unrestricted 192,362 (146,239) 46,123
TOTAL FUNDS 192,362 (146,239) 46,123
----- End of picture text -----

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TAQWA INSTITUTE

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 30 SEPTEMBER 2020

9. Movement in funds - continued

Comparatives for movement in funds

At 1.10.18 £ Unrestricted funds Unrestricted 82,594 TOTAL FUNDS 82,594 Comparative net movement in funds, included in the above are as follows: Incoming resources £ Unrestricted funds Unrestricted 155,064 TOTAL FUNDS 155,064	Net movement At in funds 30.9.19 £ £ 17,609 100,203 17,609 100,203 Resources Movement expended in funds £ £ (137,455) 17,609 (137,455) 17,609

10. Related party disclosures

There were no related party transactions for the year ended 30 September 2020.

Page 12

TAQWA INSTITUTE

DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30 SEPTEMBER 2020

----- Start of picture text -----
2020 2019
£ £
Income and endowments
Donations and legacies
Donations 48,970 26,023
Fees 103,743 129,041
152,713 155,064
Other income
Job Retention Scheme 29,649 -
Council Grant 10,000 -
-
39,649
Total incoming resources 192,362 155,064
Expenditure
Charitable activities
Operating leases 31,774 42,177
Telephone 2,601 1,055
Charitable expenditure 12,606 8,212
46,981 51,444
Support costs
Management
Wages 87,302 66,199
Rates and water 2,012 2,255
Printing, postage and stationery 3,380 2,437
Advertising 875 11,426
Sundries - 231
Repairs and maintenance 3,986 1,993
97,555 84,541
Governance costs
Accountancy and legal fees 1,703 1,470
Total resources expended 146,239 137,455
Net income 46,123 17,609
----- End of picture text -----

This page does not form part of the statutory financial statements

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