Company registration number: 06953297 Charity registration number: 1132794
International Society For Krishna Consciousness London
(A company limited by guarantee) Annual Report and Financial Statements
for the Year Ended 31 December 2021
KNAV Statutory Auditors Hygeia Building Ground Floor 66-68 College Road Harrow Middlesex HA1 1BE
International Society For Krishna Consciousness London
| Contents | ||
|---|---|---|
| Reference and Administrative Details | 1 | |
| Trustees' Report | 2 to 7 | |
| Statement of Trustees' Responsibilities | 8 | |
| Independent Auditors' Report | 9 to 12 | |
| Statement of Financial Activities | 13 to 14 | |
| Balance Sheet | 15 | |
| Notes to the Financial Statements | 16 to 31 |
International Society For Krishna Consciousness London
Reference and Administrative Details
Trustees
Mrs B Edwards (resigned 16 January 2021) Mr J R Edwards (resigned 1 August 2021) Mr M J P Hayes (resigned 16 January 2021) Mr R G Marks Mr D R Banfield (appointed 16 January 2021) Mr C R Gupta (appointed 16 January 2021)
Secretary
Mrs B Edwards (resigned 1 August 2021) Mrs Michelle Tchoukov (appointed 1 August 2021)
Registered Office
10 Soho Street London W1D 3DL
Company Registration Number
06953297
Charity Registration Number
1132794
Bankers
Lloyds Bank
Auditor
KNAV Statutory Auditors Hygeia Building Ground Floor 66-68 College Road Harrow Middlesex HA1 1BE
Page 1
International Society For Krishna Consciousness London
Trustees' Report
The trustees, who are directors for the purposes of company law, present the annual report together with the financial statements and auditors' report of the charitable company for the year ended 31 December 2021, which are also prepared to meet the requirements for a directors’ report and accounts for Companies Act purposes.
The financial statements comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association, and the Charities Statement of Recommended Practice (“Charities SORP”) (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK; FRS 102).
Objectives and activities
ISKCON-London is guided by the seven purposes that our Founder-Acarya His Divine Grace A.C. Bhaktivedanta Swami Prabhupada established when ISKCON was inaugurated. These purposes stand as our objectives for the charity.
Those purposes are as follows:
-
To systematically propagate spiritual knowledge to society at large and to educate all people in the techniques of spiritual life in order to check the imbalance of values in life and to achieve real unity and peace in the world.
-
To propagate a consciousness of Krishna (God), as it is revealed in the great scriptures of India, Bhagavad-gita and Srimad-Bhagavatam.
-
To bring the members of the Society together with each other and nearer to Krishna, the prime entity, thus developing the idea within the members, and humanity at large, that each soul is part and parcel of the quality of Godhead (Krishna).
-
To teach and encourage the sankirtana movement, congregational chanting of the holy name of God, as revealed in the teachings of Lord Sri Caitanya Mahaprabhu.
-
To erect for the members and for society at large a holy place of transcendental pastimes dedicated to the personality of Krishna.
-
To bring the members closer together for the purpose of teaching a simpler, more natural way of life.
-
With a view towards achieving the aforementioned purposes, to publish and distribute periodicals, magazines, books and other writings.
In order to achieve the above objectives we use the following strategies:
-
Publication and distribution of literature
-
Promotion through other media
-
Public services, festivals, retreats and pilgrimages - which promote spiritual culture
-
The distribution and promotion of sanctified vegetarian food (prasadam)
-
Education in doctrines, training in religious practice: pastoral care
-
Encouraging positive life principles and social engagement through volunteering
-
The opening of new centres / sangas (spiritual gatherings)
-
Youth outreach
-
Fundraising
-
Kirtan (congregational chanting of the names of the Supreme Being)
Page 2
International Society For Krishna Consciousness London
Trustees' Report
Structure, governance and management
Nature of governing document
The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.
Trustees
Mrs B Edwards (resigned 16 January 2021) Mr J R Edwards (resigned 1 August 2021) Mr M J P Hayes (resigned 16 January 2021) Mr R G Marks Mr D R Banfield (appointed 16 January 2021) Mr C R Gupta (appointed 16 January 2021)
Recruitment and appointment of trustees
The power to appoint new trustees is vested in the members of the charity. In considering the recruitment of a new trustee, the members would look to individuals with experience, empathy and knowledge of the charity's work.
Induction and training of trustees
New trustees undergo an orientation to brief them on: their legal obligations under charity and company law, the Charity Commission guidance on public benefit, and inform them of the content of the trust deed. Continuing training for trustees is undertaken through regular meetings, attending relevant seminars, specific discussions with individuals and organisations and briefing papers in the areas supported by the charity.
Financial Review
Financial results
The charity recorded a net income (profit) of £405,821 for the year (2020: net expenditure (loss) of £103,686). The main driver behind the increase in the net income was as a result of being able to open up to the public once again, as the country emerged from the COVID-19 pandemic and lockdown restrictions easing. We have been able to allow visitors on site once again and re-commence some activities which we undertook pre-covid.
Annual Donations
In 2021, we donated £5,000 to the Big Drum Foundation in Canterbury. In 2020, due to the uncertainty of the pandemic, no donations were made during the year.
Funds
The trustees regularly review the charity’s funds and assess how best to use them in line with the charity’s objectives. Though a majority of the donations are received without any restrictions, the trustees will sometimes set aside part of the general funds for specific purposes as outlined below. Only the historic donations included in the "New Temple Fund" below, are restricted funds as they were received for specific purposes.
Page 3
International Society For Krishna Consciousness London
Trustees' Report
| Reserves | Balance as at 31.12.20 |
Balance as at 31.12.21 |
Comments | |
|---|---|---|---|---|
| Property fund | £Nil | £155,000 | This reserve represents funds that have been ring-fenced for future property purchases. |
|
| Nitya Seva | £6,000 | £8,000 | ||
| This was set up with donations from Mr. Martin | ||||
| Benevolent fund | £15,995 | £16,195 | Hayes and Ms. Jaqueline Raymen to assist devotees in dire need, especially our temple |
|
| residents. | ||||
| Restaurant refurbishment |
£42,000 | £66,000 | The reserve increased by £24,000 to help with future refurbishments. |
|
| Deity refurbishment | £43,000 | £67,000 | The reserve increased by £24,000 to help with future refurbishment. |
|
| New temple fund | £126,804 | £126,804 | No change from previous year. | |
| Other funds | £1,773,675 | £1,974,296 | ||
| Total reserves | £2,007,474 | £2,413,295 |
ISKCON London Mortgage
We purchased an investment property: Flat 26, Russell Chambers, Bury Place, London WC1 2JX for £800,000 in 2018. The flat is currently being used as a residence for the former Temple President.
We borrowed £300,000 from Lloyds Bank Plc for a period of 10 years with monthly repayments of around £2,900. The mortgage balance reduced by £27,583 in 2021.
The mortgage balance as at 31 December 2021 £233,635.
The mortgage was fully repaid in July 2022.
ISKCON Dublin Loan
We loaned ISKCON Dublin money to help with emergency refurbishment of their property.
• The amount due from ISKCON Dublin as at 1 January 2021 was £40,356
• The amount due as at 31st December 2021 is £34,493
Other information
We hold “NO” assets on behalf of other individuals and are not affiliated with any other charities. We act as a foster parent charity for both ISKCON Crawley and ISKCON Folkestone.
Neither our centre nor our trustees hold or act as custodian trustees of other organisations. However, the former Temple President James Edwards acts in a management capacity as the Chairman of ISKCON South London.
We are very much dependent on donations in kind and in monetary terms which would be worth £250,000 per annum.
Page 4
International Society For Krishna Consciousness London
Trustees' Report
Overview of Activities 2021 Goals
The goals set in 2020 to be achieved in 2021 have been carried forward as below :
-
To launch a new album from Radha Krishna Records to inspire and attract people through the chanting/kirtan and possibly expand into the on-line YouTube market. This goal was achieved.
-
Development of the Bhakti Yoga London initiative for outreach to the general public in conjunction with LCVS (London College of Vedic Studies) - to make the practice more accessible for the masses of people. This goal was started in 2021.
-
Work with Trustees Advisors on the following projects to develop and strengthen our management infrastructure:
• Have a clear idea of what main areas of ISKCON-London management need attention, to hire staff and engage volunteers to take up the roles with clear service descriptions and guidelines. Some changes were implemented in 2021 and will be worked on in 2022.
• To apply for and acquire our own immigration licence so we can more easily bring in help from abroad if required. This goal was achieved.
- Continue the programme to collaborate with Ahimsa Dairy Foundation in order to move towards a long term goal of creating our own farm community.
• All deity department milk supplied by Ahimsa by the end of 2021 - this will be an increase of about £25k expenditure for milk. This goal was implemented in 2021.
2022 Goals (these goals have been carried forward from 2020) :
-
Development of a preaching initiative for outreach to the general public in conjunction with LCVS (London College of Vedic Studies). The goal is to make the practice more accessible for the masses of people.
-
Work with Trustees Advisors on the following projects to develop and strengthen our management infrastructure:
• Have a clear idea of what main areas of ISKCON-London management need attention, look to hire staff or engage volunteers to take up the roles with clear service descriptions and guidelines.
Carried over Medium to Long Term Goals:
-
The purchase of 7 Bury Place - purchase the original property and use for offices, outreach, housing for senior brahmacaris and LCVS expansion. - We may be looking at £5-8 million investment.
-
The purchase and development of our own property and development of a farm community in Kent. We will be looking at a £1-2 million investment for this.
Risk management
Potential risks to the charity are reviewed and discussed by the Trustees in their meetings and where relevant, are documented in the Trustee minutes. Risk management is embedded at all levels, and the potential risks facing the organisation are identified and documented. The Trustees ensure that for each risk:
-
mitigation procedures are developed
-
responsibilities for implementation and review are assigned
-
the status is monitored on a regular and timely basis.
Page 5
International Society For Krishna Consciousness London
Trustees' Report
Reference and Administrative Details
Trustees
Mrs B Edwards (resigned 16 January 2021) Mr J R Edwards (resigned 1 August 2021) Mr M J P Hayes (resigned 16 January 2021) Mr R G Marks Mr D R Banfield (appointed 16 January 2021) Mr C R Gupta (appointed 16 January 2021)
Secretary
Mrs B Edwards (resigned 1 August 2021) Mrs Michelle Tchoukov (appointed 1 August 2021)
Principal Office
10 Soho Street London W1D 3DL
The charity is incorporated in England and Wales.
Company Registration Number
06953297
Charity Registration Number
1132794
Bankers
Lloyds Bank 32 Oxford Street London W1D 3DL
Auditor
KNAV Statutory Auditors Hygeia Building Ground Floor 66-68 College Road Harrow Middlesex HA1 1BE
Disclosure of information to auditor
Each trustee has taken steps that they ought to have taken as a trustee in order to make themselves aware of any relevant audit information and to establish that the charity's auditor is aware of that information. The trustees confirm that there is no relevant information that they know of and of which they know the auditor is unaware.
Page 6
International Society For Krishna Consciousness London
Trustees' Report
Reappointment of auditor
The auditors KNAV are deemed to be reappointed under section 487(2) of the Companies Act 2006.
29/09/2022 The annual report was approved by the trustees of the charity on .................... and signed on its behalf by:
......................................... Mr C R Gupta
Trustee
Page 7
International Society For Krishna Consciousness London
Statement of Trustees' Responsibilities
The trustees (who are also the directors of International Society For Krishna Consciousness London for the purposes of company law) are responsible for preparing the trustees' report and the financial statements in accordance with the United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) and applicable law and regulations.
Company law requires the trustees to prepare financial statements for each financial year. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the trustees are required to:
-
select suitable accounting policies and apply them consistently;
-
observe the methods and principles in the Charities SORP;
-
make judgements and estimates that are reasonable and prudent;
-
state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
-
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company's transactions and disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Approved by the trustees of the charity on .................... and signed on its behalf by: 29/09/2022
......................................... Mr C R Gupta
Trustee
Page 8
International Society For Krishna Consciousness London
Independent Auditor's Report to the Members of International Society For Krishna Consciousness London
Opinion
We have audited the financial statements of International Society For Krishna Consciousness London (the 'charity') for the year ended 31 December 2021, which comprise the Statement of Financial Activities, Balance Sheet, and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is United Kingdom Accounting Standards, comprising Charities SORP - FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and applicable law (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
-
give a true and fair view of the state of the charity's affairs as at 31 December 2021 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
-
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-
have been prepared in accordance with the requirements of the Companies Act 2006.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:
-
the trustees use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or
-
the trustees have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the charity’s ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue.
Other information
The trustees are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Page 9
International Society For Krishna Consciousness London
Independent Auditor's Report to the Members of International Society For Krishna Consciousness London
Opinion on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
-
the information given in the Chairman's Report and Trustees' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
-
the Chairman's Report and Trustees' Report have been prepared in accordance with applicable legal requirements.
Matters on which we are required to report by exception
In the light of our knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Chairman's Report and the Trustees' Report.
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
-
adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
-
the financial statements are not in agreement with the accounting records and returns; or
-
certain disclosures of trustees remuneration specified by law are not made; or
-
we have not received all the information and explanations we require for our audit.
Responsibilities of trustees
As explained more fully in the Statement of Trustees' Responsibilities (set out on page 8), the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.
Auditor’s responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Page 10
International Society For Krishna Consciousness London
Independent Auditor's Report to the Members of International Society For Krishna Consciousness London
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.
We design our procedures so as to obtain sufficient appropriate audit evidence that the financial statements are not materially misstated due to non-compliance with laws and regulations or due to fraud or error.
We are not responsible for preventing non-compliance and cannot be expected to detect noncompliance with all laws and regulations - this responsibility lies with management with the oversight of the Trustees.
Based on our understanding of the Charity, discussions with management, we identified Companies Act 2006, the Charities Act and Financial Reporting Standard 102 as having a direct effect on the amounts and disclosures in the financial statements.
As part of the engagement team discussion about how and where the Charity’s financial statements may be materially misstated due to fraud, we did not identify any areas with an increased risk of fraud.
Our audit procedures included:
• enquiry of management about the Charity’s policies, procedures and related controls regarding compliance with laws and regulations and if there are any known instances of non-compliance;
• examining supporting documents for all material balances, transactions and disclosures;
• review of the trustee minutes;
• enquiry of management and review and inspection of relevant correspondence with any legal firms;
• evaluation of the selection and application of accounting policies related to subjective measurements and complex transactions;
• analytical procedures to identify any unusual or unexpected relationships;
• testing the appropriateness of journal entries recorded in the general ledger and other adjustments made in the preparation of the financial statements;
• review of accounting estimates for biases.
Owing to the inherent limitations of an audit, there is an unavoidable risk that some material misstatements of the financial statements may not be detected, even though the audit is properly planned and performed in accordance with the ISAs (UK).
The potential effects of inherent limitations are particularly significant in the case of misstatement resulting from fraud because fraud may involve sophisticated and carefully organized schemes designed to conceal it, including deliberate failure to record transactions, collusion or intentional misrepresentations being made to us. A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
Page 11
Internatiollal Society For Krishna Consciouslless Londoll Independellt Auditor's Report to the Members of International Society For Krishll Conseiouslless London ofour report This report is made solely to the charitable company's trustees. &q a body in accord2rt(£ with Chapter 3 of P 16 of the Companies Act 2006. Our audit work has been undertaken so that w¢ Tnight slate to th¢ charity'8 trustees those matters we are r¢quired to state to them in an auditor's report and for no other pwpose. To the fullest extent permitted by law, we do not accept or assutn¢ responsibility to anyone other than the charitabl¢ company #t its trStee$ a5 a body, fot our audit work. foT this report. or for the opinions w¢ have fornied. ingh FCA (Senior behalf of KNAV, atuiory Auditor) tatutory Auditor oran Hyg¢ia Building Ground Floor 668 College Road Ham)w MiddleseK HAI IBE Date.. ¥- Page 12
International Society For Krishna Consciousness London
Statement of Financial Activities for the Year Ended 31 December 2021 (Including Income and Expenditure Account)
| Unrestricted Total |
|
|---|---|
| funds Restricted funds 2021 |
|
| Note | £ £ £ |
| Income and Endowments from: | |
| Donations and legacies 3 |
722,398 - 722,398 |
| Charitable activities 4 |
405,857 - 405,857 |
| Other trading activities 5 |
606,816 - 606,816 |
| Investment income 6 |
33,956 - 33,956 |
| Other income 7 |
199,638 - 199,638 |
| Total income | 1,968,664 - 1,968,664 |
| Expenditure on: | |
| Raising funds 8 |
(650,380) - (650,380) |
| Charitable activities 8 |
(352,121) - (352,121) |
| Tradingactivities 8 |
(527,842) - (527,842) |
| Total expenditure | (1,530,343) - (1,530,343) |
| Netgains/(losses)on investments | (32,500) (32,500) |
| Net expenditure | 405,821 - 405,821 |
| Net movement in funds | 405,821 - 405,821 |
| Reconciliation of funds | |
| Total funds brought forward | |
| 1,880,670 126,804 2,007,474 |
|
| Total funds carried forward 20 |
|
| 2,286,491 126,804 2,413,295 |
Page 13
International Society For Krishna Consciousness London
Statement of Financial Activities for the Year Ended 31 December 2021 (Including Income and Expenditure Account)
| Unrestricted Total |
|
|---|---|
| funds Restricted funds 2020 |
|
| Note | £ £ £ |
| Income and Endowments from: | |
| Donations and legacies 3 |
323,061 - 323,061 |
| Charitable activities 4 |
313,758 - 313,758 |
| Other trading activities 5 |
253,307 - 253,307 |
| Investment income 6 |
26,153 - 26,153 |
| Other income 7 |
289,250 - 289,250 |
| Total income | |
| 1,205,529 - 1,205,529 |
|
| Expenditure on: | |
| Raising funds 8 |
(525,410) - (525,410) |
| Charitable activities 8 |
(221,304) - (221,304) |
| Tradingactivities 8 |
(562,501) - (562,501) |
| Total expenditure | |
| (1,309,215) - (1,309,215) |
|
| Net expenditure | |
| (103,686) - (103,686) |
|
| Net movement in funds | |
| (103,686) - (103,686) |
|
| Reconciliation of funds | |
| Total funds brought forward | |
| 1,984,356 126,804 2,111,160 |
|
| Total funds carried forward 20 |
|
| 1,880,670 126,804 2,007,474 |
All of the charity's activities derive from continuing operations during the above two periods.
The funds breakdown for 2021 and 2020 is shown in note 20.
Page 14
International Society For Krishna Consciousness London
(Registration number: 06953297) Balance Sheet as at 31 December 2021
| 2021 2020 |
|
|---|---|
| Note | £ £ |
| (As restated) | |
| Fixed assets | |
| Tangible assets 13 |
963,585 1,040,977 |
| Investments 14 |
535,643 568,143 |
| 1,499,288 1,609,120 |
|
| Current assets | |
| Stocks 15 |
62,180 66,289 |
| Debtors 16 |
368,106 377,959 |
| Cash at bank and in hand | 1,035,379 484,498 |
| 1,465,665 928,746 |
|
| Creditors: Amounts falling due within oneyear 17 |
|
| (346,007) (303,813) |
|
| Net current assets | |
| 1,119,658 624,933 |
|
| Total assets less current liabilities | |
| 2,618,886 2,234,053 |
|
| Creditors: Amounts falling due after more than oneyear 18 |
|
| (205,591) (226,579) |
|
| Netassets | |
| 2,413,295 2,007,474 |
|
| Funds of the charity: | |
| Restricted income funds | |
| Restricted funds | 126,804 126,804 |
| Unrestricted income funds | |
| Unrestricted funds | 2,286,491 1,880,670 |
| Total funds 20 |
|
| 2,413,295 2,007,474 |
The financial statements on pages 16 to 31 are prepared in accordance with the special provisions of Part 15 of the Companies Act relating to small companies and constitute the annual accounts required by the Companies Act 2006. The financial statements were approved by the trustees, and authorised for issue on ........................ 29/09/2022 and signed on their behalf by:
......................................... Mr C R Gupta
Trustee
Page 15
International Society For Krishna Consciousness London
Notes to the Financial Statements for the Year Ended 31 December 2021
1 Charity status
The charity is limited by guarantee, incorporated in England and Wales, and consequently does not have share capital. Each of the trustees is liable to contribute an amount not exceeding £1 towards the assets of the charity in the event of liquidation.
The address of its registered office is: 10 Soho Street London W1D 3DL
Authorised for issue date
2 Accounting policies
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
The financial statements have been prepared in accordance with Accounting and Reporting Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Ireland (FRS 102) (issued in October 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). They also comply with the Companies Act 2006 and Charities Act 2011.
Basis of preparation
International Society For Krishna Consciousness London meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.
The functional and presentational currency is GBP Sterling (£), being the currency of the primary economic environment in which the charity operates in. The amounts are presented rounded to the nearest pound.
Going concern
The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern nor any significant areas of uncertainty that affect the carrying value of assets held by the charity. Though the charity's activities and fund raising capabilities have reduced as a result of Covid-19, the charity was still able to raise sufficient funds to meet its expenditure needs. The trustees also believe there will be no long lasting impact on the charity as the Covid-19 restrictions ease. As such, these financial statements have been prepared on a going concern basis.
Summary of disclosure exemptions
In preparing these financial statements, the charity has taken advantage of the exemption from disclosing certain financial instrument disclosures and the preparation of the cash flow statement as this information is included within the consolidated financial statements of the parent charity, International Society for Krishna Consciousness Limited.
Page 16
International Society For Krishna Consciousness London
Notes to the Financial Statements for the Year Ended 31 December 2021
Name of parent of group
These financial statements are consolidated in the financial statements of International Society for Krishna Consciousness Limited.
The financial statements of International Society for Krishna Consciousness Limited may be obtained from Oak House, 1 Watford Road, Radlett, Hertfordshire, WD7 8LA.
Income
Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item(s) of income have been met, it is probable that the income will be received and the amount can be measured reliably.
Donations and grants are recognised when receivable. In the event that a donation is subject to fulfilling performance conditions before the charity is entitled to the funds, the income is deferred and not recognised until it is probable that those conditions will be fulfilled in the reporting period.
Income from Gift Aid tax reclaims is recognised where the donor has confirmed that gift aid can be claimed on their donation. Any amounts of Gift Aid not received by the year-end are accounted for in income and accrued income in debtors.
Income from Government and other grants, whether ‘capital’ grants or ‘revenue’ 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. In respect of the furlough grant; all conditions, with respect to the eligible costs being claimed, need to be met.
For legacies, entitlement is taken on a case by case basis as the earlier of the date on which: 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 executor’s intention to make a distribution.
If the legacy is in the form of an asset other than cash or an asset listed on a recognised stock exchange, recognition is subject to the value of the asset being able to be reliably measured and title to the asset has passed to the charity. Where legacies have been notified to the 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.
Sponsorship from events, fundraising and events registration fees are recognised in income when the income is received. Income received in advance for a future fundraising event or for a grant received relating to the following year are deferred until the criteria for income recognition are met.
Other trading activities
Revenue from the sale of goods is recognised when all the following conditions are satisfied:
-
the company has transferred to the buyer the significant risks and rewards of ownership of the goods;
-
the company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;
-
the amount of revenue can be measured reliably;
-
it is probable that the economic benefits associated with the transaction will flow to the company; and
-
the costs incurred or to be incurred in respect of the transition can be measured reliably.
Page 17
International Society For Krishna Consciousness London
Notes to the Financial Statements for the Year Ended 31 December 2021
Specifically, revenue from the sale of goods is recognised when the goods are delivered and legal title has passed.
Investment income
Income from investment properties represents the rents receivable during the period. The income is recognised on a straight-line basis over the respective lease term.
Expenditure
All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Other support costs are allocated based on the spread of staff costs.
All resources expended are inclusive of irrecoverable VAT.
Raising funds
These are costs incurred in attracting voluntary income, the management of investments and those incurred in trading activities that raise funds.
Charitable activities
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.
Other expenditure
Other expenditure represents those items not falling into any other heading.
Support costs
Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include administration costs, finance, personnel, payroll and governance costs which support the charities. These costs have been allocated between cost of raising funds and expenditure on charitable activities.
Irrecoverable VAT
Irrecoverable VAT is charged against the category of resources expended for which it was incurred.
Taxation
The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
Page 18
International Society For Krishna Consciousness London
Notes to the Financial Statements for the Year Ended 31 December 2021
Tangible fixed assets
Individual fixed assets costing £500.00 or more are initially recorded at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
Depreciation and amortisation
Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows:
| Asset class | Depreciation method and rate |
|---|---|
| Long leasehold properties | Over the period of the lease; charged full in year acquired |
| Leasehold improvements | 10% on cost; charged full in year acquired |
| Plant and machinery | 20% on cost; charged full in year acquired |
| Motor vehicles | 25% reducing balance basis; charged full in year acquired |
Investment properties
Investment properties are carried at fair value and are held to earn rentals, capital appreciation or both. Fair value is determined annually by the trustees of the charity using available market prices for comparable real estate and by external valuers as required. Changes in the fair value are recognised through the profit and loss.
Stock
Stock is included at the lower of cost or net realisable value.
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. Accrued income is included at the best estimate of the amounts receivable at the balance sheet date.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the charity does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Borrowings
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of
Page 19
International Society For Krishna Consciousness London
Notes to the Financial Statements for the Year Ended 31 December 2021
Borrowings (cont.)
transaction costs, and the amount due on redemption being recognised as a charge to the Statement of Financial Activities over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the charity has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
Fund structure
Unrestricted income funds are general funds that are available for use at the trustees’ discretion in furtherance of the objectives of the charity.
Restricted funds are funds of the charity restricted for specific purposes being undertaken by the charity. The cost of raising and administering such funds are charged against the specific fund. The aim and use of each material designated and restricted fund is set out in the notes to the financial statements.
Pensions and other post retirement obligations
The charity operates a defined contribution pension scheme. Fixed contributions are paid into a pension fund by the charity. The charity has no legal or constructive obligation to pay additional contributions to the fund, if there is insufficient funds to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised in the Statement of Financial Activities when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Financial instruments
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.
3 Income from donations and legacies
| 3 Income from donations and legacies |
|
|---|---|
| Unrestricted | |
| funds | |
| Total Total |
|
| General 2021 2020 |
|
| £ £ £ |
|
| Donations and legacies; | |
| Donations | 499,318 499,318 267,120 |
| Legacies | 117,226 117,226 - |
| Gift aid reclaimed | 105,854 105,854 55,941 |
| 722,398 722,398 323,061 |
Page 20
International Society For Krishna Consciousness London
Notes to the Financial Statements for the Year Ended 31 December 2021
4 Income from charitable activities
Unrestricted funds
| Total | Total | ||
| General | 2021 | 2020 | |
| £ | £ | £ | |
| Charitable activities; | |||
| Festivals | 78,096 78,096 52,596 |
||
| Food for Life | 39,833 39,833 45,503 |
||
| Sankirtan and other fundraisingactivities | 287,929 287,929 215,659 |
||
| 405,857 405,857 313,758 |
5 Income from other trading activities
| 5 Income from other trading activities |
|
|---|---|
| Unrestricted | |
| funds | |
| Total Total |
|
| General 2021 2020 |
|
| £ £ £ |
|
| Trading income; | |
| Shop income | 113,592 113,592 59,165 |
| Restaurant and cateringincome | 493,224 493,224 194,142 |
| 606,816 606,816 253,307 |
In the 2020 comparative period, it should be noted that the restaurant was closed for six months due to Covid-19 restrictions, which resulted in the restaurant income being much lower than when operating normally. In 2021 restrictions were still in place, which meant the restaurant did not trade as normal throughout the year.
Shop income : Atma Lounge £41,289 (2020: £20,781), Radha's Boutique £58,814 (2020: £27,235) Radha Krishna Records £13,489 (2020: £11,149).
6 Investment income
| 6 Investment income |
|
|---|---|
| Unrestricted | |
| funds | |
| Total Total |
|
| General 2021 2020 |
|
| £ £ £ |
|
| Interest receivable and similar income; | |
| Interest receivable on bank deposits | 5 5 17 |
| Propertyrental income | 33,951 33,951 26,136 |
| 33,956 33,956 26,153 |
Page 21
International Society For Krishna Consciousness London
Notes to the Financial Statements for the Year Ended 31 December 2021
7 Other income
| 7 Other income |
|
|---|---|
| Unrestricted | |
| funds | |
| Total Total |
|
| General 2021 2020 |
|
| £ £ £ |
|
| Grant income | 199,638 199,638 289,250 |
Grant income above represents monies received as part of the Coronavirus Job Retention Scheme and monies received as rebates for business rates and business restart grants.
8 Expenditure on raising funds
a) Costs of generating donations and legacies
| a) Costs of generating donations and legacies | |||
|---|---|---|---|
| Unrestricted | |||
| funds | |||
| Total | Total | ||
| General | 2021 | 2020 | |
| £ | £ | £ | |
| Bhoga | 124,624 | 124,624 | 95,994 |
| Light and Heat | 12,136 | 12,136 | 9,629 |
| Other expenses | 114,246 | 114,246 | 105,134 |
| Postage and stationary | 13,310 | 13,310 | 10,677 |
| Property expenditure | 217,026 | 217,026 | 174,377 |
| Support costs and other professional fees | 126,481 | 126,481 | 81,613 |
| Telephone and internet | 10,888 | 10,888 | 10,185 |
| Travel and vehicle expenses | 31,669 | 31,669 | 37,801 |
| 650,380 | 650,380 | 525,410 |
Page 22
International Society For Krishna Consciousness London
Notes to the Financial Statements for the Year Ended 31 December 2021
b) Cost of charitable activities
| b) Cost of charitable activities | |||
|---|---|---|---|
| Unrestricted | |||
| funds | |||
| Total | Total | ||
| General | 2021 | 2020 | |
| £ | £ | £ | |
| Food for Life | 40,858 | 40,858 | 39,020 |
| Sankirtan and other fundraising activities | 282,031 | 282,031 | 175,934 |
| Festivals | 29,232 | 29,232 | 6,350 |
| 352,121 | 352,121 | 221,304 |
c) Costs of trading activities
| c) Costs of trading activities | |
|---|---|
| Unrestricted | |
| funds | |
| Total Total |
|
| General 2021 2020 |
|
| £ £ £ |
|
| Shop | 119,477 119,477 65,896 |
| Restaurant and catering | 408,365 408,365 496,605 |
| 527,842 527,842 562,501 |
9 Net incoming/outgoing resources
Net (outgoing)/incoming resources for the year include:
| 9 Net incoming/outgoing resources Net (outgoing)/incoming resources for the year include: |
|
|---|---|
| 2021 2020 |
|
| £ £ |
|
| Loss on disposal of fixed assets held for the charity's own use | 19,762 6,671 |
| Depreciation – owned assets | 62,336 77,597 |
| Auditors’ remuneration | 6,000 6,500 |
| Finance charges payable (mortgage interest) | 11,821 10,768 |
Page 23
International Society For Krishna Consciousness London
Notes to the Financial Statements for the Year Ended 31 December 2021
10 Trustees remuneration and expenses
During 2021, Mr James Edwards received a salary from the charity as well as rent and other expenses paid on his behalf, up until his resignation as Temple President and Trustee on 1 August 2021. He is not on the temple bonus scheme and does not receive remuneration for any overtime. The expenses reimbursed are incurred for the performance of temple duties.
The total salary and expenses paid to Mr James Edwards to 31 July 2021 was £14,519 (2020: £21,127).
Mr Dale Banfield was appointed as Trustee on 16 January 2021 and appointed as Temple President on 1 August 2021. From 16 January 2021, the charity paid on his behalf, Mr Dale Banfield’s rent and other expenses of £13,934. These expenses were incurred for the performance of temple duties.
There were no other trustees' expenses paid for the year ended 31 December 2021, nor for the year ended 31 December 2020.
11 Staff costs
The aggregate payroll costs were as follows:
| 11 Staff costs The aggregate payroll costs were as follows: |
|
|---|---|
| 2021 2020 |
|
| £ £ |
|
| Staff costs during the year were: | |
| Wages and salaries | 444,199 431,443 |
| National Insurance | 23,892 21,131 |
| Pension costs | 6,915 13,421 |
| Otherstaffcosts | 2,825 865 |
| 468,092 466,860 |
The monthly average number of persons (including senior management team) employed by the charity during the year expressed as full time equivalents was as follows:
| the year expressed as full time equivalents was as follows: | |
|---|---|
| 2021 2020 |
|
| No No |
|
| Charitable work | 26 33 |
| Administration | 6 6 |
| 32 39 |
No employee received emoluments of more than £60,000 during the year.
Page 24
International Society For Krishna Consciousness London
Notes to the Financial Statements for the Year Ended 31 December 2021
12 Taxation
The company is limited by guarantee and a registered charity. The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 Finance Act 2010 and therefore it meets the definition of a charitable company for UK Corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
13 Tangible fixed assets
| Long Leasehold £ Plant and machinery £ Motor vehicles £ Total £ (As restated) 1,188,663 64,540 124,472 1,377,675 4,706 4,706 (56,021) (14,806) (9,581) (80,408) 1,132,642 54,440 114,891 1,301,973 229,160 58,847 48,691 336,698 40,812 3,337 18,188 62,336 (40,349) (13,747) (6,551) (60,646) 229,623 48,437 60,328 338,388 903,019 6,003 54,563 963,585 959,503 5,693 75,781 1,040,977 |
|
|---|---|
| Cost | |
| At 1 January 2021 | |
| Additions | |
| Disposals | |
| At 31 December 2021 | |
| Depreciation | |
| At 1 January 2021 | |
| Charge for the year | |
| Eliminated on | |
| disposals | |
| At 31 December 2021 | |
| Net book value | |
| At 31 December 2021 | |
| At 31 December 2020 |
Of the Long Leasehold assets, £800,000 has been used as security against the charity's outstanding bank mortgage on Bury Place (refer to note 18).
The tangible fixed assets have been restated to show the investment property separately as investments as opposed to disclosing the property as tangible fixed assets (refer to note 14). There have been no changes to the previously reported values of the investment property and tangible fixed assets.
Page 25
International Society For Krishna Consciousness London
Notes to the Financial Statements for the Year Ended 31 December 2021
14 Investments
| 14 Investments |
|
|---|---|
| Investment | |
| properties Total |
|
£ £ |
|
| Market value at 1 January 2021 | 568,143 568,143 |
| Unrealisedgains/(losses) | (32,500) (32,500) |
| Market value at 31 December 2021 | 535,643 535,643 |
| 15 Stock |
|
| 2021 2020 |
|
| £ £ |
|
| Finishedgoods | 62,180 66,289 |
| 16 Debtors |
|
| 2021 2020 |
|
| £ £ |
|
| Trade debtors | 2,778 399 |
| Due from group undertakings | 260,310 260,310 |
| Other debtors | 65,557 75,866 |
| Prepayments and accrued income | 39,461 41,384 |
| 368,106 377,959 |
The amount due from group undertakings was £260,310 (2020: £260,310), which are receivable after more than one year; these amounts are unsecured and interest free. Other debtors that are recoverable after more than one year total £28,193 (2020: £35,631).
Page 26
International Society For Krishna Consciousness London
Notes to the Financial Statements for the Year Ended 31 December 2021
17 Creditors: amounts falling due within one year
| 17 Creditors: amounts falling due within one year |
|||
|---|---|---|---|
| 2021 | 2020 | ||
| £ | £ | ||
| Bank loans | 28,044 | 34,639 | |
| Trade creditors | 72,139 | 38,031 | |
| Due to group undertakings | 147,875 | 167,397 | |
| Other taxation and social security | 34,159 | 18,842 | |
| Other creditors | 41,203 | 32,082 | |
| Accruals | 22,587 | 12,822 | |
| 346,007 | 303,813 | ||
The amount due to group undertakings are unsecured, interest free and repayable on demand.
18 Creditors: amounts falling due after one year
| 18 Creditors: amounts falling due after one year |
|
|---|---|
| 2021 2020 |
|
| £ £ |
|
| Bank loans | 205,591 226,579 |
There are 7.5 years left on the bank loan, which has an annual interest rate charge of the (Bank of England) base rate plus a margin of 2.75%. The charity expects to repay £28k towards the outstanding principal in the coming year, £112k towards the principal amounts outstanding between years 2 to 5 and the balance thereafter, till June 2029.
The loan is secured against the leasehold land and buildings at Flat 26, Russell Chambers Bury Place, London, bought for £800,000.
Subsequent to the year end, a decision was taken by the charity to repay the entire bank loan.
19 Pension and other schemes
Defined contribution pension scheme
The charity operates a defined contribution pension scheme. Contributions payable by the charity to the scheme during 2021 total £6,915 (2020: £6,898). At the year end, £1,824 (2020: £1,227) remains payable to the pension scheme.
Page 27
International Society For Krishna Consciousness London
Notes to the Financial Statements for the Year Ended 31 December 2021
20 Funds
Analysis of movement in funds
| Balance at 1 January 2021 £ Incoming resources £ Resources expended £ Gains and losses £ Transfers £ Balance at 31 December 2021 £ 1,880,670 1,968,664 (1,530,343) - (312,195) 2,006,796 - - - (32,500) - (32,500) 1,880,670 1,968,664 (1,530,343) (32,500) (312,195) 1,974,296 - - - - 155,000 155,000 - - - - 8,000 8,000 - - - - 16,195 16,195 - - - - 66,000 66,000 - - - - 67,000 67,000 - - - - 312,195 312,195 1,880,670 1,968,664 (1,530,343) (32,500) - 2,286,491 126,804 - - - - 126,804 2,007,474 1,968,664 (1,530,343) (32,500) - 2,413,295 |
Balance at 1 January 2021 £ Incoming resources £ Resources expended £ Gains and losses £ Transfers £ Balance at 31 December 2021 £ 1,880,670 1,968,664 (1,530,343) - (312,195) 2,006,796 - - - (32,500) - (32,500) 1,880,670 1,968,664 (1,530,343) (32,500) (312,195) 1,974,296 - - - - 155,000 155,000 - - - - 8,000 8,000 - - - - 16,195 16,195 - - - - 66,000 66,000 - - - - 67,000 67,000 - - - - 312,195 312,195 1,880,670 1,968,664 (1,530,343) (32,500) - 2,286,491 126,804 - - - - 126,804 2,007,474 1,968,664 (1,530,343) (32,500) - 2,413,295 |
|
|---|---|---|
| Unrestricted funds | ||
| General funds | ||
| General | ||
| Revaluation reserve | ||
| Total general funds | ||
| Designated funds | ||
| Property fund | ||
| Nitya Seva | ||
| Benevolent fund | ||
| Restaurant refurbishment | ||
| Deity refurbishment | ||
| Total designated funds | ||
| Total unrestricted funds | 1,880,670 1,968,664 (1,530,343) (32,500) - |
|
| Restricted funds | ||
| New temple fund | ||
| 126,804 - - - - |
||
| Total funds | ||
| 2,007,474 1,968,664 (1,530,343) (32,500) - |
Analysis of movement in funds in the previous year
| Balance at 1 Incoming Resources Balance at 31 |
|
|---|---|
| January 2020 resources expended December 2020 |
|
£ £ £ £ |
|
| Unrestricted funds | |
| General | |
| 1,984,356 1,205,529 (1,309,215) 1,880,670 |
|
| Restricted funds | |
| 126,804 - - 126,804 |
|
| Total funds | |
| 2,111,160 1,205,529 (1,309,215) 2,007,474 |
Page 28
International Society For Krishna Consciousness London
Notes to the Financial Statements for the Year Ended 31 December 2021
20 Funds (cont.)
Unrestricted funds
General funds
General funds: This represents funds that can be freely used by the charity to meet its objectives.
Revaluation reserve: This represents accumulated unrealised gains and losses on the charity’s investment properties.
Designated funds
Property fund: This reserve represents funds that have been ring-fenced for future property purchases.
Benevolent fund: This was set up with donations from Mr. Martin Hayes and Ms. Jaqueline Raymen to assist devotees in dire need, especially our temple residents.
Restaurant refurbishment: This fund represents monies that have been ring-fenced for the refurbishment of the Govinda restaurant in London.
Deity refurbishment: This fund represents monies that have been ring-fenced for the refurbishment of the temple in Soho.
Restricted funds
New temple fund: The restricted funds above relate to donations received specifically for a new temple.
Page 29
International Society For Krishna Consciousness London
Notes to the Financial Statements for the Year Ended 31 December 2021
21 Analysis of net assets between funds
Current year
| 21 Analysis of net assets between funds Current year |
|
|---|---|
| Unrestricted | |
| funds Restricted funds Total funds |
|
| £ £ £ |
|
| Tangible fixed assets | 963,585 - 963,585 |
| Investments | 535,643 - 535,643 |
| Current assets | 1,338,860 126,804 1,465,664 |
| Current liabilities | (346,007) - (346,007) |
| Creditors over 1year | (205,591) - (205,591) |
| Total net assets | |
| 2,286,491 126,804 2,413,295 |
Prior year
| Prior year | |
|---|---|
| Unrestricted | |
| funds Restricted funds Total funds |
|
| £ £ £ |
|
| (As restated) (As restated) |
|
| Tangible fixed assets | 1,040,977 - 1,040,977 |
| Investments | 568,143 - 568,143 |
| Current assets | 801,942 126,804 928,746 |
| Current liabilities | (296,606) - (296,606) |
| Creditors over 1year | (233,786) - (233,786) |
| Total net assets | |
| 1,880,670 126,804 2,007,474 |
Refer to note 13 for details of the restatement.
22 Related party transactions
International Society for Krishna Consciousness London and International Society for Krishna Consciousness Limited
The International Society for Krishna Consciousness London purchased books for the amount of £91,887 (2020: £69,312) from the International Society for Krishna Consciousness Limited, a charity incorporated in England and Wales. Further, International Society for Krishna Consciousness Limited recharged affiliation fees and premises insurance to International Society for Krishna Consciousness London of £28,883 (2020: £24,789).
At 31 December 2021, the International Society for Krishna Consciousness London owed International Society for Krishna Consciousness Limited £725 (2020: £8,743) for purchases. International Society for Krishna Consciousness Limited owed International Society for Krishna Consciousness London £260,310 (2020: £260,310) for the payments made to purchase freehold property.
Page 30
International Society For Krishna Consciousness London
Notes to the Financial Statements for the Year Ended 31 December 2021
23 Related party transactions (cont.)
In the prior year, International Society for Krishna Consciousness Limited made a loan of £161,400 to International Society for Krishna Consciousness London, relating to a property in Crawley. The balance of this loan at 31 December 2021 was £147,150 (2020: £154,400).
The International Society for Krishna Consciousness London is considered to be a subsidiary of the International Society for Krishna Consciousness Limited.
International Society for Krishna Consciousness London and International Society for Krishna Consciousness Bhaktivedanta Manor Limited
The International Society for Krishna Consciousness London purchased BTG Magazines for £4,500 (2020: £4,819) from the International Society for Krishna Consciousness Bhaktivedanta Manor Limited, a charity incorporated in England and Wales.
At 31 December 2021, the International Society for Krishna Consciousness London owed £Nil (2020: £4,254) to the International Society for Krishna Consciousness Bhaktivedanta Manor Limited.
The International Society for Krishna Consciousness Bhaktivedanta Manor Limited is considered to be a subsidiary of the International Society for Krishna Consciousness Limited.
International Society for Krishna Consciousness London and Bhaktivedanta Manor Limited
The International Society for Krishna Consciousness London made purchases of Goshala Milk for £5,600 (2020: £8,018) from Bhaktivedanta Manor Limited, a trading company incorporated in England and Wales.
At 31 December 2021, the International Society for Krishna Consciousness London owed £400 (2020: £Nil) to Bhaktivedanta Manor Limited.
Bhaktivedanta Manor Limited is considered to be a subsidiary of International Society for Krishna Consciousness Bhaktivedanta Manor Limited.
24 Parent and ultimate parent undertaking
The trustees consider the International Society for Krishna Consciousness Limited (registered company number 00962009), a charity incorporated within the United Kingdom as the Ultimate controlling party.
Copies of the consolidated financial statements of International Society for Krishna Consciousness Limited are available upon request from:
Oak House 1 Watford Road Radlett Hertfordshire WD7 8LA
Page 31