REGISTERED COMPANY NUMBER: 07117137 (England and Wales) REGISTERED CHARITY NUMBER: 1135657
**ANNUAL REPORT** 2022/2023
MAJLIS KHUDDAMUL AHMADIYYA (UK) (A COMPANY LIMITED BY GUARANTEE) TRUSTEES’ REPORT AND
AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023
WWW.KHUDDAM.ORG.UK
MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **CONTENTS OF FINANCIAL STATEMENTS FOR YEAR ENDED 31 OCT 2023**
|**Reference and Administrative Details**|2|
|---|---|
|**Trustees’ Report**|3-15|
|**Report of the Independent Auditor**|16-20|
|**Statement of Financial Activities**|21|
|**Statement of Financial Position**|22|
|**Statement of Cash Flows**|23|
|**Notes to Financial Statements**|24-36|
MAJLIS KHUDDAMUL AHMADIYYA UK | REPORT FOR THE YEAR ENDED 31 OCTOBER 2023
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **REFERENCE AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 31 OCTOBER 2023**
**TRUSTEES** Abdul Quddus Arif (Chairman) Luqman Ahmad Bajwa Sabah-Ul-Nassar Ahmad Tauseef Ahmed
**COMPANY SECRETARY** Tauseef Ahmed **REGISTERED OFFICE** Aiwan-E-Mahmood Unit 2, Bourne Mill Business Park, Centre Park Farnham Surrey GU9 9PS
**REGISTERED COMPANY NUMBER** 07117137 (England and Wales) **REGISTERED CHARITY NUMBER** 1135657 **AUDITOR** CapShire Audit Ltd 86-90 Paul Street London EC2A 4NE
**BANKERS** NatWest Plc 1000 Cathedral Square, Cathedral Hill, Guildford Surrey GU2 7YL
MAJLIS KHUDDAMUL AHMADIYYA UK | REPORT FOR THE YEAR ENDED 31 OCTOBER 2023
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **TRUSTEES’ REPORT FOR THE YEAR ENDED 31 OCTOBER 2023**
The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 October 2023. 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).
## OBJECTIVES AND ACTIVITIES
## **OBJECTIVES**
Each year the trustees review the objectives and activities of the charity to ensure they continue to reflect the charity’s aims. Following are the overarching objectives of the charity which remains unchanged:
1. The advancement of the Muslim faith worldwide as expounded by Hazrat Mirza Ghulam Ahmad[as] of Qadian, the Promised Messiah and the founder of the Ahmadiyya Muslim Community and interpreted by any of his successors known as Caliph. The present Caliph is Hazrat Mirza Masroor Ahmad, Khalifatul-Masih V[aba] .
2. The advancement of Islamic education through the provision of lectures, seminars and discussion forums.
3. To provide or assist in the provision of facilities in the interests of social welfare for recreation or other leisure time occupation of individuals who have need of such facilities by reason of their youth, age infirmity or disability, financial hardship, or social circumstances with the objective of improving their conditions of life.
4. Any other charitable purpose as the trustees may from time to time determine.
## **ACTIVITIES**
The following are some of the activities carried out by the charity this year to achieve our goals and benefit the public:
- Members were educated and encourage to participate in MKA’s activities through various outreach programs, events, workshops, seminars and publications.
- Various activities focused on student members were organised in the year including an annual retreat, exhibitions and conferences for specialist subjects such as medicine and engineering.
- The publications and communications team worked on various projects during the year including publication of a new book, releasing promotional material and covering national events throughout the year. The MKA App went through a significant development program and was released in the year.
- Charitable activities including various disaster relief programmes and Blood Drives. A 24-hour football marathon
was organised in conjunction with Watford FC.
- Various outreach activities were organised including the Big Iftar event which was attended by over 850 guests. Members of MKA supported the National Tabligh department in providing operational support including setup, windup, parking support and food serving. The event incorporated various speeches and exhibitions for guests to enjoy. The outreach team also organised a trip to Guatemala for a number of individuals to support local members with various outreach activities.
- MKA UK worked very closely with the Mubarak Mosque administration to hold an amazing event in Mubarak Mosque to celebrate the King’s Coronation and to celebrate Eid.
- Various fundraising activities were organised for partner charities including supporting building of an intensive Care Unit and a Model Village in Gambia.
MAJLIS KHUDDAMUL AHMADIYYA UK | REPORT FOR THE YEAR ENDED 31 OCTOBER 2023
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2023**
OBJECTIVES AND ACTIVITIES
**PUBLIC BENEFIT**
In shaping our objectives for the year and planning our activities, the trustees have considered the Charity Commission guidance on public benefit and believe that the Majlis meets the necessary
requirements. The remainder of this report and the separate Annual Report clearly illustrate the benefit to the public at large from the activities undertaken by the charity.
The Majlis promotes an equal awareness of its members to improving both spiritual and physical environment. There is a comprehensive plan for sustainable and constant educating,
**ENVIRONMENTAL RESPONSIBILITY**
training and reformation of members to aspire to higher moral values.
## **GRANT MAKING**
Grants or donations are made to a chosen organisation whose activities support the charity s objectives. Following are some of the prominent charities that were chosen by the trustees to be funded.
projects all over the world. Trustees of the charity have therefore chosen AMJ as its largest beneficiary organisation.
- As-shirkatul Islamiyah (ASI)
- Ahmadiyya Muslim Jamaat (AMJ)
- Humanity first UK (HF)
AMJ has activities and projects which are very similar to those of the charity and is managing a large number of charitable
Throughout the year AMYA UK seeks to portray the true face of Islam via trips abroad as well as releasing numerous videos on social media, such as on platforms like Youtube. Opposite photo shows the newly made studios in Aiwan-e-Mahmood.
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2023 STRATEGIC REPORT**
During the year Majlis Khuddamul Ahmadiyya (UK) has successfully purchased a property located in Elstead, Surrey. The property has been named “Sara-e-Masroor.”
**ACHIEVEMENT AND PERFORMANCE**
This acquisition marks a significant milestone for MKA UK. Sara-e-Masroor will serve as a dedicated guest house for Majlis Khuddamul Ahmadiyya (UK). This new facility will play a vital role
**PURCHASE OF PROPERTY**
A house visit campaign saw over 1,500 homes visited, fostering personal connections with over 2,650 members of the community.
**COMMUNITY ENGAGEMENT AND CHARITY INITIATIVES**
in accommodating guests, facilitating events, and supporting our community activities.
We are excited about the opportunities this property presents and believe that it will greatly benefit Majlis Khuddamul Ahmadiyya (UK) in fulfilling its mission and serving the community more effectively.
Atfal (younger youth members) raised funds towards the Atfal Charity Challenge Gambia Model Village Project, demonstrating their commitment to humanitarian causes.
The Mercy4Mankind Campaign raised substantial funds for local and national charities, including the completion of funding for the ICU at the Masroor Centre for Healthcare in Ivory Coast.
**INTERNATIONAL OUTREACH AND HUMANITARIAN EFFORTS**
## **EDUCATIONAL AND DEVELOPMENTAL PROGRAMS**
- In 2018 Majlis Khuddamul Ahmadiyya UK raised funds towards the Kamal Aftab Eye clinic, a mobile eye clinic to be built by Humanity First to serve thousands in Africa. After some delays that extended into the Covid Pandemic, the clinic was finally completed and inaugurated in September 2023 by Hazrat Khalifatul Masih V (aba) in Germany, where it was built by Humanity First Germany (coordinated and supported by Humanity First UK). The clinic will now be delivered to Uganda where the greatest need has been identified by Humanity First. In June 2023, Humanity First successfully delivered 3 desalination units to Gaza, as part of their collaboration with the Mercy4Mankind Hadeeqatul Mahdi
The Majlis hosted in-person National forums and revived the Winter Retreat after a hiatus due to Covid, providing invaluable learning and mentoring opportunities for members of the community. The student affairs department organized
Tree Donation Project. This project, which took place in 2022, aimed to fund the planting of trees in Hadeeqatul Mahdi. The funds were then utilized to construct these water desalination units. The construction of these units took approximately 3 months, and their delivery marked a significant milestone in addressing the water crisis in Gaza. With the implementation of these desalination units, over 12,000 individuals in Gaza now have access to clean water. This is particularly crucial in a region where 97% of tap water fails to meet the minimum standards set by the World Health Organization (WHO), primarily due to high salinity and contamination issues.
AMSA (Ahmadiyya Muslim Research Association) retreats and educational workshops, fostering spiritual and intellectual growth among members.
MAJLIS KHUDDAMUL AHMADIYYA UK | REPORT FOR THE YEAR ENDED 31 OCTOBER 2023
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2023**
**FUNDRAISING ACTIVITIES**
Various fundraising activities were organised by MKA UK during the year to continue its efforts towards charitable causes. Some of the key highlights included:
- Fundraising during Ramadan Charity appeal for Humanity First Türkiye and Syria and towards the construction of an Intensive Care Unit for Humanity first Masroor Centre for Healthcare in Ivory Coast. Over the past two years, MKA UK has exclusively funded the construction of the ICU through its fundraising activities.
in Africa in collaboration with IAAAE (Gambia Model Village Project). Fundraising activities included a charity challenge day held in Tilford, Surrey which was attended by over 100 children of the community.
- Fundraising for disaster relief activities in Syria and Morocco.
- A 24 hour Football Marathon in collaboration with Watford FC Community where over 600 people took part to raise over £15k towards various projects including relief efforts in Africa.
- Fundraising by our young members for the construction of a model village
## **IJTEMA (ANNUAL LOCAL, REGIONAL AND NATIONAL EVENT)**
During the year, the Charity held its National Ijtema at Kingsley, Hampshire. Local and regional branches held their events as well which were held locally in their communities. The national convention was attended by nearly 7000 individuals over a three day event. Key highlights include:
- Preparatory sessions and site set up days leading to the final weekend of Ijtema with over 200 individuals participating in set up activities.
- We hosted 7 external exhibitors which included: The British Army, Royal Navy, Royal Marines, Royal Air Force, RAF Air
Cadets, Surrey Police and Humanity First.
- Various academic and sports activities.
- • The Hub and indoor sports marquee, which were both very popular and catered for both individual participants and teams.
- Exhibitions featuring the theme of the Ijtema.
- Key events included a final concluding session attended by Hazrat Khalifatul Masih V (aba)
**----- Start of picture text -----**
The annual MKA UK
Ijtema is the flagship
event of AMYA UK.
Spread over 3 days,
it aims to foster
an atmosphere of
brotherhood where
true Islamic values
are practiced.
**----- End of picture text -----**
**----- Start of picture text -----**
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**----- End of picture text -----**
MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2023**
STRATEGIC REPORT
## **FINANCIAL**
**REVIEW | INVESTMENT POLICY AND OBJECTIVES**
The charity has no long-term investments. The trustees are empowered by the memorandum and articles of association to decide on the courses of action that
they consider appropriate to further the charity’s objectives.
MAJLIS KHUDDAMUL AHMADIYYA UK | REPORT FOR THE YEAR ENDED 31 OCTOBER 2023
7
1% £570,351
30% £29,388
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FY23 Khuddam Collection
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ts31.103
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CHARITABLE ACTIVITIES FY23
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£570,351 •"
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KEY CHARITABLE ACTIVITIES
YOUTH DEVELOPMENT ACTIVITIES
PROPAGATION OF ISLAM
COMMUNITY WELFARE ACTIVITIES
TOTAL INCOME
£1,252,213
IJTE M A C HA NDA (DOIIATION PRIIIARILY COLLECTEO FOR THE NATIONAL YOUTH CONVENTIOM)
£208,771
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EDUCATIONAL ACTIVITIES
NATIONAL YOUTH CONVENTION I
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TASIllVEER
A TFAL CHANDA IDONATIONS FROM BOYS BELOW 15 YRS)
£29.388
KEY CHARITABLE ACTIVITIES
EDUCATIONAL YOUTH
DEVELOPMENT ACTIVITIES FOR
BOYS BETWEEN 7 AND 15 YEARS
SPORTING EVENTS FOR YOUNG
BOYS BETWEEN 7 AND 15 YEARS
TARIQ MAGAZINE AND TAMIRAT
£38,367
11
KEY CHARITABLE ACTIVITIES
Il
MONTHLY EDUCATIONAL MAGAZINE
REAL ESTATE ADMINISTRATIVE
FUND
8RIRI
FINANCIAL REVIEW
EXPENSES FY23
Total Exp•ns•s FY23
£1.450,688 36%
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10
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£371854
FY23 Total
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£49J,384
£340.987
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137.513
£0
£1,260,954
FY22 Total
Grants
£12&013
£205.476
£5,604
£834
£921.978
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Cost of Ralsln9 Funds . Top 5 Exp•ns
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£123,987
£80.038
FY23 Tot•1
Staff Costs
£318
11
£189,734
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£9
£&143
FY22 Tot•1
Bank Loan Interest
£&059
£0
£144,472
Venue Hifes
£4m6
657
MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2023**
MKA UK has been managing its reserves in be no risk of significant loss in income in **RESERVES** accordance with its policies and approving the foreseeable future. Trustees therefore **POLICY** projects and expenditure where the Trustees may review the level of these reserves and feel there are opportunities to increase decide on reducing their level in future value of the causes for which the Charity years, provided worthy causes or investment stands for. The Charity’s long term aim is opportunities arise in future. to hold reserves equivalent to six months of expenditure. The Trustees believe this Funds of the Charity were £752,643 as at 31 should provide sufficient funds to facilitate October 2023 (2022: £806,858) comprising the continuity of operations. Income of of £134,699 (2022: £121,597) restricted MKA is expected to remain consistent from funds and £617,944 (2022: £685,261) its loyal members and there appears to unrestricted funds. After making appropriate enquiries and and Accounts. As a result, the Trustees **GOING** having assessed the financial position of continue to adopt the going concern basis **CONCERN** the Charity, the Trustees have a reasonable of accounting in preparing the accounts. It expectation that Majlis Khuddamul is the view of the Trustees that current geoAhmadiyya will be able to continue in political factors do not have a direct impact operational existence for at least a year on the activities of the charity. The Trustees from the date of signing this Trustees Report will continue to monitor developments.
The Charity is reliant on voluntary donations from its members in the United Kingdom. During the year, the charity has continued to grow with increased contributions from members.
After a period of reduced activity during the Covid-19 Pandemic, financial year 2023 **FINANCIAL** saw MKA UK substantially increasing its activities as included in the strategic report. **REVIEW** Whilst efforts were made to reduce costs in an efficient manner, a high inflationary environment contributed to significantly higher costs for our National Convention (Ijtema). This has resulted in a deficit in the current year. The Trustee will continue to review the activities of the Charity and its associated costs to ensure an efficient and effective use of its resources over the coming years.
During the year, MKA UK also invested in a residential property which has been partially financed by the cash reserves of the Charity and through a long-term mortgage debt. This is a significant milestone for the charity and the property is to be used for the purposes of hosting guests of the community.
The risk to income is low as the majority of the members happily pay their subscriptions without much effort. A relatively smaller number when approached happily make donations. A larger focus is on the moral training of the members and our work has helped in raising awareness of the excellent works carried out by the MKA (UK) for the community. This is expected to have a positive impact on our future income as well.
**FUTURE** The Trustees continue to explore new ways to increase efficiency and effectiveness of **PLANS** finding ways to achieve the objectives of the charity. The trustees seek to actively
promote the objectives of the charity in the following twelve months.
MAJLIS KHUDDAMUL AHMADIYYA UK | REPORT FOR THE YEAR ENDED 31 OCTOBER 2023
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2023**
STRUCTURE, GOVERNANCE AND MANAGEMENT
## **GOVERNING DOCUMENT**
The charity is constituted as a company limited by guarantee and is therefore governed by its Memorandum and Articles of Association. New trustees are appointed in accordance with its Articles of Association. The Charity is organised so that the trustees meet regularly to manage its affairs.
The trustees have delegated the management of day-to-day affairs to the chairman.
## **RECRUITMENT AND EMPLOYMENT OF NEW TRUSTEES**
The existing Trustees are responsible for the recruitment of new trustees; in doing so newly proposed trustees’ experience and dedication towards the objectives of the Charity are considered. The trustees are persons of generally good conduct and moral standing with an attitude of serving the society that they live in. Trustees are encouraged to facilitate in building bridges between the members of the organisation and local communities and ensures that good relations are fostered between the Charity and the society at large. Trustees are trained to follow the ethos of selfless service for mankind with no desire of personal gain out of this.
events and functions organised by the Charity and are willing to volunteer to help in our broader community work. Proposed trustees are invited to attend trustees’ meetings and are regularly reminded of the charity’s aims and activities. it is through mutual consent that they are officially offered this unpaid position. Regular informal appraisals of their dedication and involvement in pursuing the interests of MKA are carried out. A proposed trustee also needs to display continued personal development through acquiring specialist knowledge and skills which are necessary in addition to their other formal qualifications and/or experience.
In selecting new Trustees, we seek to identify people who regularly attend
## **ORGANISATIONAL STRUCTURE**
The charity trustees are responsible for the general control and management of the Charity. Trustees give their time freely and receive no remuneration or other financial benefits.
The trustees meet at least once every month and are responsible for all decisions taken in relation to running the Charity and the activities it provides for achieving its objectives. To assist in smooth running of the Charity and its activities, the trustees have divided all tasks performed by
the Charity into various administrative departments, each department assigned a unique set of tasks. Each department is headed by a department leader appointed by the trustees who has a team that performs the various tasks of the department and report into him. There are clear lines of reporting within department teams and the department heads report to the trustees.
MAJLIS KHUDDAMUL AHMADIYYA UK | REPORT FOR THE YEAR ENDED 31 OCTOBER 2023
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2023**
## **RISK MANAGEMENT**
Trustees assess the risks that the charity faces by identifying key risks, understanding the nature of the risks, the likelihood of any risk materialising and causing an adverse happening, and measures in place to manage risks and prevent any adverse happening. Trustees consider key risks to be those that have a significant impact on:
1. Operational performance, including risks to the Charity’s personnel and volunteers;
2. Achievement of the Charity’s aims and objectives;
3. Meeting the expectations of the Charity’s beneficiaries or supporters.
The trustees actively review key risks on an ongoing basis to ensure adequate and appropriate systems and procedures are in place to manage the risks identified. The following framework is applied to ensure adequate risk management:
3. A clear structure of delegated authority and control;
4. Review of key systems and procedures through internal audit arrangements;
5. Maintaining reserves to meet working capital needs in the foreseeable future;
Two sub-committees, the Audit Committee and the IT Committee, are set-up to perform a key role in assessing operational performance risks to the charity and mitigating the risks by formulating appropriate policies and measures. These sub-committees meet periodically to ensure all key risks are appropriately mitigated.
All significant activities undertaken are subject to a risk review as part of the initial project assessment and discussed at length at the monthly management meeting which is chaired by the chair of the charity. Key risks are identified and ranked in terms of their potential impact and likelihood.
1. Regular monitoring of key risks and In assessing risk, trustees recognise development of action plans; that some areas of our work require the
2. Embedding risk identification acceptance and management of risk if our and assessment within operating key objectives are to be achieved.
2. Embedding risk identification and assessment within operating procedures;
## **EMPLOYMENT POLICY**
- The charity is an equal opportunities employer but it is important that the applicant understands the norms and conduct of the community and has been happily involved in volunteering themselves with a genuine desire for making a positive change in the society and serving the charity with honesty and integrity. In the current climate, physical security of the community is also of an important focus. Therefore any person who applies for the position within the charity has to go
through reasonable security clearance through the administration. Currently there is one full time employee and two part time employees of the charity. Estimated man hours spent on volunteering by our members were in excess of 350 FTE (full time employees). The trustees appreciate this and wish to thank everyone involved for their valuable time and commendable efforts in furthering the Charity objectives.
## **EVENTS SINCE THE END OF THE YEAR**
Information relating to events since the financial statements. end of the year is given in the notes to the
MAJLIS KHUDDAMUL AHMADIYYA UK | REPORT FOR THE YEAR ENDED 31 OCTOBER 2023
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **TRUSTEES’ REPORT (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2023**
## **TRUSTEES’ RESPONSIBILITY STATEMENT**
The trustees (who are also directors of Majlis Khuddamul Ahmadiyya (UK) for the purpose of company law) are responsible for preparing the Trustees’ Annual Report and the Financial Statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law 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 charitable company as at the balance sheet date and of its incoming resources and application of resources, including the income and expenditure of the charitable company for the financial year. In preparing these financial statements, the trustees are required to:
- Select suitable accounting policies and then apply them consistently;
- Observe the methods and principles in the Charities FRS102 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 operation.
The trustees are responsible for maintaining proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and which enable them to ensure that the financial statements comply with the Companies Act 2006. Trustees 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.
Company law requires the Trustees to prepare financial statements for each financial year. Under that law the Trustees have prepared the financial statements in accordance with United Kingdom Accounting Standards, comprising FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”, and applicable law (which together form United Kingdom Generally Accepted Accounting Practice and in accordance with the provisions of Companies Act 2006 relating to small entities.
In so far as we are aware:
- There is no relevant audit information of which the charitable company s auditor is unaware; and
- The trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information.
## **AUDITORS**
The auditors, CapShire Audit Ltd, were remain appointed as statutory auditors during the year.
Trustees’ report, incorporating a strategic report, approved by order of the board of trustees, as the company directors, on 10 June 2024 and signed on the board’s behalf by:
.......................................................... Abdul Quddus Arif (Chairman) - Trustee
MAJLIS KHUDDAMUL AHMADIYYA UK | REPORT FOR THE YEAR ENDED 31 OCTOBER 2023
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **REPORT OF THE INDEPENDENT AUDITOR TO THE MEMBERS OF MAJLIS KHUDDAMUL AHMADIYYA (UK)**
## **OPINION**
We have audited the financial statements of MAJLIS KHUDDAMUL AHMADIYYA (UK) (the ‘charitable company’) for the year ended 31 October 2023 which comprise the Statement of Financial Activities, the Statement of Financial Position, the Statement of Cash Flows 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 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’.
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, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’;
- have been prepared in accordance with the requirements of the Companies Act 2006.
In our opinion the financial statements:
- give a true and fair view of the state of the charitable company’s affairs as at 31 October 2023 and of its incoming
**BASIS FOR** We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs **OPINION** (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company 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** In auditing the financial statements, we have concluded that the trustees’ use of the going **RELATING** concern basis of accounting in the preparation **TO GOING** of the financial statements is appropriate. **CONCERN** Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant
doubt on the charitable company’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
MAJLIS KHUDDAMUL AHMADIYYA UK | REPORT FOR THE YEAR ENDED 31 OCTOBER 2023
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **INDEPENDENT AUDITOR’S REPORT (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2023**
**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 Report of the Independent Auditor 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 this gives rise to a material misstatement in the statements themselves. financial 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.
**OPINIONS 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 Trustees’ Report for the financial year for which the financial statements are prepared is
consistent with the financial statements; and
- the Trustees’ Report has been prepared in accordance with applicable legal requirements.
**MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION**
In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in 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.
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **INDEPENDENT AUDITOR’S REPORT (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2023**
## **RESPONSIBILITIES OF TRUSTEES**
As explained more fully in the Trustees’ Responsibilities Statement, the trustees (who are also the directors of the charitable company for the purposes of company law) 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 charitable company’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 charitable company or to cease operations, or have no realistic alternative but to do so.
**OUR 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 a Report of the Independent Auditor 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.
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:
Based on our understanding of the charitable company and the environment in which it operates, we identified that the principal risks of non-compliance with laws and regulations related to regulatory requirements charities and companies in England and Wales, and we considered the extent to which noncompliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006, the Charities Act 2011, income tax and payroll tax.
We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to posting inappropriate journal entries to revenue and management bias in accounting estimate and application of controls around authorisation of expenditure and payments. Audit procedures
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **INDEPENDENT AUDITOR’S REPORT (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2023**
**OUR RESPONSIBILITIES FOR THE AUDIT OF THE FINANCIAL STATEMENTS**
performed by the engagement team included:
- Discussions with management including consideration of known or suspected instances of non-compliance with laws and regulation and fraud;
- Evaluating management’s controls designed to prevent and detect irregularities;
omission or misrepresentation.
A further description of our responsibilities for the audit of the statements is financial located on the Financial Reporting Council’s website at www.frc.org. uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditor.
- Inspecting correspondence with regulators and tax authorities;
- • Challenging assumptions and judgements made by management in their critical accounting estimates.
- Identifying and testing journals, in particular journal entries postings by unusual users or with unusual descriptions; and
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion,
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **INDEPENDENT AUDITOR’S REPORT (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2023**
## **USE OF OUR REPORT**
This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.
Noor Choudhary (Senior Statutory Auditor) for and on behalf of CapShire Audit Ltd Chartered Accountants and Statutory Auditors 86-90 Paul Street London EC2A 4NE
## 10 June 2024
Date: .............................................
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 OCTOBER 2023**
The notes form part of these financial statements
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **STATEMENT OF FINANCIAL POSITION 31 OCTOBER 2023**
The financial statements were approved by the Board of Trustees and authorised for issue on 10 June 2024 and were signed on its behalf by:
.................................................. .................................................. Abdul Quddus Arif (Chairman) - Trustee Luqman Ahmad Bajwa - Trustee
The notes form part of these financial statements
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 OCTOBER 2023**
The notes form part of these financial statements
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023**
## **ACCOUNTING POLICIES**
## BASIS OF PREPARING THE FINANCIAL STATEMENTS1.
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (second edition, effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. Assets and liabilities are initially recognised at historical cost or transaction value unless
Majlis Khuddamul Ahmadiyya (UK) is a private company limited by guarantee incorporated in England and Wales.
The accounts are prepared in pounds sterling, rounded to the nearest pound.
## **INCOME**
## **Recognition of incoming resources**
These are included in the Statement of Financial Activities (SOFA) when:
- the charity becomes entitled to the resources;
- the trustees are virtually certain they will receive the resources;
- the monetary value can be measured with sufficient reliability; and
- Trading income relates to income earned from selling various good at events. Trading income is recognised at the point when the sale is made as the risks and rewards of ownership have been transferred to the customer.
## **GRANTS & DONATIONS**
Grants and donations are only included in the SOFA when the charity has unconditional entitlement to the resources.
## **TAX RECLAIMS ON DONATIONS AND GIFTS**
Incoming resources from tax reclaims are included in the SOFA at the same time as the gift to which they relate only if the trustees are satisfied that the claim will be successful.
## **VOLUNTEER HELP**
The value of any voluntary help received is not included in the accounts but is described in the trustees’ annual report.
## **INCOMING RESOURCES**
Income represents amounts voluntarily contributed by members of the Majlis Khuddamul Ahmadiyya United Kingdom
## **EXPENDITURE**
## **Grants payables**
Grants payable are payments made to third parties in the furtherance of the charitable objectives of the charity. These are expensed when events have created a valid expectation in other parties that the Charity will discharge its liabilities.
## **EXPENSES AND LIABILITIES**
Expenses are recognised on an accruals basis. Liabilities are recognised as soon as there is a legal or constructive obligation committing the charity to pay out resources.
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023**
## **GOVERNANCE COSTS**
Governance Costs are the cost associated with the constitutional and statutory arrangements of the charity as opposed to those costs associated with the income generation or charitable activity. Included within this category 1. are costs associated with strategic rather than day to day management of charity’s activates. These costs include external audit and any reimbursed trustees expenses.
## **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 - in accordance with the property Motor vehicles - 20% on cost Computer equipment - 33% on cost
Impairment reviews are conducted when events and changes in circumstances indicate that an impairment may have occurred.
## **STOCKS**
Stocks are valued at the lower of cost, on a first-in-first-out basis, and net realisable value.
## **TAXATION**
The Company is a registered charity and is exempt from corporation tax on income and gains falling within section 404 of the Taxes Act 1988 or section 252 of the Taxation of Chargeable Gains Act 1992 to the extent these are applied to its charitable objects.
Irrecoverable VAT is not separately analysed and is charged to the SOFA when the expenditure to which it relates is incurred, and is allocated as part of expenditure to which it relates
## **FUND ACCOUNTING**
Unrestricted funds are the funds that are available for use at the discretion of the trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes. Restricted funds are funds that are to be used in accordance with the specific restrictions imposed by donors. The costs of administering such funds are charged against the specific fund in line with the donor agreements.
## **PENSION COSTS AND OTHER POST-RETIREMENT BENEFITS**
The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company’s pension scheme are charged to the Statement of Financial Activities in the period to which they relate.
## **FINANCIAL INSTRUMENTS**
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments, including trade and other debtors and creditors are initially recognised at transaction value and subsequently measured at their settlement value.
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023**
## **CASH AT BANK AND IN HAND**
Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
## **DEBTORS**
Trade debtors and other debtors are recognised at the settlement amount.
## **CREDITORS**
A liability is recognised for the amount that the group anticipates it will pay to settle the debt or the amount it has received as an advance payment for goods or services it must provide.
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023**
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023**
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023**
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023**
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023**
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023**
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023**
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023**
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023**
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MAJLIS KHUDDAMUL AHMADIYYA (UK) (REGISTERED NUMBER: 07117137)
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“
# **A NATION CANNOT BE REFORMED WITHOUT FIRST THE REFORMATION OF ITS YOUTH**
— His Holiness Hazrat Mirza Bashiruddin Mahmood Ahmad - Khalifatul-Masih II[ (God be pleased with him)]
## Contact Us
www.khuddam.org.uk
Aiwan-E-Mahmood Unit 2, Bourne Mill Business Park Centre Park Farnham, Surrey GU9 9PS