Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
Charity Registration No. 1170675
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
LEGAL AND ADMINISTRATIVE INFORMATION
Charity Trustees
Dr. M Khoja President Dr. M Janmohamed Vice president Sis. I Ramji Secretary General Br. H Jaffer Deputy Secretary General Br. M A Railey Treasurer Br. H Elias Head of Finance Br. Esmail Executive Committee Member Br. H Bandali Executive Committee Member Sis. F Mawji Executive Committee Member Dr. R Hamer Executive Committee Member Br. S Hassam Executive Committee Member Br. M Virani Executive Committee Member Br. A Ismail Chair Education Board Dr. R Alidina Chair Building Committee Sis. H Khimji Chairlady Sis. F Bandali Ladies Honorary Secretary
Registered charity number 1170675
CIO number CE009331 Principal address 17 Clifton Road Balsall Heath Birmingham B12 8SX Auditor Deitch Cooper LLP 1[st] Floor, 3 Hobbs House Harrovian Business Village Bessborough Road Harrow Middlesex HA1 3EX Bankers Barclays Bank Lloyds Bank Habib Bank Unity Trust Bank Charity Bank
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
CONTENTS
| Page | |
|---|---|
| Trustees' report | 1 - 5 |
| Independent auditor's report | 6 - 8 |
| Consolidated statement of financial activities | 9 |
| Consolidated statement of financial position | 10 |
| Charity statement of financial position | 11 |
| Consolidated statement of cash flows | 12 |
| Notes to the financial statements | 13 - 31 |
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
TRUSTEES' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
The Trustees present their annual report and the consolidated financial statements for the year ended 31 December 2024. The legal and administrative information page forms a part of this report.
The financial statements have been prepared in accordance with the accounting policies set out in the notes to the financial statements and comply with the Charity’s governing document, the Charities Act 2011 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (effective 1 January 2019).
Objectives and activities for the public benefit
The objective of the charity is to promote Islam and teachings of Islam per the Holy Quran in accordance with the Shia Jaafery faith. The principal objective of the Charity are to arrange religious functions in the Islamic calendar, provision of secular education, social & welfare of its members and establish capital projects to care for its needs.
The charity has various committees operating under the main body of the Executive Committee. Additional objectives of the charity are to arrange religious functions as per the Islamic calendar, provision of secular education, meeting social and welfare needs of its members and establish capital projects to provide for the above stated objectives.
It is the responsibility of the charity to establish high quality programmes and activities through its various subcommittees which promote Islamic values and social responsibility. The charity reaches out to the wider community to promote understanding of its role and partakes in various charitable activities jointly with partner organisations.
In fulfilling its objectives and assisting in planning for the various activities, the Trustees and Executive Committee have given due consideration to the guidance provided by the Charity Commission in relation to public benefit and to its supplementary Public Benefit Guidance on the advancement of Religion.
Strategies
We want to make our Mosque an accessible and welcoming venue where all members, or those who wish to know more about our faith, can gather to learn about religion and worship. The Mosque is open for daily prayers, the Friday prayers being a focus of our activities.
We share the teachings of Islam and the nature of our faith with non-Muslims by participating in various inter-faith forums.
An important part of our faith is charitable giving in accordance with the Islam tenets, and we are pleased to receive funds from members for the purpose of the relief of need and financial hardship of Muslims in the UK, and overseas who have insufficient money to cover their basic needs for shelter, food, clothing, education or who are destitute with no means of support.
An important part of our strategy is community welfare and education. We provide a range of community activities including classes, health initiatives and seminars to achieve this.
Grant Making Policy
Our members give generously to appeals arising from natural calamities affecting various countries around the world. The charity has a close relationship with The World Federation of Khoja Shia Ithna-Asheri Muslim Communities, a UK registered charity number 282303, and is a member of COEJ (Council of European Jamaats), a UK registered charity number 1096111. KSIMC of Birmingham channels donations and contributions to worthwhile causes throughout the world through these two international bodies.
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Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
Achievements and performance
One of the highlights of this past year was hosting the WF EXCO meeting here in Birmingham December 2024. The event was a resounding success, with delegates from Jamaats around the world in attendance. Our volunteers truly excelled , proactive, welcoming, and always ready to assist. Their hard work left a lasting impression on all who attended.
The Muhammadi Madrasah has continued its mission to provide a robust Islamic education, nurture a love for Ahlulbayt, and support the spiritual growth of its students. Ability-Based Quranic Learning: In 2024, the Madrasah transitioned from year-based class groupings to ability-based groupings, tailoring instruction to each student’s learning level. This has significantly enhanced student progress and engagement. Teachers also received continuous Quran training to further improve their instructional effectiveness. MCE RSE Curriculum Pilot: Muhammadi Madrasah successfully piloted the MCE Relationship and Sex Education (RSE) curriculum. Fifteen teachers completed training, and the modules were implemented effectively. Ongoing collaboration with MCE ensured consistent feedback and improvements, addressing vital topics impacting youth.
The Children’s Tabligh Committee (CTC) is dedicated to nurturing the spiritual and personal development of children through engaging events, workshops, and community initiatives. This report highlights the subcommittee’s key achievements, challenges, and strategic plans for 2024. CTC delivered a variety of spiritual and educational programs designed to inspire and engage children. Highlights included the Rajab Replenish Event, Imam-eZamana (AS) Day, and parallel amaals during Ramadhan, which encouraged active participation in faith-based activities. Innovative initiatives such as Programming and AI and Dragons’ Den offered skill-building opportunities, while socially conscious projects like the Muharram with Food Drive and Gaza Food Parcels. Fundraising reinforced the committee’s commitment to community service and humanitarian causes. Collaboration and interactive learning, delivering programs such as Hajj with Sun Behind the Cloud and Get Social With Sheikh Hilli, which provided children with hands-on, meaningful experiences and strengthened connections with the wider community. Through these efforts, CTC has successfully combined spiritual development, education, and social responsibility, laying a strong foundation for continued engagement and growth in 2024.
BAYN delivered a series of standout events that left a lasting impression. The Sehri Night with Sheikh M.J. Shomali and Sister Zahraa brought together heartfelt discussions, nasheeds, spiritual reflection, and a communal sehri followed by Fajr prayers. The Flag Changing Ceremony involved children in a march to mark the start of Muharram, leading into the youth-led Mawkib al-Abbas, an Arbaeen-style service to the community. Innovation also played a role through the VR Karbala project, which used immersive technology to bring history to life. Meanwhile, the Falestine Film Fest raised over £2,000 for humanitarian efforts, demonstrating BAYN’s commitment to global causes.
Alongside major events, BAYN strengthened its long-term vision by establishing ongoing initiatives such as Karak Chats , Jumeraat Takeovers , socials, and workshops. These regular activities ensured consistent engagement and supported young people holistically, spiritually, socially, personally, and professionally. Through these achievements, BAYN has reaffirmed its role as a vital platform for youth empowerment and community connection. Building on the successes of 2024, it is well-placed to expand its reach and continue shaping the next generation. The Masoomin Sports Club has continued its mission of fostering sports participation and promoting community well-being by creating opportunities for individuals of all ages and backgrounds. This report outlines the subcommittee’s key achievements and future direction. A major highlight was the Ali Asghar Water Appeal Walkathon, which combined physical activity with charitable giving. The event brought together participants of all ages, raising funds and awareness for a vital cause while reflecting the club’s commitment to uniting sport with service. The Senior Ladies’ Sports Day was another significant initiative, offering a welcoming space for senior women to engage in fitness and well-being. By tailoring activities to this group, the club promoted inclusion and demonstrated its dedication to making sport accessible to all. Through these initiatives, the Masoomin Sports Club has shown the power of sport to strengthen both individual health and community bonds. These achievements provide a strong foundation for future growth in participation, engagement, and service.
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Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
AIC Capital Project
Our Principal Contractor has entered Administration in April 2025. As a result, the JCT Design and Build Contract is no longer in place, which includes costs and timescales. We are in the process of setting up an alternative delivery structure. We are currently focusing on making the building water-tight by end of November 2025. Design work for the Interiors, Kitchen and AV is progressing as normal. We remain committed to completing the Project by the second half of 2026. However, the challenges remain with the construction work. We shall continue to keep you updated on the costs and timescales.
Financial review
The results for the year are shown on the Statement of Financial Activities and in the notes to the financial statements. Total income for the year was £4,026,021 (2023: £3,245,118), which includes income from investments of £478,312 (2023: £423,945). Charity accounting standards require an annual revaluation of the investment properties held by the group and this amounted to a revaluation loss of £1,000,040 (2023: £1,195,811 gain). During the current financial year, the properties used for the Charity’s own activities were also revalued downwards by £2,529,142. The group made an overall deficit for the year of £1,709,451 (2023: £2,552,947 surplus). Income received during the year exceeded expenditure however temporary downward revaluations in the market value of properties have had an impact on unrestricted funds. As at the reporting date, total unrestricted funds amounted to £11,568,241 (2023: £13,483,734) and total restricted funds amounted to £1,747,289 (2023: £1,541,247). These amounts will be carried forward for use in future periods. More detailed breakdowns of the movements and balances on the individual restricted funds and designated unrestricted funds can be found in the notes to the financial statements.
The charity's perpetual existence ensures that it will never dissolve, and thus, reserves are carried over from each fiscal year. The Trustees' objective is to maintain unrestricted reserves at a level that is equivalent to approximately three months of the charity's unrestricted charitable expenses. The Trustees believe that this amount is adequate to cover unexpected expenditures and fund other recurring costs associated with governance.
Over the past few months, we have actively reviewed all rental income sources to ensure they align with market rates and contractual agreements. This has included discussions with tenants and a review of current lease arrangements. We will continue this process to strengthen our regular income base, helping to pay down our current bank loans and leaving future generations free of debt.
The current membership contribution has remained unchanged since 2010. Recognising the rising costs of operations and community services, we have raised this matter for review. We aim to propose a modest and fair adjustment, in consultation with the wider membership, to reflect current economic realities while remaining Accessible.
We are pleased to share that Stripe has now been fully integrated and automated, allowing direct payments to individual subcommittee accounts. This improvement enhances efficiency, reduces manual work, and ensures funds are accurately allocated.
Our finance systems and controls will be further strengthened to support our growing operational needs and improve reporting accuracy. Continued review of regular expenses will ensure that we use community funds wisely and responsibly.
We will work closely with subcommittees and department leads to ensure timely reporting and support for budgeting needs.
Risk management
The trustees have assessed the risks the charity faces, the nature of those risks, the likelihood of the risks happening, and the measures taken to manage them. The trustees review the risks at their meetings and are satisfied that systems are in place to manage any risks that may be identified. Adequate insurance cover is in place and the finances of the Mosque are kept under review. Appropriate Disclosure and Barring Service (DBS) checks, supported by regularly reviewed policies, are made for all those who work with children or other vulnerable groups within the Charity’s activities.
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Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
Structure, governance and management
The Charity is a Charitable Incorporated Organisation registered by a governing document dated 09 December 2016.
The Trustees who served during the year and up to the date of signature of the financial statements were:
M Khoja M Virani Appointed 9 August 2024 A Esmail Appointed 26 July 2024 A Ismail Appointed 26 July 2024 M Railey S Hassam F Mawji Appointed 26 July 2024 R Alidina R Hamer Appointed 9 August 2024 F Bandali M Janmohamed H Asaria Resigned 7 July 2025 H Khimji H Jaffer H Bandali H Elias I Ramji Appointed 7 July 2025
The Trustees are appointed in accordance with the constitution at the Annual General Meeting, or by the Trustees should a vacancy arise during the year. The official handover of roles and appointments to the new Executive Committee takes place following the presentation and approval of the annual financial statements.
The Trustees meet regularly to manage strategy and the organisation. The day-to-day operations for the different educational activities are delegated to nominated individuals. The management of the investment properties is undertaken by Khoja Shia Ithna-Asheri Muslim Community (Baquir) Limited and Khoja Shia Ithna-Asheri Muslim Community (Jaafery) Limited, wholly owned subsidiaries of the charity.
None of the Trustees or Executive Committee have any beneficial interest in any member of the group.
The Trustees and Executive Committee, as well as members of subcommittees, are neither remunerated nor paid any expenses.
Plans for future periods
As our charity continues to grow and attract more donations, we are planning to introduce automation to help streamline our processes. With the increasing number of supporters and donations, automation will make our operations more efficient and help reduce errors.
We also plan to transition to a cashless system, relying solely on card payments. This change will make transactions smoother and more secure, while also easing the administrative tasks involved in handling cash. Over the past few years, reconciling cash with our accounting records has been a bit inconsistent. To address this, we’re focusing on finding a way to ensure that all card payments match up with our accounting system and the bank statement. This will help improve the accuracy and transparency of our financial reporting.
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Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
TRUSTEES' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
Use of volunteers
Volunteers are an important resource in both our faith and community work. Volunteers are involved in most of our faith and community activities. All our trustees also give of their time freely. We encourage all members of our Centre to be involved in voluntary activities and to share their skills with others. All those volunteers working with projects involving children or other vulnerable groups are CRB checked. The Trustees wish to thank all volunteers for their hard work during the financial year and their ongoing efforts in numerous areas of work.
Statement of Trustees' responsibilities
The Trustees are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
The law applicable to charities in England and Wales requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Charity and of the incoming resources and application of resources of the Charity for that year.
In preparing these financial statements, the Trustees are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charities SORP (FRS102);
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make judgments and estimates that are reasonable and prudent;
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state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The Trustees are responsible for keeping sufficient accounting records that disclose with reasonable accuracy at any time the financial position of the Charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charities (Accounts and Reports) Regulations 2008 and the provisions of the governing document.
The Trustees are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Disclosure of information to auditor
Each of the Trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditor is aware of such information.
The Trustees’ Report was approved by the Board of Trustees.
or by: H Elias Trustee
16 September 2025
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Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
INDEPENDENT AUDITOR’S REPORT
TO THE TRUSTEES OF THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
Opinion
We have audited the financial statements of the Khoja Shia Ithna-Asheri Muslim Community of Birmingham (the 'charity') and its group for the year ended 31 December 2024, which comprises the consolidated statement of financial activities, the consolidated statement of financial position, the statement of financial position, the consolidated statement of cash flows, and the notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of lreland (United Kingdom Generally Accepted Accounting Practice).
In our opinion, the financial statements:
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give a true and fair view of the state of the group's and charity's affairs as at 31 December 2023 and of its incoming resources and application of resources, for the year then ended; and
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have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
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- have been prepared in accordance with the requirements of the Charities Act 2011.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (lSAs (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
ln auditing the financial statements, we have concluded that the use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
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 charity'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.
Other information
The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The Trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. 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 course of 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 financial statements themselves. 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.
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Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
INDEPENDENT AUDITOR’S REPORT (CONTINUED)
TO THE TRUSTEES OF THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF BIRMINGHAM
Matters on which we are required to report by exception
We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:
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information given in the financial statements is inconsistent in any material respect with the Trustees' report; or
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sufficient accounting records have not been kept; or
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the financial statements are not in agreement with the accounting records and returns; or
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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, 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. ln 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 cease operations, or have no realistic alternative but to do so.
Auditor's responsibilities for the audit of the financial statements
We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.
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.
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.
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:
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we identified the laws and regulations applicable to the charity and the group through discussions with management and from our knowledge and experience of the sector and activities of the charity; and
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we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the charity, including the Charities (Accounts and Reports) Regulations 2008 and the Charities Act 2011; and
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we assessed the extent of compliance with the laws and regulations identified through making enquiries of management and inspecting documentation; and
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we identified laws and regulations which were communicated within the audit team and the team remained alert to instances of non-compliance throughout the audit.
As part of designing our audit procedures, we determined materiality and assessed the risks of material misstatement in the financial statements, including how fraud may occur, by making enquiries of management and considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. We also considered potential financial or other pressures, opportunity, and motivations for fraud. As part of this, we identified the internal controls established to mitigate these risks and how management monitor these processes. We completed a review of transactions and journals taken from throughout the period. We have nothing to report in this regard.
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Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
INDEPENDENT AUDITOR’S REPORT (CONTINUED)
TO THE TRUSTEES OF THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF BIRMINGHAM
Auditor's responsibilities for the audit of the financial statements (continued)
To address the risks of fraud through management bias and override of controls, our audit included the following procedures:
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we performed analytical procedures to identify any unusual or unexpected relationships; and
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we assessed whether judgements and assumptions made in determining the accounting estimates set out in the accounting policies were indicative of potential bias; and
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we investigated the rationale behind significant or unusual transactions.
In response to the risk of irregularities and non-compliance with laws and regulations we designed procedures which included, but were not limited to, agreeing financial statement disclosures to underlying supporting documentation and remaining alert for actual and potential litigation and claims during our other audit procedures. Significant audit attention was paid to judgements and accounting estimates in relation to all property valuations and the recoverability of amounts recorded as debtors, including the related disclosures in the financial statements. We also addressed the risk of management override of internal controls including testing and evaluation of whether there was evidence of bias by the Trustees that represented a risk of material misstatement. We have nothing to report in this regard.
There are many laws and regulations, relating principally to the operating aspects of the company, that typically do not affect the financial statements and as such are not captured by the entity's information systems relevant to financial reporting. It is the responsibility of management to ensure that the entity's operations are conducted in accordance with the provisions of laws and regulations. The auditor is not responsible for preventing non-compliance and we cannot be expected to detect non-compliance with all laws and regulations. Representations were obtained from the board of directors that there is no identified or suspected non-compliance with any laws and regulations.
Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion. There are inherent limitations in audit procedures performed and the further removed noncompliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it. Auditing standards also limit the audit procedures required to identify noncompliance with laws and regulations. A further description of our responsibilities is available on the Financial Reporting Council's website at: https:// www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
Use of our report
This report is made solely to the charity’s trustees, as a body, in accordance with part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditors’ 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 charity and the charity's trustees as a body, for our audit work, for this, or for the opinions we have formed.
| Deitch Cooper LLP | 16 September 2025 |
|---|---|
| Accountants | |
| Statutory Auditor | 1stFloor, 3 Hobbs House |
| Harrovian Business Village | |
| Bessborough Road | |
| Harrow | |
| Middlesex | |
| HA1 3EX |
Deitch Cooper LLP is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under of section 1212 of the Companies Act 2006.
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Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 31 DECEMBER 2024
| Income from: Donations and legacies Charitable activities Other trading activities Investments Total income Expenditure on: Raising funds Charitable activities Total expenditure Revaluation of investment properties Net incoming resources before transfers Gross transfers between funds Other recognised gains and losses: Revaluation of tangible assets Net movement in funds Reconciliation of funds: Fund balances at 1 January 2024 Fund balances at 31 December 2024 |
Unrestricted funds 2024 £ 401,186 359,101 170,341 478,312 1,408,940 367,124 1,272,164 1,639,288 (1,000,640) (1,230,988) 1,844,637 (2,529,142) (1,915,493) 13,483,734 11,568,241 |
Restricted funds 2024 £ 2,590,395 - 26,686 - 2,617,081 - 566,402 566,402 - 2,050,679 (1,844,637) - 206,042 1,541,247 1,747,289 |
Total Unrestricted funds 2024 2023 £ £ 2,991,581 367,757 359,101 322,820 197,027 161,664 478,312 423,945 4,026,021 1,276,186 367,124 358,790 1,838,566 1,296,726 2,205,690 1,655,516 (1,000,640) 1,195,811 819,691 816,481 - 1,977,814 (2,529,142) - (1,709,451) 2,794,295 15,024,981 10,689,439 13,315,530 13,483,734 |
Restricted funds 2023 £ 1,957,197 - 11,735 - 1,968,932 - 232,466 232,466 - 1,736,466 (1,977,814) - (241,348) 1,782,595 1,541,247 |
Total 2023 £ 2,324,954 322,820 173,399 423,945 |
|---|---|---|---|---|---|
| 3,245,118 | |||||
| 358,790 | |||||
| 1,529,192 | |||||
| 1,887,982 | |||||
| 1,195,811 | |||||
| 2,552,947 - - |
|||||
| 2,552,947 12,472,034 |
|||||
| 15,024,981 |
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
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Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
CONSOLIDATED STATEMENT OF FINANCIAL POSITION INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 31 DECEMBER 2024
| 2024 | 2023 | |||||
|---|---|---|---|---|---|---|
| Notes | £ | £ | £ | £ | ||
| Fixed assets | ||||||
| Tangible assets | 13 | 7,799,019 | 8,745,135 | |||
| Investment property | 14 | 5,837,360 | 6,838,000 | |||
| 13,636,379 | 15,583,135 | |||||
| Current assets | ||||||
| Debtors | 15 | 607,865 | 604,107 | |||
| Cash at bank and in hand | 2,158,908 | 1,995,611 | ||||
| 2,766,773 | 2,599,718 | |||||
| Creditors: amounts falling due | ||||||
| within one year | 17 | (449,170) | (471,354) | |||
| Net current assets | 2,317,603 | 2,128,364 | ||||
| Total assets less current liabilities | 15,953,982 | 17,711,499 | ||||
| Creditors: amounts falling due | 18 | |||||
| after more than one year | (2,638,452) | (2,686,518) | ||||
| Net assets | 13,315,530 | 15,024,981 | ||||
| Income funds | ||||||
| Restricted funds | 19 | 1,747,289 | 1,541,247 | |||
| Unrestricted funds | ||||||
| Designated funds | 20 | 8,376,901 | 6,501,044 | |||
| General unrestricted funds | 20 | 3,067,994 | 4,163,384 | |||
| Revaluation reserve | 20 | 123,346 | 2,819,306 | |||
| 11,568,241 | 13,483,734 | |||||
| Total charity funds | 13,315,530 | 15,024,981 |
These accounts were approved by the Board of Trustees on 16 September 2025 and are signed on its behalf :
| \eeDocuSigned by: B99D6761DCA5440... M Khoja Trustee
H Elias 32053F682F65438...
Trustee
- 10 -
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
CHARITY STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2024
| 2024 | 2023 | 2023 | |||||
|---|---|---|---|---|---|---|---|
| Notes | £ | £ | £ | £ | |||
| Fixed assets | |||||||
| Tangible assets | 13.a | 7,793,006 | 8,728,467 | ||||
| Current assets | |||||||
| Debtors | 15.a | 1,332,382 | 1,345,339 | ||||
| Cash at bank and in hand | 1,708,591 | 1,620,809 | |||||
| 3,040,973 | 2,966,148 | ||||||
| Creditors: amounts falling due | |||||||
| within one year | 17.a | (353,280) | (376,452) | ||||
| Net current assets | 2,687,693 | 2,589,696 | |||||
| Total assets less current liabilities | 10,480,699 | 11,318,163 | |||||
| Income funds | |||||||
| Restricted funds | 19 | 1,747,289 | 1,541,247 | ||||
| Unrestricted funds | |||||||
| Designated funds | 20.a | 8,376,901 | 6,501,044 | ||||
| General unrestricted funds | 20.a | 233,163 | 456,566 | ||||
| Revaluation reserve | 20.a | 123,346 | 2,819,306 | ||||
| 8,733,410 | 9,776,916 | ||||||
| Total charity funds | 10,480,699 | 11,318,163 |
These accounts were approved by the Board of Trustees on 16 September 2025 and are signed on its behalf:
(f DocuSignedB99D6761DCA5440...by: M Khoja
Trustee
or32053F682F65438... by: H Elias Trustee
- 11 -
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2024
| Notes £ Cash flows from operating activities Cash generated from operations 25 Investing activities Purchase of tangible fixed assets (1,884,327) Investment income received 478,312 Net cash generated from/(used in) investing activities Financing activities Repayment of bank loans (42,066) Net cash used in financing activities Net increase/(decrease) in cash and cash equivalents Cash and cash equivalents at beginning of year Cash and cash equivalents at end of year |
2024 2023 £ £ £ 1,611,378 1,067,020 (1,985,092) 423,945 (1,406,015) (1,561,147) (27,482) (42,066) (27,482) 163,297 (521,609) 1,995,611 2,517,220 2,158,908 1,995,611 |
2024 2023 £ £ £ 1,611,378 1,067,020 (1,985,092) 423,945 (1,406,015) (1,561,147) (27,482) (42,066) (27,482) 163,297 (521,609) 1,995,611 2,517,220 2,158,908 1,995,611 |
|---|---|---|
| (521,609) 2,517,220 |
||
| 1,995,611 |
- 12 -
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
1 Accounting policies
Charity information
The Khoja Shia Ithna-Asheri Muslim Community of Birmingham (“the charity”) is a Charitable Incorporated Organisation registered in England and Wales. The charity is a UK registered charity. The principal place of business is 17 Clifton Street, Balsall Heath, Birmingham, B12 8SX.
1.1 Accounting convention
The accounts have been prepared in accordance with the charity's constitution, the Charities Act 2011 and the Charities SORP “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 – October 2019)”. The charity is a Public Benefit Entity as defined by FRS 102.
The accounts have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 (effective 1 January 2019) rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.
The accounts are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
1.2 Basis of consolidation
The consolidated financial statements include the results for the year, of the charity and all associated companies that the group controls and their net assets at the year-end date. Transactions between associated undertakings are eliminated on consolidation. Control is the power to govern the financial and operating policies of the associated company so as to obtain benefits from its activities.
The group financial statements include the financial statements of the Khoja Shia Ithna-Asheri Muslim Community of Birmingham, Khoja Shia Ithna-Asheri Muslim Community (Baquir) Limited and Khoja Shia IthnaAsheri Muslim Community (Jaafery) Limited. A separate Statement of Financial Activities, or income and expenditure account, for the parent charity itself is not presented.
1.3 Going concern
The Trustees have considered the levels of funds held and the level of reserves for each member of the group. At the time of approving the accounts, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus, the Trustees continue to adopt the going concern basis of accounting in preparing the accounts.
1.4 Charitable funds
Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives unless the funds have been designated for other purposes.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the accounts.
1.5 Incoming resources
All incoming resources are included in the statement of financial activities when the charity is entitled to the income and the amount can be quantified with reasonable accuracy. Income is recorded within the fund to which it relates. Third-party collections are recognised as incoming resources on restricted funds.
Voluntary income is received by way of grants, donations and gifts and is included in full in the statement of financial activities when the charity becomes unconditionally entitled to the income. If the terms of a grant impose conditions the grant is only recognised as income when the conditions are met. Income received before the revenue recognition criteria are met are recognised as a liability.
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Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1 Accounting policies (continued)
1.6 Resources expended
Expenditure is recognised on an accrual basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered and is reported as part of the expenditure to which it relates.
Raising funds comprise the costs associated with attracting voluntary income and for costs incurred for the investment properties.
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. The onward transmission of third-party collection donations is recognised as charitable expenditure of restricted funds in accordance with the applicable accounting standards.
1.7 Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Freehold property Straight line over 25 years Fixtures and fittings 25% straight line Plant and equipment 25% straight line Motor vehicles 25% straight line
Freehold land and assets in the course of construction are not depreciated.
Impairment of fixed assets
At each reporting end date, the charity reviews the carrying amounts of tangible assets, including Burial land, to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated to determine the extent of the impairment loss (if any).
1.8 Investment properties
Investment property, which is property held to earn rentals and/or for capital appreciation, is initially measured at cost and subsequently measured using the fair value model and stated at its fair value as at the reporting end date. The net gain or loss on revaluation is recognised in net income/(expenditure) for the year.
1.9 Retirement benefits
The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund. Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.10 Taxation
The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.
1.11 Cash and cash equivalents
Cash at bank and in hand are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
- 14 -
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1 Accounting policies (continued)
1.12 Financial instruments
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS102 to all of its financial instruments.
Financial instruments are recognised in the charity’s statement of financial position when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic Financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities
Basic financial liabilities, including creditors and bank loans, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Financial liabilities classified as payable within one year are not amortised.
Derecognition of financial liabilities
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
1.13. Burial land
The charity operates a Burial fund for contributing members. To operate the scheme the charity has previously purchased plots of burial land. The accounting policy is to recognise Burial land in accordance with the accounting treatment of land. The accounting policy measures the purchase of Burial land at transaction price and subsequently carries the Burial land at historic cost less amortisation and impairment within tangible assets. The net book value of burial land is based primarily on the grave spaces and grave plots available for use at the reporting date. Amortisation and impairment losses are recorded as expenditure of the Burial fund.
- 15 -
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
2 Critical accounting estimates and judgements
In the application of the charity’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. They are based on historical experience and any other factors that may be relevant and are believed to be reasonable. Estimates and judgements are continually evaluated. If estimates and judgements are subsequently revised, revisions to accounting estimates are recognised as arising in the financial reporting period in which the estimate is revised.
The principal areas involving significant accounting estimates or judgements are the estimation of fair values of investment properties and the recoverability of amounts reported within debtors as owed to the charity. The Trustees consider these estimates to be reliable however actual results may differ from these estimates and revisions to these estimates to reflect actual results may arise in a subsequent financial reporting period.
3.a Income Earned from other Activities
The following entities, incorporated in England and Wales, form part of the group:
Control Khoja Shia Ithna-Asheri Muslim Community (Baquir) Limited (company 100 % control of assets and number 06391353) operations Khoja Shia Ithna-Asheri Muslim Community (Jaafery) Limited (company 100 % control of assets and number 06391478) operations
The aggregate assets and liabilities and the result for the year of the subsidiaries noted above were as follows:
| Total income Total expenditure Net gains on investments Net (expenditure)/income Assets Liabilities Capital and Reserves ` |
Khoja Shia Ithna-Asher Muslim Community (Baquir) Limited 2024 2023 £ £ 680,827 642,902 (549,693) (557,337) (1,000,640) 1,195,811 (869,506) 1,281,376 6,460,021 7,329,639 (3,593,365) (3,593,477) 2,866,656 3,736,162 |
Khoja Shia Ithna-Asher Muslim Community (Jaafery) Limited 2024 2023 £ £ 128,296 108,829 (75,000) (115,751) - - (2,481) (6,922) 169,919 80,444 (201,743) (109,787) (31,824) (29,343) |
|---|---|---|
- 16 -
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
3.b Financial performance of the charity
The Financial activities shown in the consolidated financial statements include those of the charity’s associates. A summary of the financial activities undertaken by the charity is set out below:
| Income Expenditure on raising funds Expenditure on charitable activities Other gains and losses Net income for the year / Net movement in funds Revaluation of tangible fixed assets Total funds brought forward Total funds carried forward |
2024 £ 3,291,898 - (1,600,220) - 1,691,678 (2,529,142) 11,318,163 10,480,699 |
2023 £ 2,558,387 - (1,279,895) - |
|---|---|---|
| 1,278,492 - 10,039,671 |
||
| 11,318,163 |
4 Donations and legacies
| Unrestricted | Restricted | Total | Unrestricted | Restricted | Total | |
|---|---|---|---|---|---|---|
| funds | funds | funds | funds | |||
| 2024 | 2024 | 2024 | 2023 | 2023 | 2023 | |
| £ | £ | £ | £ | £ | £ | |
| Donations and gifts | ||||||
| Burial contributions | 25,955 | - | 25,955 | 32,863 | - | 32,863 |
| Third party collections | - | 518,328 | 518,328 | - | 358,289 | 358,289 |
| General donations | 118,837 | - | 118,837 | 96,497 | - | 96,497 |
| Gift aid | 108,105 | - | 108,105 | 53,062 | - | 53,062 |
| AIC project | - | 2,053,522 | 2,053,522 | - | 1,579,499 | 1,579,499 |
| Nyaz | 52,591 | - | 52,591 | 89,884 | - | 89,884 |
| Subscriptions | 95,698 | - | 95,698 | 95,451 | - | 95,451 |
| Sadka | - | 18,545 | 18,545 | - | 19,409 | 19,409 |
| 401,186 | 2,590,395 | 2,991,581 | 367,757 | 1,957,197 | 2,324,954 |
Contribution of volunteers
The Charity benefits greatly from the involvement and support of many volunteers who assist with a wide range of charitable and support activities. In accordance with FRS102 and the Charities SORP (FRS102) the economic contribution of general volunteers is not recognised in the financial statements.
- 17 -
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
5 Charitable activities
| Secular Education fees Madressa fees Nursery fees Burial fund income |
Unrestricted Funds 2024 £ 77,326 64,991 157,678 59,106 359,101 |
Total Funds 2024 £ 77,326 64,991 157,678 59,106 359,101 |
Unrestricted Funds 2023 £ 81,282 54,438 130,390 56,710 322,820 |
Total Funds 2023 £ 81,282 54,438 130,390 56,710 |
|---|---|---|---|---|
| 322,820 |
6 Other trading activities
| Unrestricted Funds Restricted Funds 2024 2024 £ £ Advertising 3,510 - Halls and Majlis 22,113 - Senior citizen activities - 26,686 Subcommittees 144,718 - 170,341 26,686 |
Unrestricted Funds Restricted Funds 2024 2024 £ £ Advertising 3,510 - Halls and Majlis 22,113 - Senior citizen activities - 26,686 Subcommittees 144,718 - 170,341 26,686 |
Unrestricted Funds Restricted Funds 2024 2024 £ £ Advertising 3,510 - Halls and Majlis 22,113 - Senior citizen activities - 26,686 Subcommittees 144,718 - 170,341 26,686 |
Total Funds Unrestricted Funds Restricted Funds 2024 2023 2023 £ £ £ 3,510 2,920 - 22,113 16,987 - 26,686 - 11,735 144,718 141,757 - |
Total Funds Unrestricted Funds Restricted Funds 2024 2023 2023 £ £ £ 3,510 2,920 - 22,113 16,987 - 26,686 - 11,735 144,718 141,757 - |
Total Funds Unrestricted Funds Restricted Funds 2024 2023 2023 £ £ £ 3,510 2,920 - 22,113 16,987 - 26,686 - 11,735 144,718 141,757 - |
Total Funds 2023 £ 2,920 16,987 11,735 141,757 |
|---|---|---|---|---|---|---|
| 170,341 | 26,686 | 197,027 | 161,664 | 11,735 | 173,399 |
7 Investment income
| Rental income Interest receivable |
Unrestricted Funds 2024 £ 433,933 44,379 478,312 |
Total Funds 2024 £ 433,933 44,379 478,312 |
Unrestricted Funds 2023 £ 401,219 22,726 423,945 |
Total Funds 2023 £ 401,219 22,726 |
|---|---|---|---|---|
| 423,945 |
- 18 -
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
8 Raising funds
| 9 |
Charitable activities Religious Education £ £ Staff costs 170,253 138,281 Depreciation and impairment 268,024 6,433 Charitable expenditure 779,227 75,133 Burial costs - - 1,217,504 219,847 Share of support costs 318,080 12,368 Share of governance costs 10,800 6,127 1,546,384 238,342 Unrestricted Restricted funds funds 2024 2024 £ £ Investment property expenditure Share of governance costs 4,563 - Property management agents - - Other fundraising costs 42,159 - Depreciation and impairment 6,967 - Share of support costs 313,435 - 367,124 - Fundraising and publicity 367,124 - |
Burial Total 2024 Total 2023 £ £ £ - 308,534 268,874 19,877 294,334 276,103 - 854,360 559,883 33,963 33,963 21,424 53,840 1,491,191 1,126,284 - 330,448 393,196 - 16,927 9,712 53,840 1,838,566 1,529,192 Total Unrestricted Restricted Total funds funds 2024 2023 2023 2023 £ £ £ £ 4,563 2,938 - 2,938 - - - - 42,159 44,181 - 44,181 6,967 9,743 - 9,743 313,435 301,928 - 301,928 367,124 358,790 - 358,790 367,124 358,790 - 358,790 |
Total 2023 £ 2,938 - 44,181 9,743 301,928 |
|---|---|---|---|
| 358,790 | |||
| 358,790 | |||
| Total 2023 £ 268,874 276,103 559,883 21,424 |
- 19 -
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
9 Charitable activities (continued)
| Religious £ Analysis by fund Unrestricted funds 979,982 Restricted funds 566,402 1,546,384 For the year ended 31 December 2023 Religious £ Staff costs 157,476 Depreciation and impairment 258,787 Charitable expenditure 459,293 Burial costs - 875,556 Share of support costs 365,191 Share of governance costs 7,200 1,247,947 Analysis by fund Unrestricted funds 1,015,481 Restricted funds 232,466 1,247,947 |
Education £ 238,342 - 238,342 Education £ 111,398 6,794 100,590 - 218,782 28,005 2,512 249,299 249,299 - 249,299 |
Burial £ 53,840 - 53,840 Burial £ - 10,522 - 21,424 31,946 - - 31,946 31,946 - 31,946 |
Total 2024 £ 1,272,164 566,402 1,838,566 Total 2023 £ 268,874 276,103 559,883 21,424 1,126,284 393,196 9,712 1,529,192 1,296,726 232,466 1,529,192 |
|---|---|---|---|
- 20 -
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
10 Support costs
| Operating lease charges Premises costs Investment properties Finance costs Insurance Legal and professional Office expenses Sub-committee expenses Bank charges Promotion and marketing Bad and doubtful debts Governance costs Audit fees Analysed between: Fundraising Support costs Governance costs Religious activities Support costs Governance costs Education activities Support costs Governance costs |
Support costs 2024 £ 2,830 94,335 66,168 217,887 31,491 19,934 47,074 137,702 2,008 865 23,589 21,490 665,373 313,435 4,563 318,080 10,800 12,368 6,127 665,373 |
Total 2024 £ 2,830 94,335 66,168 217,887 31,491 19,934 47,074 137,702 2,008 865 23,589 21,490 665,373 313,435 4,563 318,080 10,800 12,368 6,127 665,373 |
Support costs 2023 £ 1,635 156,546 75,409 200,899 30,827 25,331 26,317 156,759 10,505 440 10,456 12,650 707,774 301,928 2,938 365,191 7,200 28,005 2,512 707,774 |
Total Basis of allocation 2023 £ 1,635Usage 156,546 Directly attributable 75,409Directly attributable 200,899Directly attributable 30,827Directly attributable 25,331Directly attributable 26,317Usage 156,759Directly attributable 10,505Usage 440Usage 10,456 Directly attributable 12,650Governance 707,774 301,928 2,938 365,191 7,200 28,005 2,512 707,774 |
|---|---|---|---|---|
11 Trustees
During the reporting period Br. A Ismail, a Trustee, was paid normal remuneration for their services as a teacher totalling £3,916 (2023: £nil). None of the Trustees received any other remuneration or benefits from the charity during the year (2023: £nil). The spouse of a Trustee is an employee of the charity and receives a normal rate of pay.
- 21 -
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
12 Employees
Number of employees
The average monthly number of employees during the year was:
| Nursery Resident Alim Caretaker Others Employment costs Wages and salaries Staff pension costs |
2024 Number 8 1 2 7 18 2024 £ 307,708 826 308,534 |
2023 Number 8 1 2 7 |
|---|---|---|
| 18 | ||
| 2023 £ 268,255 619 |
||
| 268,874 |
There were no employees whose annual remuneration was £60,000 or more.
13 Tangible fixed assets - The group
| Cost At 1 January 2024 Additions Revaluation At 31 December 2024 Depreciation and impairment At 1 January 2024 Depreciation charged in the year Impairment losses Revaluation At 31 December 2024 Carrying amount At 31 December 2024 At 31 December 2023 |
Freehold land Assets under Fixtures, fittings and buildings construction and equipment £ £ £ 7,322,841 4,170,113 462,336 - 1,844,637 2,745 (5,772,841) - - 1,600,000 6,014,750 465,081 2,940,240 - 439,523 253,459 - 18,729 - - - (3,193,699) - - - - 458,252 |
Freehold land Assets under Fixtures, fittings and buildings construction and equipment £ £ £ 7,322,841 4,170,113 462,336 - 1,844,637 2,745 (5,772,841) - - 1,600,000 6,014,750 465,081 2,940,240 - 439,523 253,459 - 18,729 - - - (3,193,699) - - - - 458,252 |
Freehold land Assets under Fixtures, fittings and buildings construction and equipment £ £ £ 7,322,841 4,170,113 462,336 - 1,844,637 2,745 (5,772,841) - - 1,600,000 6,014,750 465,081 2,940,240 - 439,523 253,459 - 18,729 - - - (3,193,699) - - - - 458,252 |
Motor Burial land vehicles £ £ 18,630 388,218 36,945 - - - 55,575 388,218 18,630 218,610 9,236 - - 19,877 - - 27,866 238,487 |
Motor Burial land vehicles £ £ 18,630 388,218 36,945 - - - 55,575 388,218 18,630 218,610 9,236 - - 19,877 - - 27,866 238,487 |
Total £ 12,362,138 1,884,327 (5,772,841) |
|---|---|---|---|---|---|---|
| 8,523,624 | ||||||
| 3,617,003 281,424 19,877 (3,193,699) |
||||||
| 724,605 | ||||||
| 1,600,000 4,382,601 |
6,014,750 4,170,113 |
30,454 1,044 |
27,709 - |
149,731 169,608 |
7,799,019 | |
| 8,745,135 |
- 22 -
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
13 Tangible fixed assets - The group (continued)
most recent valuation by an independent valuer had an effective date of 31 December 2024 and was made by a qualified Chartered Surveyor not connected to the charity. The Chartered Surveyor’s report stated that the valuations are an indicative guide to the freehold interest but are not a formal valuation. No tax charge is expected to crystallise due to the available tax exemptions therefore no deferred taxation has been provided.
If Freehold land and buildings of the charity and group were carried at cost less depreciation instead of valuation the carrying amount at the reporting date would be £1,563,295 (2023: £1,563,295).
The carrying amount of the burial land is impaired to the historic cost of the unused burial plots at each reporting date. Impairment losses on the burial plots are recognised as Burial fund expenditure within unrestricted funds. Total unused graves remaining on 31 December 2024 was 106 (2023: 123). Certain graves can be used for burial for two if required.
13.a Tangible fixed assets – The charity
| Cost At 1 January 2024 Additions Revaluation At 31 December 2024 Depreciation and impairment At 1 January 2024 Depreciation charged in the year Impairment losses Eliminated in respect of disposals At 31 December 2024 Carrying amount At 31 December 2024 At 31 December 2023 |
Freehold land and buildings £ 7,322,841 - (5,722,841) 1,600,000 2,940,240 253,459 - (3,193,699) - 1,600,000 4,382,601 |
Assets under Fixtures, fittings construction and equipment £ £ 4,170,113 310,587 1,844,637 - - - 6,014,750 310,587 - 304,442 - 5,329 - - - - - 309,771 6,014,750 816 4,170,113 6,145 |
Motor Burial land vehicles £ £ 18,630 388,218 36,945 - - - 55,575 388,218 18,630 218,610 9,236 - - 19,877 - - 27,866 238,487 27,709 149,731 - 169,608 |
Total £ 12,210,389 1,881,582 (5,722,841) |
|---|---|---|---|---|
| 8,369,130 | ||||
| 3,481,922 268,024 19,877 (3,193,699) |
||||
| 576,124 | ||||
| 7,793,006 | ||||
| 8,728,467 |
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Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
13.a Tangible fixed assets – The charity (continued)
Land and buildings include revalued assets with a carrying amount of £1,600,000 (2023: £4,382,601). The most recent valuation by an independent valuer had an effective date of 31 December 2024 and was made by a qualified Chartered Surveyor not connected to the charity. The Chartered Surveyor’s report stated that the valuations are an indicative guide to the freehold interest but are not a formal valuation. No tax charge is expected to crystallise due to the available tax exemptions therefore no deferred taxation has been provided.
If Freehold land and buildings of the charity and group were carried at cost less depreciation instead of valuation the carrying amount at the reporting date would be £1,563,295 (2023: £1,563,295).
The carrying amount of the burial land is impaired to the historic cost of the unused burial plots at each reporting date. Impairment losses on the burial plots are recognised as Burial fund expenditure within unrestricted funds. Total unused graves remaining on 31 December 2024 was 106 (2023: 123). Certain graves can be used for burial for two if required.
14 Investment property - The group
| Investment property - The group | |
|---|---|
| 2024 | |
| £ | |
| Fair value | |
| At 1 January 2024 | 6,838,000 |
| Net gains and losses through fair value adjustments | (1,000,640) |
| At 31 December 2024 | 5,837,360 |
Investment property comprises freehold property held for rental and capital appreciation purposes.
Investment properties are carried at their fair value at the reporting date. At the end of each reporting period, the Board of Trustees updates its assessment of the fair values of properties owned by the charity, taking account of the most recent valuations by external, independent and qualified valuers. The fair value adjustments form part of the surplus or deficit for the year on unrestricted funds. The most recent external independent valuation of these investment properties was performed as at 31 December 2024.
The investment property fair value estimates as at 31 December 2024 are based on capitalised income projections, based on a property's estimated rental income from its current tenants, and a capitalisation rate of 10% determined by a Chartered Surveyor. The property values provided by the Chartered Surveyor are also aggregated by location rather than providing a separate value for each property. The Chartered Surveyors engaged by the Trustees to assess market value reported that this drive-by valuation technique is an indicative guide of market value of the freehold interests based on limited information and is not a formal valuation. In the opinion of the Board of Trustees, these desktop values provide a reliable fair value of investment properties.
15 Debtors - The group
| Amounts falling due within one year: Trade debtors Other debtors Prepayments and accrued income |
2024 £ 164,145 405,479 38,241 607,865 |
2023 £ 170,119 411,574 22,414 |
|---|---|---|
| 604,107 |
Other debtors include gift aid claims of £167,679 (2023: £59,574) not yet received at the reporting date.
- 24 -
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
15.a Debtors - The charity
| Amounts falling due within one year: Trade debtors Amount owed by subsidiary undertakings Amounts owed by fellow group undertakings Other debtors Prepayments and accrued income Amounts falling due after one year: Amounts due from fellow group undertakings Total debtors |
2024 £ 56,367 - 115,209 369,565 38,241 579,382 753,000 1,332,382 |
2023 £ 96,651 120 72,900 409,004 13,664 |
|---|---|---|
| 592,339 | ||
| 753,000 | ||
| 1,345,339 |
Other debtors include gift aid claims of £167,679 (2023: £59,574) not yet received at the reporting date. Amounts due from fellow group undertakings are interest free and have no fixed term for repayment.
16 Loans and overdrafts
| Bank loans (secured) Payable within one year Payable after one year |
2024 2023 £ £ 2,680,452 2,722,518 42,000 36,000 2,638,452 2,686,518 |
|---|---|
Bank loans are repayable other than by instalments. A market rate of interest is charged until the loan is repaid.
- 25 -
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
17 Creditors: amounts falling due within one year - The group
| Notes Bank loans (secured) 16 Other taxation and social security Trade creditors Other creditors Accruals and deferred income |
2024 £ 42,000 - 106,518 55,729 244,923 449,170 |
2023 £ 36,000 - 128,597 54,625 252,132 |
|---|---|---|
| 471,354 |
Bank loans are secured by way of charges over certain investment properties owned by the group.
17.a Creditors: amounts falling due within one year - The charity
| Other taxation and social security Trade creditors Amounts owed to subsidiary undertakings Other creditors Accruals and deferred income |
2024 £ - 100,929 9,382 16,557 226,412 353,280 |
2023 £ - 121,699 - 18,563 236,190 |
|---|---|---|
| 376,452 |
18 Creditors: amounts falling due after more than one year - The group
| Notes | 2024 | 2023 | |
|---|---|---|---|
| £ | £ | ||
| Bank loans (secured) | 16 | 2,686,452 | 2,686,518 |
Bank loans are secured by way of charges over certain investment properties owned by the group.
- 26 -
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
19 Restricted funds – The group and charity
The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:
| Balance at 1 Jan 2024 £ AIC Project 1,188,506 Senior citizens 8,330 Third party collections 320,357 Sadka 24,054 1,541,247 ear ended 31 December 2023 Balance at 1 Jan 2023 £ AIC Project 1,586,821 Senior citizens 15,339 Third party collections 167,740 Sadka 12,695 1,782,595 |
Movement in funds Income Expenditure Transfers Balance at 31 Dec 2024 £ £ £ £ 2,053,522 - (1,844,637) 1,397,391 26,686 (10,172) - 24,844 518,328 (529,633) - 309,052 18,545 (26,597) - 16,002 2,617,081 (566,402) (1,844,637) 1,747,289 Movement in funds Income Expenditure Transfers Balance at 31 Dec 2023 £ £ £ £ 1,579,499 - (1,977,814) 1,188,506 11,735 (18,744) - 8,330 358,289 (205,672) - 320,357 19,409 (8,050) - 24,054 1,968,932 (232,466) (1,977,814) 1,541,247 |
Movement in funds Income Expenditure Transfers Balance at 31 Dec 2024 £ £ £ £ 2,053,522 - (1,844,637) 1,397,391 26,686 (10,172) - 24,844 518,328 (529,633) - 309,052 18,545 (26,597) - 16,002 2,617,081 (566,402) (1,844,637) 1,747,289 Movement in funds Income Expenditure Transfers Balance at 31 Dec 2023 £ £ £ £ 1,579,499 - (1,977,814) 1,188,506 11,735 (18,744) - 8,330 358,289 (205,672) - 320,357 19,409 (8,050) - 24,054 1,968,932 (232,466) (1,977,814) 1,541,247 |
|---|---|---|
| 1,541,247 |
Year ended 31 December 2023
19.a Description of restricted funds
AIC Project – a construction project for the design and build of the Mosque, Imambara and associated works.
Senior citizens – a specific fund for use on activities for senior citizens.
Third party collections - religious collections specifically collected on behalf of The World Federation and The Council of European Jamaats
Sadka – a specific fund for charitable giving to support hardship in communities
Reason for the transfers
The value of assets under construction purchased during the year has been transferred from the AIC Project restricted fund to the Building fund, within designated funds, since the asset has been purchased from restricted donations but the asset is held for designated purposes and not a restricted purpose.
- 27 -
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
20 Unrestricted funds – The group
| Movement in funds | Movement in funds | Movement in funds | ||||
|---|---|---|---|---|---|---|
| Balance at | **Income ** | **Expenditure ** | Revaluation | **Transfers ** | Balance at 31 | |
| 1 Jan 2024 | gain/(loss) | Dec 2024 | ||||
| £ | £ | £ | £ | £ | £ | |
| Designated Funds | ||||||
| Equipment fund | 17,720 | - | - | - | - | 17,720 |
| Burial fund | 749,915 | 85,060 | (53,840) | - | - | 781,135 |
| Building fund | 5,733,409 | - | - | - | 1,844,637 | 7,578,046 |
| Sub-total designated funds | 6,501,044 | 85,060 | (53,840) | - | 8,376,901 | |
| General funds | 4,163,384 | 1,323,880 | (1,418,630) | (1,000,640) | - | 3,067,994 |
| Revaluation reserve | 2,819,306 | - | (166,818) | (2,529,142) | - | 123,346 |
| 13,483,734 | 1,408,940 | (1,639,288) | (3,529,782) | 1,844,637 | 11,568,241 |
Year ended 31 December 2023
| Designated Funds Equipment fund Burial fund Building fund Sub-total designated funds General funds Revaluation reserve |
Movement in funds Balance at 1 Jan 2023 Income Expenditure Revaluation gain/(loss) Transfers Balance at 31 Dec 2023 £ £ £ £ £ £ 17,720 - - - - 17,720 692,288 89,573 (31,946) - - 749,915 3,842,236 - (86,641) - 1,977,814 5,733,409 4,552,244 89,573 (118,587) - 1,977,814 6,501,044 3,151,071 1,186,613 (1,370,111) 1,195,811 - 4,163,384 2,986,124 - (166,818) - - 2,819,306 10,689,439 1,276,186 (1,655,516) 1,195,811 1,977,814 13,483,734 |
Movement in funds Balance at 1 Jan 2023 Income Expenditure Revaluation gain/(loss) Transfers Balance at 31 Dec 2023 £ £ £ £ £ £ 17,720 - - - - 17,720 692,288 89,573 (31,946) - - 749,915 3,842,236 - (86,641) - 1,977,814 5,733,409 4,552,244 89,573 (118,587) - 1,977,814 6,501,044 3,151,071 1,186,613 (1,370,111) 1,195,811 - 4,163,384 2,986,124 - (166,818) - - 2,819,306 10,689,439 1,276,186 (1,655,516) 1,195,811 1,977,814 13,483,734 |
|---|---|---|
| 13,483,734 |
20.a Unrestricted funds – The charity
| Designated Funds Equipment fund Burial fund Building fund Sub-total designated funds General funds Revaluation reserve |
Balance at 1 Jan 2024 £ 17,720 749,915 5,733,409 6,501,044 456,566 2,819,306 9,776,916 |
Movement in funds Income Expenditure Revaluation gain/(loss) TransfersBalance at 31 Dec 2024 £ £ £ £ £ - - - - 17,720 85,060 (53,840) - - 781,135 - - - 1,844,637 7,578,046 85,060 (53,840) 1,844,637 8,376,901 589,757 (813,160) - - 233,163 - (166,818) (2,529,142) - 123,346 674,817 (1,033,818) (2,529,142) 1,844,637 8,733,410 |
Movement in funds Income Expenditure Revaluation gain/(loss) TransfersBalance at 31 Dec 2024 £ £ £ £ £ - - - - 17,720 85,060 (53,840) - - 781,135 - - - 1,844,637 7,578,046 85,060 (53,840) 1,844,637 8,376,901 589,757 (813,160) - - 233,163 - (166,818) (2,529,142) - 123,346 674,817 (1,033,818) (2,529,142) 1,844,637 8,733,410 |
|---|---|---|---|
| 8,733,410 |
- 28 -
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
20.a Unrestricted funds – The charity (continued)
Year ended 31 December 2023
| Designated Funds Equipment fund Burial fund Building fund Sub-total designated funds General funds Revaluation reserve |
Balance at 1 Jan 2023 £ 17,720 692,288 3,842,236 4,552,244 718,708 2,986,124 8,257,076 |
Movement in funds Income Expenditure Revaluation gain/(loss) TransfersBalance at 31 Dec 2023 £ £ £ £ £ - - - - 17,720 89,573 (31,946) - - 749,915 - (86,641) - 1,977,814 5,733,409 89,573 (118,587) 1,977,814 6,501,044 499,882 (762,024) - - 456,566 - (166,818) - - 2,819,306 589,455 (1,047,429) - 1,977,814 9,776,916 |
|---|---|---|
20.b Description of unrestricted funds
Equipment fund - donations designated for the purchase of equipment.
Burial – subscriptions and donations designated for the use of future burial needs and burial expenditure.
Building fund – a specific fund relating to the purchase of freehold land and buildings used by the charity.
General funds – funds for use at the discretion of the Trustees in the furtherance of the charity’s objects
Revaluation reserve – this reflects the total revaluation above cost of freehold property accounted for under the revaluation model. The expenditure charged to the fund represents the depreciation charged during the year on the revaluation amount of property, plant and equipment.
Reason for the transfers
The value of assets under construction purchased during the year has been transferred from the AIC Project restricted fund to the Building fund, within designated funds, since the asset has been purchased from restricted donations but the asset is held for designated purposes and not a restricted purpose.
- 29 -
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE KHOJA SHIA ITHNA-ASHERI MUSLIM COMMUNITY OF BIRMINGHAM
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
21 Analysis of group net assets between funds
| Unrestricted funds 2024 £ Fund balances are represented by: Tangible assets 7,799,019 Investment properties 5,837,360 Current assets/(liabilities) 570,314 Long term liabilities (2,638,452) 11,568,241 |
Restricted funds 2024 £ - - 1,747,289 - 1,747,289 |
Total Unrestricted Restricted funds funds 2024 2023 2023 £ £ £ 7,799,019 8,745,135 - 5,837,360 6,838,000 - 2,317,603 587,117 1,541,247 (2,638,452) (2,686,518) - 13,315,530 13,483,734 1,541,247 |
Total 2023 £ 8,745,135 6,838,000 2,128,364 (2,686,518) |
|---|---|---|---|
| 15,024,981 |
22 Capital Commitments
The charity has contractual capital commitments in respect of the design and build of the Mosque, Imambara and associated works. Total directly attributable costs contracted for, including those already incurred, are estimated to be approximately £7million. Future costs of the project have not been recognised in these financial statements, except to the extent that the work has been carried out by the reporting end date.
23 Related party transactions
During the year the Trustees, and their close family members, paid donations and religious dues to the charity totalling £32,895 (2023: £44,535). Organisations in which Trustees are also directors or trustees donated amounts totalling £29,710 (2023: £30,035). Included within debtors are amounts due from Trustees at the reporting date totalling £4,065. Included within debtors are amounts due from organisations in which Trustees are also directors at the reporting date totalling £16,182.
24 Connected parties
The charity, although independent, is involved with a wider network of charities. It is a member of The Council of European Jamaats (COEJ) which represents the charity at the global organisation, The World Federation of Khoja Shia Ithna-Asheri Muslim Communities (WF). Both charities are registered with the Charities Commission in the UK. WF represents Birmingham Jamaat when dealing with international work which includes disaster and general relief outside the UK. Receipts and Payments for COEJ and WF are recognised as a third-party collections restricted fund. WF also provides voluntary donations to the charity towards building the Mosque and Imambara. Included within debtors are amounts owed by WF to the charity of £198,869 (2023: £349,182).
- 30 -
Docusign Envelope ID: C17BC4D5-C146-4064-9CBB-E33C83DD7C0B
THE MUSLIM KHOJA SHIA ITHNA-ASHERI COMMUNITY OF BIRMINGHAM
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
25 Cash generated from operations
| Surplus for the year Adjustments for: Investment income recognised in Statement of Financial Activities Fair value losses/(gains) on investment properties Depreciation and impairment of tangible assets Movements in working capital: (Increase)/decrease in debtors (Decrease)/increase in creditors Cash generated from operations Analysis of changes in net debt Cash at bank and in hand Loans falling due within one year Loans falling due after more than one year |
At 1 January 2024 £ 1,995,611 (36,000) (2,686,518) (726,907) |
2024 2023 £ £ 819,691 2,552,947 (478,312) (423,945) 1,000,640 (1,195,811) 301,301 285,846 (3,758) (302,799) (28,184) 150,782 1,611,378 1,067,020 Cash flows At 31 December 2024 £ £ 163,297 2,158,908 (6,000) (42,000) 48,066 (2,638,452) 205,363 (521,544) |
|---|---|---|
26 Analysis of changes in net debt
- 31 -