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2024-03-31-accounts

Charity Registration Number: 1183816

Alhikmah Project

Trustees Report and Financial Statements

For the year ended 31 March 2024

Jamiat Ahl-e-Hadith Keighley

Contents

Page
Trustees' report 1-3
Independent examiners report 4
Statement of financial activities 5
Balance Sheet 6
Notes to the financial statements 7-12

Jamiat Ahl-e-Hadith Keighley

Trustees report For the year ended 31 March 2024

The trustees present their report along with the financial statements of the charity for the year ended 31 March 2024. The financial statements have been prepared based on the accounting policies set out in note 1 to the financial statements and comply with the Charity's governing document.

Reference and administrative details of the charity

Charity registration number 1183816

Correspondence address

Sakien Taj 5 Greenhead Drive Keighley West Yorkshire BD20 6EZ

Trustees

Shohab Ali Sakien Taj Faiz Alam Imran Sajid

Independent Examiner

Asif Hussain ACMA 41 Woodstock Road Moseley Birmingham West Midlands B13 9BD

Bankers

Barclays Bank Plc 77 North Street Keighley West Yorkshire BD21 3SA

HSBC Bank Plc 36 North Street Keighley West Yorkshire BD21 3SF

Page 1

Jamiat Ahl-e-Hadith Keighley

Trustees Report (continued) For the year ended 31 March 2024

Structure, Governance and Management

a. Governing Document

The charity is a Charitable Incorporated Organisation (CIO) and is governed by its constitution dated 10th June 2019.

b. Method of appointment and induction of new Trustees

New Trustees are appointed by existing members of the CIO.

c. Organisational structure and decision making

The Trustees oversee the running of the charity on a day to day basis. All operational decisions are made at meetings which are held frequently throughout the year.

d. Risk management

The trustees have assessed the major risks to which the Charity is exposed and are satisfied that systems, controls and procedures are in place to mitigate exposure to major risks.

Objectives and Activities

a. Summary of objectives

The objectives of the Charity as set out in its constitution are summarised as follows:

  1. To advance the Islamic faith in accordance with the schedule of beliefs.

  2. To further or benefit the residents of Keighley and the neighbourhood.

b. Activities for achieving objectives

The following activities were undertaken in the year to achieve the objectives:

  1. Running of Al Hikmah Project

  2. Running of Mosque and Madrassah

The Trustees frequently review the objectives and activities of the Charity to ensure that they provide an overall benefit to the public. In carrying out this review the Trustees have considered the Charity Commission's general guidance on public benefit.

Achievements and Performance

In the year the charity maintained the running of the Mosque and Madrassah to achieve its objectives. The Al Hikmah Project refurbishment continued with campaigns to fundraise for the exensive rebuilding programme. The provision of youth centred facilities was restricted due to the lack of available space. The nursery was also closed during the year and is expected to re-open in January 2026. Rental income from properties and the car park continued to be earned during the year, in excess of the previous year.

Refurbishment and rebuilding the the new centre for Al Hikmah Project continued in the year with £37,000 being paid to contractors. Significant delays were casued by logistics issues for materials and change to the initial designs.

The Trustees are satisfied with the overall performance of the charity.

Page 2

Jamiat Ahl-e-Hadith Keighley

Trustees Report (continued) For the year ended 31 March 2024

Financial Review

a. Reserves policy

The Charity's reserve policy is to maintain a sufficient level of liquid reserves to meet short term obligations and any unforeseen expenditure. The current level of income generated by the charity is sufficient to meet our short term obligations and the Charity generated a net surplus of £59,161 in the year. The trustees wish to build up the Charity's reserves with rental income, car park income and public donations in accordance with the policy on reserves to ensure future sustainability.

b. Principle funding

During the year the Charity raised a total of £137,317 in incoming resources before charitable expenditure. This was an increase from the previous year and was mainly due to an increase in funds generated from the community and fundraising activities. Of the total incoming resources £63,524 were restricted donations for Al Hikmah Project, £31,288 were general unrestricted donations, £16,860 was generated from Madrassah fees, £7,645 was rental income from the residential properties and £18,000 was generated from the car park.

Loans of £62,500 remain outstanding comprising of £50,000 to Middlesborough Masjid, repayable by 2026, and £12,500 to members of the community. Amounts owed to the charity total £18,978 comprising £10,000 from Fountain of Knowledge charity, expected to be repaid in the next financial year, and £8,978 from the current imam.

Plans for the future

The Charity's priority is to become self sufficient from the income streams generated to meet its charitable expenditure. Renovation of the current Al Hikmah site has continued and is scheduled to be completed by January 2026. Madrassah activities will take place at the Al Hikmah Project site, moving from the smaller current mosque. Fundraising activities will need to continue to generate additional funds from the general public and community.

Statement of Trustees' responsibilities

Charity Law requires the Trustees' to prepare financial statements for each financial year which show a true and fair view of the state of affairs of the Charity and its financial activities for that year. In preparing those financial statements, the Trustees are required to:

The Trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the Charity and to enable them to ensure the financial statements comply with the Charities Act 2011. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

This report was approved by the Trustees on 28 January 2025 and signed on their behalf by:

………………………………………………………………… Sakien Taj

Page 3

Jamiat Ahl-e-Hadith Keighley

Independent examiner's report to the Trustees of AlHikmah Project

I report to the Trustees on my examination of the financial statements of the Charity for the year ended 31 March 2024, which are set out on pages 5 to 12.

Respective responsibilities of trustees and examiner

The Charity's Trustees consider that an audit is not required for this year (under section 145) of the Charities Act 2011 (the Act) and that an independent examination is required.

It is my responsibility to:

Basis of independent examiner's statement

My examination was carried out in accordance with General Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the Charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeks explanations from the Trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently, I do not express an audit opinion on the accounts.

Independent examiner's statement

in the course of my examination, no matter has come to my attention

  1. which gives me reasonable cause to believe that, in any material respect, the trustees have not met the requirements to ensure that:

  2. proper accounting records are kept (in accordance with section 130 of the Act); and

    • accounts are prepared which agree with the accounting records and comply with the accounting requirements of the Act; or
  3. to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.

………………………………………………………………

Asif Hussain ACMA

41 Woodstock Road Moseley Birmingham West Midlands B13 9BD

Dated 25 January 2025

Page 4

Jamiat Ahl-e-Hadith Keighley

Statement of financial activities

For the year ended 31 March 2024

Note
Incoming Resources
Incoming resources from generating funds
Voluntary Income Donations
Incoming resources from charitable activities
Madrassah Fees
Rental Income
Car Park Income
Other income
Total Incoming resources
Resources expended
Costs of generating funds
Costs of generating voluntary income
Charitable activities
6
Governance costs
2
Total Resources expended
5
Net incoming resources before transfers
Gross transfers between funds
Net movement in funds for the year
Total funds at 1 April 2022
Total funds at 31 March 2023
Restricted
Funds
2024
£
63,524
-
-
-
63,524
656
13,006
-
13,662
49,862
-
49,862
987,033
1,036,895
Unrestricted
Funds
2024
£
31,288
16,860
7,645
18,000
73,793
1,075
62,919
500
64,494
9,299
-
9,299
337,664
346,963
Total Funds
2024
£
94,812
16,860
7,645
18,000
-
137,317
1,731
75,925
500
78,156
59,161
-
59,161
1,324,697
1,383,858
Total Funds
2023
£
84,338
13,913
2,614
5,478
11,397
117,740
15,589
94,017
500
110,106
7,634
-
7,634
1,316,632
1,324,266

The notes on pages 7 to 12 form part of these financial statements

Page 5

Jamiat Ahl-e-Hadith Keighley

Balance sheet As at 31 March 2024

Note
Fixed assets
Tangible fixed assets
10
Current assets
Cash at bank and in hand
Prepayments
Debtors
Creditors:amounts falling and due within
one year
11
Net current assets
Charity Funds
Restricted funds
12
Unrestricted funds
12
Total Funds
£
96,876
384,950
18,978
500,804
(66,450)
2024
£
949,504
949,504
434,354
1,383,858
1,036,895
346,963
1,383,858
£
62,827
329,950
18,978
411,755
(66,000)
2023
£
978,942
978,942
345,755
1,324,697
987,033
337,664
1,324,697

The financial statements were approved by the Trustees on 28 January 2025 and signed on their behalf by:

................................................................ Sakien Taj

Page 6

Jamiat Ahl-e-Hadith Keighley

Notes to the financial statements For the year ended 31 March 2024

1. Accounting policies

1.1 Basis of preparation of financial statements

The financial statements haven been prepared in accordance with Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011.

1.2 Fund Accounting

General funds are unrestricted funds which 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 which are to be used in accordance with specific restriction imposed by donors which have been raised by the Charity for particular purposes. The cost of raising and administering such funds are charged against the specific fund.

1.3 Incoming resources

All incoming resources are included in the Statement of Financial Activities when the Charity is legally entitled to the income and the amount can be quantified with reasonable accuracy

Voluntary income - including donations, gifts and grants that provide core funding or are of general nature, are recognised where there is entitlement, certainty of receipt and the amount can be measured with sufficient reliability.

Income from Charitable Activities - including income recognised as earned from related goods or services which are provided.

1.4 Resources expended

All expenditure is accounted for on an accruals basis and has been included under expense categories that aggregate all costs for allocation to activities. Where costs cannot be directly attributed to particular activities they have been allocated on a basis consistent with the use of the resources.

Charitable Activities include those costs that are directly related to the objectives of the Charity.

Governance costs include those incurred in the governance of its assets and are primarily associated with constitutional and statutory requirements.

Support Costs for a single activity are allocated directly to that activity. Where support costs relate to several activities they have been apportioned on a basis consistent with the use of the resources.

Page 7

Jamiat Ahl-e-Hadith Keighley

Notes to the financial statements For the year ended 31 March 2024

1. Accounting policies (continued)

1.5 Tangible fixed assets and depreciation

All assets costing more than £500 are capitalised.

Tangible fixed assets are stated at cost or valuation less depreciation. Depreciation is not charged on freehold land. Depreciation on other tangible fixed assets is provided at rates calculated to write off the cost or valuation of those assets, less their estimated residual vale, over their expected useful lives on the following basis:

Freehold property - 2% straight line Fixtures & fittings - 12.5% straight line

Freehold land costing £560,413 is not depreciated.

1.6 Taxation

As a registered charity, the charity is exempt from Income and Corporation tax to the extent that its income and gains are applicable to the charitable purposes only.

2. Governance costs

Accountancy costs
Independent examination fees
Incorporation fees
Restricted
Funds
2024
£
-
-
-
-
Unrestricted
Funds
2024
£
350
150
-
500
Total Funds
2024
£
350
150
-
500
Total Funds
2023
£
350
150
-
500

3. Direct Costs

Direct Costs
Basis of
allocation
Direct
Usage
Wages and Salaries
Usage
Running of
Mosque
2024
£
1,075
16,952
18,027
Running of Al
Hikmah
Project
2024
£
656
2,191
2,847
Total
2024
£
1,731
19,143
20,874
Total
2023
£
16,429
30,683
47,112

Page 8

Jamiat Ahl-e-Hadith Keighley

Notes to the financial statements For the year ended 31 March 2024

4. Support costs

Basis of
allocation
Usage
5. Analysis of resources expended by
expenditure type
Costs of generating voluntary income
Running of Mosque
Running of Al Hikmah Project
Governance costs
6. Analysis of resources expended by activities
Running of Mosque
Running of Al Hikmah Project
Management and administration
Running of
Mosque
2024
£
45,967
45,967
Staff costs
2024
£
-
16,952
2,191
19,143
-
19,143
Activities
undertaken
directly
2024
£
16,952
2,191
19,143
Running of Al
Hikmah
Project
2024
£
10,815
10,815
Other Costs
2024
£
1,731
45,967
10,815
56,782
500
59,013
Support
costs
2024
£
45,967
10,815
56,782
Total
2024
£
56,782
56,782
Total
2024
£
1,731
62,919
13,006
75,925
500
78,156
Total
2024
£
62,919
13,006
75,925
Total
2023
£
62,494
62,494
Total
2023
£
15,589
69,769
20,643
90,412
500
106,501
Total
2023
£
69,769
20,643
90,412

Page 9

Jamiat Ahl-e-Hadith Keighley

Notes to the financial statements For the year ended 31 March 2024

7. Net incoming resources

7. Net incoming resources
This is stated after charging
Depreciation of tangible fixed assets
- owned by the Charity
8. Staff costs
Wages and salaries
2024
£
29,438
29,438
2024
£
19,143
19,143
2023
£
29,438
29,438
2023
£
30,683
30,683

No employee received remuneration amounting to more than £60,000 in the year.

9. Related party transactions

During the year, no Trustees received any remuneration. During the year, no Trustees received any benefits in kind. During the year, no trustees received any reimbursement of expenses.

Page 10

Jamiat Ahl-e-Hadith Keighley

Notes to the financial statements

For the year ended 31 March 2024

10.Tangible fixed assets

Cost
At 1 April 2023
Additions
Disposals
At 31 March 2024
Depreciation
At 1 April 2023
Additions
Disposals
At 31 March 2023
Net book value At 31 March 2023
At 31 March 2022
Freehold
land and
building
£
1,121,405
-
-
1,121,405
162,813
11,220
-
174,033
947,372
958,592
Fixtures and
fittings
£
145,742
-
145,742
125,392
18,218
-
143,610
2,132
20,350
Total
£
1,267,147
-
1,267,147
288,205
29,438
-
317,643
949,504
978,942

Freehold land and building includes land at cost of £560,413 which is not depreciated

11.Creditors: Amount falling due within one year

Other Creditors
Rent deposit creditors
Social security and other taxation
Accruals and deferred income
2024
£
62,500
-
900
3,050
66,450
2023
£
62,500
-
-
3,500
66,000

Page 11

Jamiat Ahl-e-Hadith Keighley

Notes to the financial statements For the year ended 31 March 2024

12.Statement of funds

Statement of funds
General fund
Total unrestricted funds
Restricted funds
Al Hikmah Project
Total Funds
Brought
forward
£
337,664
337,664
987,033
1,324,697
Incoming
resources
£
73,793
73,793
63,524
137,317
Resources
expended
£
(64,494)
(64,494)
(13,662)
(78,156)
Transfers
in/(out)
£
-
-
-
-
Carried
forward
£
346,963
346,963
1,036,895
1,383,858

Page 12