Charity Registration No. 1188399
Company Registration No. CE021019 (England and Wales)
SUKKAT SHALOM REFORM SYNAGOGUE
ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
SUKKAT SHALOM REFORM SYNAGOGUE
LEGAL AND ADMINISTRATIVE INFORMATION
Charity number 1188399 Company number CE021019
SUKKAT SHALOM REFORM SYNAGOGUE
CONTENTS
| Page | |
|---|---|
| Trustees report | 1 - 2 |
| Independent examiner's report | 3 |
| Statement of financial activities | 4 |
| Balance sheet | 5 |
| Notes to the financial statements | 6 - 13 |
SUKKAT SHALOM REFORM SYNAGOGUE
TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 30 JUNE 2021
The Board of Trustees present their report and financial statements for the year ended 30 June 2021. This is the first accounting year in which the Synagogue was constituted as a Charitable Incorporated Company and commenced operations from 1st July 2020 when it succeeded to the previous unincorporated charity that was registered under charity number 283615. All assets and liabilities were transferred to the new Company.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the synagogue's governing document, the Companies Act 2006 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
The synagogue is a congregation following the Jewish religion with the aims of providing and maintaining a synagogue as a congregation of Jews (as defined by the Beth Din of the Movement for Reform Judaism and its successors) for the purpose of public worship and advancing religious, educational and charitable activities.These objectives were met though the actions of the Board of Trustees, sub-committees, and associated groups and which were run by the Trustees and/or a wide range of other volunteers as well as employees.
The policies adopted in furtherance of these objectives are to conduct a range of religious services and ceremonies, provide a Jewish education both to children and adults,organise a range of social, educational and cultural events and provide support within the community.
The Board of Trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the synagogue should undertake.
The synagogue pursued its charitable giving mainly through the High Holy Day appeal. Our policy was to make grants only out of donations received and only to registered charities, both Jewish and nonJewish,whether in the UK or overseas.
The synagogue was grateful for the unstinting efforts of its volunteers who were involved in service provision and fund raising throughout the year. It is not possible and practical to estimate the monetary value of the services provided by the volunteers during the year.
Achievements and performance
Financial review
It is the policy of the synagogue that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The Board of Trustees considers that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the synagogue’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.
The Board of Trustees has assessed the major risks to which the synagogue is exposed, and is satisfied that systems are in place to mitigate exposure to the major risks.
Structure, governance and management
The synagogue is a Charitable Incorporated Organisation.
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SUKKAT SHALOM REFORM SYNAGOGUE
TRUSTEES REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021
The Board of Trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were: Jeffrey Soraff Steven Wynne Daniel Morgan-Thomas Stuart Jacobs Anthony Leach Angela Jacobs Oren Rosenmann Jocelyn Shepherd Melvin Pedro Rachel Savage Jeffrey Lustig Joel Ilson Andrew Lewis Reeva Godson Ida Lewinsohn (resigned) Karen Watch (resigned) ** Mitzi Kalinsky
From November 2020 *Until November 2020
None of the Board of Trustees has any beneficial interest in the company. All of the Board of Trustees are members of the company and guarantee to contribute £1 in the event of a winding up.
New Trustees are nominated by the congregants and elected at a General Meeting. At their first Board of Trustees meeting following the General Meeting the chair introduces the new Trustees and spends the first session of the meeting outlining the processes that the Board of Trustees and its sub-committees have.
The Trustees report was approved by the Board of Board Of Trustees.
..............................
Trustee Dated: .........................
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SUKKAT SHALOM REFORM SYNAGOGUE
INDEPENDENT EXAMINER'S REPORT
TO THE BOARD OF TRUSTEES OF SUKKAT SHALOM REFORM SYNAGOGUE
I report to the Board of Trustees on my examination of the financial statements of Sukkat Shalom Reform Synagogue (the synagogue) for the year ended 30 June 2021.
Responsibilities and basis of report
As the Board of Trustees of the synagogue (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (the 2006 Act).
Having satisfied myself that the financial statements of the synagogue are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the synagogue’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act). In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Independent examiner's statement
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
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1 accounting records were not kept in respect of the synagogue as required by section 386 of the 2006 Act; or
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2 the financial statements do not accord with those records; or
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3 the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or
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4 the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.
.......................................................
Colin R Burns FCA CTA Gerald Edelman LLP Chartered Accountants 73 Cornhill London EC3V 3QQ
Dated: .........................
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SUKKAT SHALOM REFORM SYNAGOGUE
STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 30 JUNE 2021
| Unrestricted Restricted funds funds 2021 2021 Notes £ £ Income from: Donations and legacies 3 144,413 6,766 Charitable activities 4 1,045 - Other trading activities 5 3,720 - Investments 6 90 - Total income 149,268 6,766 Expenditure on: Charitable activities 7 135,357 2,841 Net income for the year/ Net movement in funds 13,911 3,925 Fund balances at 1 July 2020 326,196 45,768 Fund balances at 30 June 2021 340,107 49,693 |
Total 2021 £ 151,179 1,045 3,720 90 |
|---|---|
| 156,034 | |
| 138,198 | |
| 17,836 371,964 |
|
| 389,800 |
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
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SUKKAT SHALOM REFORM SYNAGOGUE
BALANCE SHEET
AS AT 30 JUNE 2021
| Notes Fixed assets Tangible assets 11 Current assets Stocks 12 Debtors 13 Cash at bank and in hand Creditors: amounts falling due within one year 14 Net current assets Total assets less current liabilities Income funds Restricted funds 15 Unrestricted funds |
2021 £ 650 20,098 97,187 117,935 (8,356) |
£ 280,221 109,579 |
|---|---|---|
| 389,800 | ||
| 49,693 340,107 |
||
| 389,800 |
The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 30 June 2021.
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.
No member has not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the Board Of Trustees on .........................
..............................
Trustee
Company Registration No. CE021019
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SUKKAT SHALOM REFORM SYNAGOGUE
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2021
1 Accounting policies
Charity information
Sukkat Shalom Reform Synagogue is a Charitable Incorporated Organisation incorporated in England and Wales. The registered office is 1 Victory Road, Wanstead, London E11 1UL.
1.1 Accounting convention
The financial statements have been prepared in accordance with the synagogue's governing document, the Companies Act 2006 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)". The synagogue is a Public Benefit Entity as defined by FRS 102.
The synagogue has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.
The financial statements are prepared in sterling, which is the functional currency of the synagogue. 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 Going concern
At the time of approving the financial statements, the Board of Trustees have a reasonable expectation that the synagogue has adequate resources to continue in operational existence for the foreseeable future. Thus the Board of Trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3 Charitable funds
Unrestricted funds are available for use at the discretion of the Board of Trustees in furtherance of their charitable objectives.
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 financial statements.
Endowment funds are subject to specific conditions by donors that the capital must be maintained by the synagogue.
1.4 Income
Income is recognised when the synagogue is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Cash donations are recognised on receipt. Other donations are recognised once the synagogue has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Legacies are recognised on receipt or otherwise if the synagogue has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.
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SUKKAT SHALOM REFORM SYNAGOGUE
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2021
1 Accounting policies
(Continued)
1.5 Expenditure
Expenses are included in the financial statements as they become receivable or due.
Expenses include VAT where applicable as the company cannot reclaim it.
1.6 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 land and buildings 0% Fixtures and fittings 20% on the written down value Scrolls and Religious artefacts 0%
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in net income/(expenditure) for the year.
1.7 Impairment of fixed assets
At each reporting end date, the synagogue reviews the carrying amounts of its tangible assets 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 in order to determine the extent of the impairment loss (if any).
1.8 Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. Items held for distribution at no or nominal consideration are measured the lower of replacement cost and cost.
Net realisable value is the estimated selling price less all estimated costs of completion and costs to be incurred in marketing, selling and distribution.
1.9 Cash and cash equivalents
Cash and cash equivalents 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.
1.10 Financial instruments
The synagogue has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the synagogue's balance sheet when the synagogue 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.
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SUKKAT SHALOM REFORM SYNAGOGUE
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2021
1 Accounting policies
(Continued)
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. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Derecognition of financial liabilities
Financial liabilities are derecognised when the synagogue’s contractual obligations expire or are discharged or cancelled.
1.11 Employee benefits
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the synagogue is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
2 Critical accounting estimates and judgements
In the application of the synagogue’s accounting policies, the Board of 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. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
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SUKKAT SHALOM REFORM SYNAGOGUE
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021
3 Donations and legacies
| Unrestricted Restricted funds funds 2021 2021 £ £ Donations, gifts and funeral fund 1,012 6,766 Membership fees 143,401 - 144,413 6,766 |
Total 2021 £ 7,778 143,401 |
|---|---|
| 151,179 |
4 Charitable activities
| Charitable | |
|---|---|
| Income | |
| 2021 | |
| £ | |
| Wedding income | 1,045 |
| Other trading activities | |
| Unrestricted | |
| funds | |
| 2021 | |
| £ | |
| Letting and licensing arrangements | 3,720 |
5 Other trading activities
| 6 | Investments | |
|---|---|---|
| Unrestricted | ||
| funds | ||
| 2021 | ||
| £ | ||
| Interest receivable | 90 |
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SUKKAT SHALOM REFORM SYNAGOGUE
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2021
7 Charitable activities
| Expenditure | |
|---|---|
| 2021 | |
| £ | |
| Staff costs | 50,308 |
| Depreciation | 1,381 |
| JJBS Burial fees | 24,616 |
| Wedding expenses | 90 |
| MRJ Capitation fees | 15,195 |
| Board of Deputies | 4,480 |
| Repairs and maintenance | 2,971 |
| Light and heat | 1,745 |
| Premises costs | 18,830 |
| Administrative costs | 10,498 |
| Adult education | 550 |
| Grant funding of activities (see note 8) | 2,741 |
| Share of governance costs (see note ) | 4,793 |
| 138,198 | |
| Analysis by fund | |
| Unrestricted funds | 135,357 |
| Restricted funds | 2,841 |
| 138,198 |
8 Grants payable
| Expenditure | |
|---|---|
| 2021 | |
| £ | |
| Grants to institutions (3 grants): | |
| Redbridge Food Bank | 874 |
| Ahada Bereavement Support Charity | 873 |
| Margaret Centre-Whipps Cross Hospital | 994 |
| 2,741 |
Three grants were made amounting to an equal share of the High Holy Day Appeal.
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SUKKAT SHALOM REFORM SYNAGOGUE
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2021
9 Board Of Trustees
Except where stated in the Board of Trustees report none of the Trustees (or any persons connected with them) received any remuneration or benefits from the synagogue during the year.
10 Employees
The average monthly number of employees during the year was:
| Employment costs Wages and salaries |
2021 Number 6 |
|---|---|
| 2021 £ 50,308 |
11 Tangible fixed assets
| Freehold land and buildings Fixtures and fittings Scrolls and Religious artefacts £ £ £ Cost Additions 250,674 6,907 24,021 At 30 June 2021 250,674 6,907 24,021 Depreciation and impairment Depreciation charged in the year - 1,381 - At 30 June 2021 - 1,381 - Carrying amount At 30 June 2021 250,674 5,526 24,021 |
Total £ 281,602 |
|---|---|
| 281,602 | |
| 1,381 | |
| 1,381 | |
| 280,221 |
12 Stocks
| 2021 | |
|---|---|
| £ | |
| Finished goods and goods for resale | 650 |
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SUKKAT SHALOM REFORM SYNAGOGUE
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2021
13 Debtors
| Debtors | |
|---|---|
| Amounts falling due within one year: Other debtors Prepayments and accrued income |
2021 £ 15,015 5,083 |
| 20,098 |
14 Creditors: amounts falling due within one year
| Trade creditors Other creditors Accruals and deferred income |
2021 £ 4,795 576 2,985 |
|---|---|
| 8,356 |
15 Restricted funds
The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:
| Movement in funds | Movement in funds | |||
|---|---|---|---|---|
| Balance at | Incoming | Resources | Balance at | |
| 1 July 2020 | resources | expended | 30 June 2021 | |
| £ | £ | £ | £ | |
| Building Development Fund | 4,000 | 100 | - | 4,100 |
| Funeral Fund | 36,303 | 3,925 | - | 40,228 |
| Jack Petchy Fund | 352 | - | - | 352 |
| Scroll Fund | 3,957 | - | - | 3,957 |
| Rabbi's Discretionary Fund | 1,156 | - | (100) | 1,056 |
| High Holy Day Appeal | - | 2,741 | (2,741) | - |
| 45,768 | 6,766 | (2,841) | 49,693 |
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SUKKAT SHALOM REFORM SYNAGOGUE
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2021
16 Analysis of net assets between funds
| Analysis of net assets between funds | |
|---|---|
| Unrestricted funds Restricted funds 2021 2021 £ £ Fund balances at 30 June 2021 are represented by: Tangible assets 280,221 - Current assets/(liabilities) 59,886 49,693 340,107 49,693 |
Total 2021 £ 280,221 109,579 |
| 389,800 |
17 Related party transactions
Transactions with related parties
During the year the synagogue entered into the following transactions with related parties:
Trustees and relatives
Mrs J.Shepherd, who was a Trustee (Board Member) during the year, received remuneration from the Synagogue in her capacity as Temporary Administrator to cover absences and for assisting at weddings and in respect of outstanding holiday pay. Ms M.Kalinsky, who was a Trustee (Board Member) during the year, is a Director of A Way With Tax Limited which received remuneration for the provision of bookkeeping services to the Synagogue during part of the accounting period. Mr A.Lewis who was a Trustee (Board Member) during the year received remuneration in his capacity as Bnei Mitzvah tutor. The Synagogue is satisfied that it has met the requirements of Charity Commission Guidance CC11 in order to pay these funds.
The following relative of a Trustee received remuneration during the year:
Mr F Godson (£16,530)
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